-9-
We are fully aware of the crucial importance for Hong
Kong's trading activity of its status in the latter
organisation and indeed of its ability to manage its
international economic relations as a whole.
In the same context it is essential to maintain
an independent Hong Kong dollar, which would, as now,
circulate freely as an internationally convertible
currency. That convertibility is indeed a key element
in Hong Kong's prosperity. It must be underpinned by
really effective confidence.
The people of Hong Kong are naturally enough
asking for assurances that continuity and confidence
will be maintained. Neither in Hong Kong nor anywhere
else in today's troubled world can any government give
a cast iron assurance about the future. But certainly
we need to do all we can to meet Hong Kong's concerns.
That underlines the importance of our objective:
a binding international agreement in which arrangements
for Hong Kong's continuing prosperity and stability,
based on a substantial degree of autonomy, would be
formally recorded. We are looking for the clarity
and the detail which is essential to give confidence
to all those affected by the Agreement, in Hong Kong
and elsewhere.