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Mr Jonald I agree with this- & it shows
how very fragile opinim is a how
Mr. Cliff
Mr Donald
cc: PS/Lord Belstead
PS/PUS
Mr Giffard
Mr Elliott, FED
we all
careful also work at it dectin
L
han to be, in must
esp.
after the
Poss
Am3
ANTONY ACLAND
Miss Neville-Jones, Planning Staff
Mr Burrows, Legal Adviser
HEAD OF HKGD: VISIT TO HONG KONG, 22 - 29 MAY 1983
State of Confidence
1.
The period of relative bullishness which had lasted since the New Year ended at about the beginning of May. Since then there has been renewed nervousness, although this does not in any way amount to panic. The reasons appear to be a mixture of concern at lack of progress in the talks, a feeling that both HMG and the Hong Kong Government are leaving the running to the Chinese and some economic concerns. The decline in the Hong Kong dollar has been both a symptom and progressively, a cause of nervousness. On the other hand there have been some brighter signs. The Governor's 20 May TV interview was well received and the visit to Peking by young professionals (see below) was taken as a sign that Hong Kong people were prepared to speak their minds.
Views of EXCO
2.
I attended the Governor's meeting with EXCO on 25 May and had a private meeting afterwards with Sir S Y Chung and Unofficials. This was one of the regular Wednesday series of meetings instituted by the Governor. They are obviously time- consuming but extremely worthwhile. I was impressed by the responsibility shown by the Unofficials in their comments and by their apparent flexibility. I got the impression, which the Governor confirmed, that they are now much less suspicious of HMG than they were. They appear to take the view that, whatever their resentment about the past, they are now being taken fully into confidence and must work on that basis.
3. I was also struck by the way in which Sir S Y Chung appeared much more confident on his home ground than in London. He seems to be gaining in experience and stature. He is still under pressur from Mr T S Lo, the most awkward of the Unofficials.
4.
In discussion afterwards I found the Unofficials generally ready to volunteer remarks which suggested a pretty open mind about the way in which the talks might go. I did not detect any signs of last ditch lack of realism. I discussed this with the Governor
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/afterwards.