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The meeting commenced at 103 30 a.m33
STABILISATION OF THE EXCHANGE RATE.
The Council considered memorandum XCS (83) 8.
The Council ADVISED and the Governor ORDERED:
(a) that with effect from Monday
(b)
17 October Certificates of
Indebtedness should be issued
and redeemed only against US
dollars, at a fixed rate to
be determined at the discretion
of the Financial Secretary;
that new and existing Hong Kong
dollar deposits with banking
institutions should be exempted
from interest tax with effect
from the same date; and
(c) that there should be further
study of measures to control
the manufacture of liquidity
by foreign based banks, and that
proposals on this should be
brought to the Council as soon
as possible.
The Council noted that the Financial Secretary would announce
measures (a) and (b) at 12 noon on Saturday 15 October, and
that the Attorney General would examine whether consequential
SECRET