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Reference

Mr Clift

cc: Mr Thomson, FED

Mr Walker, Research Dent

Mr Howe

FUTURE OF HONG KONG: CHINESE VIEWS ON THE QUESTION OF A GOVERNOR

1.

I have been having a look at what the Chinese have said recently on the question of a Governor. I have been through

reports, as well as the telegrams on the talks in Peking. and on the Ambassador's informal conversations with Zhou Nan. There have in fact been few specific references to the position, role or accountability of a Governor of Hong Kong in any future arrangement, but the paragraphs below are of some interest.

2.

an NCNA Deputy Director gave a

speech at a party for Xu Jiatun on 2 July covering an address by Deng Xiaoping given to the NPC and the CPPCC earlier this year. Said to be quoting Deng, the NCNA official said that ''As a Special Administrative Region Hong Kong would be administered by patriotic Hong Kong people''.

3. On 11 July Assistant Minister Zhou Nan told the Ambassador (Peking telno 656) and speaking personally, that vestiges of colonial rule would have to go. He believed sufficient guarantees for the future of Hong Kong could be given without continued British administrative control. Sovereignty and administrative control could not be divorced. Maintenance of the administrative status quo was unacceptable. There could be no British Governor or Chief Secretary. British administrators could, however, stay on in an advisory capacity.

4.

On 13 July Li Jusheng, Deputy Director of the NCNA, said 'Hong Kong people would be able to govern themselves better [than the British]''.

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5.

a senior NCNA official, probably Xu Jiatun, said that one important area of disagreement in the negotiations was the question of who would appoint the Governor once China had resumed sovereignty over Hong Kong. China did not want to appoint the Governor but to stick to the principle 'Hong Kong to be ruled by Hong Kong people'. Britain, on the other hand, wanted to continue to appoint the Governor.

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6. At a dinner on 21 July Luo Juanhuan, Western European Dept, MFA, told members of the Embassy that ''Hong Kong people would administer Hong Kong'' (Peking telno ).

7. At a dinner on 25 July Luo Juanhuan said that the ultimate authority in Hong Kong would not be Peking. (Peking telno 723). [The Embassy have commented that this might offer some flexibility over the role or accountability of the Governor and such flexibilit had not previously been detected].

THIS IS A COPY

THE ORIGINAL HAS BEEN RETAINED

IN THE DEPARTMENT UNDER

SECTION 3 (4) OF THE CPUBLIC RECORDS ACT 1958

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