reasonable for Mr Hyde to request a reply to his letter

within a week. He is seeking to rush us. It is true

that the timing of the White Paper imposes a constraint

but the financial aspects do not need to have been cleared by

then. I accordingly submit a draft reply from you to

Mr Hyde which goes as far as we can at present. The

draft together with this minute, has been cleared with

ECD(I), HKD and Finance Department. Separate submissions

1

will follow on the common format look-alike' and the

arrangements for Hong Kong.

Page 45Page 46

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