CONFIDENTIAL

Q.

A.

What if there is

not convergence between the outcome of the

review and the provisions of the Basic Law?

Evidently it is important that there should be compatibility

between these two sets of arrangements, SO that a smooth

transition can be achieved. We have to work to ensure that

the British and Chinese Governments are fully alive to each

other's concerns, and also to the views expressed by the people of Hong Kong. That is being done through a wide range

of channels and contacts.

Q.

A.

Do you think it is advisable or necessary to introduce

changes in the next 10 years to the existing political system

of Hong Kong? What sort of changes?

Hong Kong is a living political entity, and must be able to adapt to changing situations. Some changes will obviously be

needed in the process of implementing the Joint Declaration.

I do not think it is useful to try to predict now what sort

of changes will be right to respond to the changing situation

between now and 1997.

Hong Kong's approach to the

development of political arrangements has all along been one

of good sense and caution. I am sure this will continue.

Q.

A.

Do you think Britain has the primary responsibility for

resolving the Vietnamese refugee problem in Hong Kong? Do

you support LegCo's stand on this matter? What can be done

to bring further pressure on HMG?

I

I am well aware of the heavy burden Hong Kong has carried as

а result of the tragic problem of the Vietnamese refugees.

had personal experience of this in 1979. The question is

much in the minds of British Ministers, who are currently

discussing what more needs to be done to help Hong Kong, and

to seek a wider international solution to the problem.

CONFIDENTIAL

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