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32. These studies show that, provided agreement was reached
that Britain would retain full responsibility for administration,
there would be no problem about domestic government within
the territory in most fields. The main issues would arise
under:
G)
Constitutional Position:
There are clear
precedents (eg in the Gulf States, the Malay
States, Brunei and in mandated territories and
protectorates) for a state to acquire adminis-
trative powers, including responsibility for
external affairs, in a territory over which it
does not have sovereignty. Provided there is
a clear agreement, such powers are effective
in domestic and international law. In the case
of Hong Kong it would be possible under such
arrangements to continue British control with
only minor changes.
H)
External Relations: The continuation of
British responsibility for external relations
would be essential for confidence in the new
arrangement. Legally this would not be a
problem provided that Chinese agreement could
be obtained. But the Chinese could well find
this difficult for reasons of prestige.
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