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between Cable & Wireless and the Guangdong authorities to set up

a telecommunications system to back up the oil development.

Perhaps you'll be most interested in the outcome of my discussions in Peking on the future of Hong Kong, which occupied some 4k hours. After my meeting with Chairman Deng, we issued an agreed statement which I will repeat "The leaders of both countries held far-reaching talks in a friendly atmosphere on the future of Hong Kong. Both leaders made clear their respective positions on this subject; they agreed to enter into talks through diplomatic channels following the visit, with the common aim for maintaining the stability and prosperity of Hong Kong."

Could I once again draw attention to the fact that the Chinese leaders and I identified a common aim of maintaining stability and prosperity in Hong Kong.

In Hong Kong my purpose is to see what is happening since I was last here five years ago, and to pay particular attention

I have already net to the views of the people who live here.

members of the Executive and Legislative Councils in the form of

UMELCO, and many representatives of the business community.

·

Later today and tomorrow, I shall meet people from many other walks of life. I have been at pains to stress that the British Governme

as leader has a clear responsibility for the people of Hong Kong:

of that Government what matters to me is that we discharge our moral duty to them. I would like to add that my objective on this part of the tour has been to further co-operation between Chinese and British Governments and to generate confidence for the talks ahead: My aim here has been to demonstrate British commitment to the people of Hong Kong and to consult on the task thes which lies ahead, so co-operation, confidence, commitment words sum up what my visit has been abouti

So far, so good/b

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