CONFIDENTIAL

are an important source of advice.

What if no Agreement can be Reached?

8.

That is a hypothetical question. We are working for a successful conclusion of the negotiation.

What if a Draft Agreement was Rejected by Hong Kong?

9.

That is a hypothetical question: We are working to achieve an

agreement which will be acceptable to the people of Hong Kong. The continuing consultations that are taking place with the Hong Kong people help us to know what their aspirations are.

Can a Draft Agreement be Amended after Publication?

10. That is the sort of procedural matter on which I cannot

speculate while the confidential negotiations are continuing.

Should Ratification be Withheld until the Basic Law is Published?

11. Cannot go into details of our negotiating position.

Parallel with Shanghai

12. There is no real parallel. In the case of Hong Kong we

taking of a binding international agreement setting out arrangements

for the future. There was no such undertaking in the case of

Shanghai: and China has changed over 35 years.

Transitional period up to 1997

13. We shall not lose sight of our responsibilities in the period

up to 1997. We shall continue to provide the framework within which

the Hong Kong Government can administer the territory and plan for

its future.

CONFIDENTIAL

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