SECRET
Q.
Did you reach an understanding about the ending of
the lease in 1997? What will happen then?
It is a very
A. We did not reach any definite agreement.
complex matter and that is why we both saw the need for
detailed talks. We were able, however, to clarify the
views of both sides most helpfully. And we agreed on the
need to find a satisfactory solution well before 1997, as
soon as possible.
Q. Does China wish to take Hong Kong back in 1997?
A. That is not a question you should put to me. I under-
stand the feelings of the Chinese people as represented to
me by Vice Chairman Deng. I explained to him the views
of the British Government, in particular our understanding
of the basis for Hong Kong's success and prosperity, and of
the wishes of the people of Hong Kong. I am quite sure that
we shall be able to reach a mutually satisfactory agreement.
Q. But what about China's claim to sovereignty over
Hong Kong Will Peking not wish to run the territory?
A. The Chinese leaders explained their position to me.
I explained ours. There is a gap to be bridged. But, I
repeat, the desire for agreement is there. We must work
it out together coolly and deliberately.
Q.
But what basis has been agreed for the official talks?
A.
The purpose of the talks will be to discuss arrangements
for the future of Hong Kong in the interests
-2-
SECRET
/of