CONFIDENTIAL
residents should have the right to strike, to form political parties and hold mass gatherings. HK should retain capitalism although some reforms should be introduced; the free port status should be retained; there should be the realisation of home ownership for everyone; while Chinese should be the official language, English should remain for trade purposes. Interviewed on ATV's "Newsline", Yeung Sum said that the group had had no formal contact with the NCNA.
A number of papers commented on the various proposals. The Express said the propositions were similar to those outlined by China. They were not in line with the wish of HK people to maintain the status quo and disparaged the position of both the HK and British Governments. Such proposals did not represent public opinion and could cause distortions. There was a need to clarify them. The Financial Daily said there was nothing new in them. The group, like many others, had put itself in a situation of seeing things within the framwork of the "self-rule" option. The paper felt that a transitional period was essential. The formula could hardly guarantee HK's stability and prosperity.
The Oriental Daily News noted that the self-rule option would amount only to empty words if HK could not keep its independent judiciary. Ta Kung Pao and Ching Po supported the propositions. Ta Kung Pao said editorially it was a worthwhile cause to canvass public opinion on self-rule as there was no precedent to go by. It reiterated that it was Beijing's firm aim to maintain the prosperity and stability of HK after recovery of sovereignty. Subject to acknowledging China's sovereignty over HK and that the whole of HK was to revert to China in 1997, views of whatever complexion could be canvassed. In this way the spirit of self-rule would be embodied.
Friday's Asian Wall Street Journal had a story about the new group, which according to the paper has been formed to get public support for the way it wanted to see HK run after China regained sovereignty. A copy of the article is attached.
3.
FALKLANDS POLICY CRITICISED:
In its leading article on 7 January, the New Evening Post was sarcastically critical of Britain's policy towards the Falkland Islands. The victory in the South Atlantic only worsened the Falklands dispute. Anti-British feeling in Argentina was rising and people were vowed to recover the Falklands once there was an opportunity to do so. The victory also meant a heavier economic burden. Besides, Britain owed the Americans a favour for their help. As a result, the British had to allow the Americans to deploy missiles in Britain. It said Britain was isolated on the Falklands question because the United Nations had adopted a resolution by an overwhelming majority that Britain should continue its dislogue with Argentina on sovereignty over the Falklands.
The paper said, in order to safeguard its economic interests, Britain should win friends and not knock out its enemies. Military strength and politics were to no avail. It should solve all the problems left by colonialism wisely. Otherwise it would be making enemies everywhere.
CONFIDENTIAL
Page 105Page 106