A(27
B (29)
D
30
Mr Donald munte.
Copies to:
Mr Fearn, SAMD
Mr Elliott, FED Mr Edwards, WIAD
CONFIDENTIAL
нки
minute.
32
Mr. Evans first
HKK 02012th. Giffard
!!- PS/ Lord Belstead
My
вста 1616
HONG KONG SUPPORT FOR HMG IN THE FALKLAND ISLANDS CRISIS
Problem
See (33
зва
(36
1. The Unofficial Members of the Executive and Legislative Coucils
(UMELCO) in Hong Kong wish to demonstrate their support for HMG
in the Falkland Islands crisis, by means of a token contribution
of £20 million. They have agreed to the Governor's suggestion that
the idea should not be taken further at the moment.
Recommendation
2. I recommend that Lord Belstead approve the attached telegram
to the Governor.
Background and Argument
3.
UMELCO have approached the Governor saying that they wish
to demonstrate their support for HMG at this time in both a moral and material way - Hong Kong telegram 531. We asked the Governor
to forestall action on this for the time being (FCO telegram 384).
This he has done Hong Kong telegram 535.
4. It was not at first clear what UMELCO had in mind, but it now
seems that they envisage a donation of £20 million from Hong
Kong Government funds to HMG. Whilst such an offer might be welcome
in some respects, it would present difficulties. It is possible that the Chinese would not look kindly on such blatant support from
Hong Kong for HMG over the Falklands, though FED and the Ambassador
in Peking do not believe that the proposed offer would provoke
any serious Chinese reaction. In any case we do not want to give
any credence to the view, much aired by the Chinese, that the British Treasury gains from Hong Kong.
5.
There could also well be objections in Hong Kong to such a use of public funds. the angle of relations between HMG and
/From
Hong Kong such a donation could later be seen as not entirely
disinterested. UMELCO could make play with such a gesture when dealing with HMG on such matters as students' fees, Nationality Act, consideration of Hong Kong's future etc.
/6.
CONFIDENTIAL