CONFIDENTIAL

7.

The other major issue on which an early decision will be required is the nature and pace of democratisation. Ministers will need to have taken a view by mid September about what should be in

the Basic Law about this, so that the Secretary of State can put our

ideas to Qian Qichen at UNGA. We would not however want to be too

specific about our thinking in our reply to the Foreign Affairs Committee. A decision/announcement on the 1991 LegCo elections is

not needed until next year.

8. We could if necessary let the timing of our reply slip to the end of September/early October. But I am sure that it should not be

delayed beyond that. In any case, it should be out before the House

of Commons reconvenes on 17 October.

CONFIDENTIAL

ARPanc

A R Paul

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