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4.

Relationship between the Basic Law and the PRC Constitution?

We believe that the draft Basic Law defines with some clarity the constitutional relationship between Hong Kong and the central authorities. There will be a general area where the SAR has

autonomy, as well as specific areas where the Central People's

Government will have powers available to it. This arguably implies

It is also gratifying

a clearer degree of autonomy than at present.

to see the clear statements in the draft Basic law that socialist

policies will not be practised in the SAR and that Hong Kong will

retain its capitalist system and lifestyle for 50 years [Article 4].

These provisions displace the corresponding parts of the Chinese

constitution so far as its application to the Special Administrative

Region is concerned.

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