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CONFIDENTIAL

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the point of view of its

likely operation after 1997 when Hong Kong will be under the ultimate authority of a government which has very different ideals from Locke and

Hume.

8.

there may well

A s you say uneasiness in Hong Kong in the

be an other period of

1990s.

The British to demonstrate its

Government will do all it can continuing commitment to the territory. We will have to pay particular attention in this period to morale in the Civil Service and the police.

9.

The Government in tend to implement the agreement fully, and I am confident that the present Chinese leadership intend to do SO also, and are anxious to make sure it is a success. They have already demonstrated that they are sensitive to the need not to appear to be interfering in the administration of Hong Kong. We have got off to a good start in both the Land Commission and

the Joint Liaison Group.

is prospect that future Chinese leaders will be equally committed to the agreement.

We must possible to ensure that they are. The next 12 years will at times be tense, and confidence will con tin ue to be fragile.

Hard work an d

constan t vigilance will be

needed.

cc: Sir Richard Evans KCMG

There

uns even

/my.

a reasonable

do

A C Galsworthy Hong Kong Department

every thing

PEKING

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