P

;

also take note of your point about the

importance of the question in the context of raising

funds for the power station project. As I see it, the

two issues interlock. We must find the right

solution for Hong Kong's future in order to lay

the basis for further co-operation with China e.g.

on the lines of the Guangdong project. Equally,

that project is itself of immense importance in

encouraging confidence in Hong Kong and in giving

China a further vested interest in the

Territory's stability.

I agree that we need a

satisfactory outcome as soon as possible, without

rushing matters.

Thank you again for taking the trouble to

write. I am always pleased to have the benefit of your

May I reciprocate your good

great experience.

wishes for 1983 very warmly.

CONFIDENTIAL AND PERSONAL

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