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Kong should have.

We have at present по idea what the Chinese

this consutlative

Government's views on how

process will be carried

We are not seeking

to them that these matters are now

out and exactly what

rush them but it must be obvious

of very great interest in Hong Kong.

its scope should be.

to

12.

We recognise that there can be no early decisions and indeed

these decision s should not be taken without care ful consideration

and wide consultation. During the next year or So,

while this

debate proceeds in Hong Kong, neither Government should adopt

pre-conceived ideas. Both inside and outside the BLDC and BLCC,

ideas about Hong Kong's

The British side will not be formenting this debate: it will happen naturally. The results of September'

LEGCO election s and the short experience thus far of the new LEGCO indicate that this debate will be open, sincere and responsible.

there will be a considerable ferment

structure of government.

13.

of

As we said at JLG, We are in terest in a genuine two- dialogue. Believe this is best conducted informally and quietly t avoid either side adopting en trenched positions. Hope that the

Chinese side will share wilt us any preliminary thoughts they migh

have in this area SO that there can be a constructive exchange of

views based on direct knowledge of each other's thinking. Hope that

discussion in JLG will already have helped reassure Chinese

We have explained our thinking frankly to Chinese side.

Each side should be frank with the other about how their ideas ar

developing.

Government.

14.

been

be

There must

trust between us. We had

had hoped that this had

established when Deng told the Secretary of State in July 198

that Chinese had highest trust in Prime Minister/Secretary of Stat

We are therefore particularly disturbed

at recent signs of Chine

mistrust of our motives.

15.

May be helpful if I make s ome things clear. Britain in

seeking to make a profit out of Hong Kong, and protection.

economic interests is not our first concern. Nor are we trying left wing press in Hong Kong sometimes suggest, to leave behind

proxy pro-British adminstration after 1997. Our first concern

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