to
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FM HONG KONG 071023Z JUN 83
TO ROUTINE F CO
TELEGRAM NUMBER 771 OF 7 JUNE
INFO HONG KONG GOVERNMENT OFFICE LONDON, PEKING
FUTURE OF HONG KONG : PRESS COVERAGE
TOP COPY
MKK040/2
RECEIVED H. REDESERY NO. 51
13 JUN 1983
DESK OF INDEX
ZHAO ZIYANG'S STATEMENT IN HIS REPORT ON THE WORK OF THE GOVERNMENT TO THE NPC THAT CHINA WOULD RECOVER SOVEREIGNTY
OVER HONG KONG AT THE OPPORTUNE TIME AND TAKE APPROPRIATE
MEASURES TO MAINTAIN ITS PROSPERITY'', IS GIVEN WIDE COVERAGE
IN TODAY'S PRESS. MOST PAPERS DRAWING ON A CHINA NEWS SERVICE
(CNS) DESPATCH NOTED THAT THIS WAS THE FIRST TIME THAT THE
SUBJECT OF RECOVERING SOVEREIGNTY HAD BEEN RAISED IN CHINA'S
MOST AUTHORITATIVE FORUM. AN EDITORIAL IN THE COMMUNIST WEN WI
PO STATED THAT IT WAS CHINA'S UNEQUIVOCAL POLICY TO REGAIN
SOVEREIGNTY WHILST MAINTAINING PROSPERITY. THE QUESTION NOW
WAS HOW TO RECOVER AND ADMINISTER HONG KONG WITHOUT CAUSING
EXCESSIVE DISRUPTION SO THAT PROSPERITY COULD CONTINUE.
2. REFERRRING TO ZHAO'S STATEMENT THAT SOVEREIGNTY WOULD BE
RECOVERED WHEN THE MOMENT WAS ''OPPORTUNE'', BOTH THE FINANCIAL
DAILY AND WAH KIU YAT PO BELIEVED THAT THE MOMENT HAD NOT YET
ARRIVED AND THAT ZHAO'S STATEMENT CONTAINED NOTHING NEW.
HOWEVER, THESE PAPERS NOTED THE OMISSION OF A REFERENCE TO THE
MAINTENANCE OF 'STABILITY'' WHICH THEY INFERRED WAS AN INDICATION
THAT CHINA MIGHT RECOVER HONG KONG WITHOUT TAKING INTO ACCOUNT
ITS CONTINUED STABILITY.
STAY
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3. THE CONTINUED PRESSURE ON THE HONG KONG DOLLAR EXCHANGE RATE
AGAINST THE U.S. CURRENCY HAS STIMULATED FURTHER EDITORIAL AND
OTHER PRESS COMMENT. AN EDITORIAL IN THE INDEPENDENT MING PAO
REFUTED THE ARGUMENT THAT THE HONG KONG DOLLAR'S DECLINE WAS DUE
LARGELY TO THE LOCAL ECONOMIC RECESSION AND THE STRENGTH OF THE
U.S. CURRENCY. IT TOOK THE VIEW THAT HONG KONG'S UNCERTAIN
POLITICAL FUTURE WAS THE MAIN CAUSE, AND THAT PEKING'S FREQUENT
PRONOUNCEMENTS ON THE FUTURE DID LITTLE TO DISPEL RESIDENTS GLOOM
SINCE THE CHINESE PROPOSALS DID NOT MEET THEIR WISHES.
4. ECONOMIC THEMES HAVE BEEN FURTHER COVERED BY THE HONG KONG
JOURNALISTS PRESENTLY IN SHANGHAI (WEBB'S TELELETTER OF 6 JUNE
TO MORRIS). TODAY'S REPORTS COVERED AN INTERVIEW GIVEN TO THEM BY THE MAYOR OF SHANGHAI, WANG DAOHAN. WANG STRESSED THE
COMPLEMENTARY NATURE OF HONG KONG'S AND SHANGHAI'S ECONOMIES AND
SAID THAT BOTH CITIES SHOULD BEGIN NOW TO STUDY THEIR RELATIONSHIP
AFTER 1997 WHEN CHINA WOULD HAVE REGAINED SOVEREIGNTY OVER HONG
KONG. HE UNDERSTOOD THAT SOME BUSINESSMEN WERE WORRIED ABOUT THE
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