Draft
sent to DTI.
PA
(92)
10017
DSR 11C
SECRETARY OF STATE FOR TRADE AND INDUSTRY: INTERVIEW WITH
RTHK (28/10)
POINTS TO MAKE
HICK
100/7.
RECEIVED IN REGISTRY
260CT 1983
GISTRY
inking of Hong Kong Dollar to US Dollar (Defensive)
Decision to take measures to stabilise Hong Kong Dollar
was one for the Hong Kong Government. HMG have full
confidence in judgement of the Governor and his advisers.
1
2. Measures have so far had desired effect. Hong Kong
Dollar stood at $8.34 to the US Dollar on 13 October, the
last trading day before the Financial Secretary's
announcement.
It rose to the fixed rate of $7.80 on 20
October and has stabilised at around that level.
[IF PRESSED ON EXTENT OF PRIOR CONSULTATION WITH HMG, BANK OF ENGLAND OFFICIALS VISITING HONG KONG ETC]
3. I understand that HMG was kept informed by the
Hong Kong Government of its intention to take measures to
I am not aware of what form
stabilise the Hong Kong Dollar. [I this consultation took k.]
Future of Hong Kong
4. Future of Hong Kong essentially a matter for Foreign
and Commonwealth Secretary. Encouraging that second phase
of talks under way with common aim of maintaining Hong Kong':
stability and prosperity. This common aim gives grounds for
confidence that a satisfactory negotiated settlement can be
reached.