CALL BY MR DAVID DAVIES: 3.00 PM ON 29 SEPTEMBER 1983

POINTS TO MAKE

1.

Kind of you to call before flying to Hong Kong.

you will find your new appointment challenging.

with Hong Kong?

Am sure

Are you familiar

2.

Talks with Chinese in progress since Prime Minister's

visit last September. Four rounds since second phase began in

July. Next round scheduled for 19/20 October.

3.

HMG committed to aim of reaching solution acceptable to

people of Hong Kong as well as British and Chinese Governments.

Will be difficult, but believe we have basis similarity of

interest with Chinese in stable and prosperous Hong Kong.

4.

Considerable uncertainty and nervousness in Hong Kong over

future of territory. Reflected in fall of dollar and stock

market.

Virulent Chinese propaganda campaign. HMG and Hong Kong

Governor have followed policy of maintaining confidentiality.

5.

Further

HMG attach great importance to continuing stability of

Hong Kong. Aware that property market still very fragile.

alarms (eg Carrian) could seriously affect financial sector

as well.

Hong Kong Department

29 September 1983

Share This Page