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life in Hong Kong. What is of particular importance is that under such arrangements Hong Kong would continue to operate as an international financial and commercial centre as it does today.
Hong Kong's extensive and direct economic relations with its trading
parters all over the world would be allowed to continue and to
develop. Arrangements would need to be made in co-operation with
other countries concerned, to ensure that Hong Kong remained an
important participant in regional and world economic institutions
such as the Asian Development Bank, the Multi-Fibre Arrangement and
in particular, the GATT.
9. In this context I should emphasise the high degree of autonomy already exercised today by the Hong Kong Government. The day-to-day
life of the territory is determined by decisions taken in Hong Kong,
not in London. Those who live in Hong Kong and all those who have
dealings with the territory will be looking for assurance that such
autonomy will be maintained after 1997. That assurance can best be
provided by a detailed and binding agreement clearly describing
arrangements for the future.
10. A related point is the degree to which the administration of
Hong Kong will be in the hands of local people. The Chinese
Government have made it clear publicly that after 1997 Hong Kong people will administer Hong Kong. This would be in line with the
process of democratic development in Hong Kong which is already under way,
and which Her Majesty's Goverment fully endorse. At the
local level in Hong Kong proposals have recently been made which will strengthen the existing elected element in government. And the Hong Kong Government will be publishing in the summer a Green Paper setting out proposals whereby the representative status of the two
central government institutions the Executive Council and the Legislative Council- might be developed in the years to come. For its part, the British Government will provide, up to 1997, a firm framework within which the Hong Kong Government, in consultation with the local people, can administer the territory and plan for its
future.
11. As they contemplate the future the Hong Kong people naturally have questions in their minds. They are looking for assurances that
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