The transfer of advanced technology, which is at present restricted to non-communist countries, should not be prevented as a result of Hong Kong's new status;
Proper procedures should be established for arbitration in any commercial dispute which might arise between Hong Kong based companies and organizations in China; and
The fishing rights of Hong Kong fishermen should not be overlooked.
Section VII The Monetary System
4.25 The provisions for the preservation of the existing financial and monetary system in Hong Kong were well received in banking circles. The accord was considered to have helped to clear uncertainties and would boost confidence in Hong Kong's future as a financial centre. The commercial sector was also confident that Hong Kong would continue to attract foreign investment and serve as a stepping-stone for those who wish to trade with China.
4.26 Comments have centred on:-
-maintenance of the existing monetary system,
-the Hong Kong currencies.
4.27 The importance of a stable and credible monetary system was recognised. It has been pointed out that the management and control of the Exchange Fund must continue to maintain a mixed portfolio of currencies and instruments freely disposable in leading financial markets of the world.
4.28 Support was expressed for the provision that the SAR shall issue Hong Kong Currency. As the draft agreement did not specify which bank would be authorised to issue Hong Kong bank notes, it has been suggested that this be clarified. A few individuals were concerned that the Hong Kong Dollar should be the sole legal tender in the Hong Kong SAR after 1997, to the exclusion of the Chinese and other currencies and that its value should be maintained.
4.29 Another point raised was the establishment of a central bank in the Hong Kong SAR.
Section VIII Shipping
4.30 There has been relatively little discussion on this subject, except by those closely involved. The Chairman of the World-wide Shipping Agency Ltd. was reported to have indicated his satisfaction over the Joint Declaration. He was particularly pleased about the provisions for the Hong Kong SAR to maintain its previous system of shipping management and shipping regulation, and that private shipping business and private container terminals in Hong Kong may continue to operate freely.
4.31 Comments have focused on:
-maintenance of Hong Kong as a free port,
-shipping register,
-employment and training of seamen.
3159803
31
E* 2