NABAAK (2)
CONFIDENTIAL
US Administration could help to restore confidence by
encouraging US firms to continue to invest in territory;
making clear publicly that they would be prepared to provide home for Hong Kong people if things went disatrously wrong.
supporting Hong Kong's inclusion in November ministerial meeting of Asia/Pacific Economic Forum. Do not see why Chinese
should object to this : Hong Kong has full autonomy in conduct
of its external commercial relations. November meeting purely
consultative and non-binding.
For our part, will be pressing Chinese to take concrete steps to
help rebuild confidence, eg in revising Basic Law to ensure that it
meets Hong Kong concerns.
Will resume contacts on implementation of Joint Declaration at
end of September. Does not indicate weakening of general
condemnation of China, but recognises special position of Hong Kong and need to continue preparation for transfer in 1997.
VIETNAMESE BOAT PEOPLE
Pressure on Hong Kong intolerable.
arrive in large numbers.
Boat people continue to
Over 32,000 arrivals in 1989; 4000 in
August alone, an average rate of 140 a day.
There has been rioting in the camps resulting from frustration and overcrowding, protests by local residents against granting first asylum and an outbreak of cholera.
Voluntary repatriation is proceeding but with disappointing results (only 264 have returned to date). Barring a dramatic improvement in the voluntary programme, we see no alternative but to move to mandatory repatriation when the Geneva Conference Steering Committee meets in October.
CONFIDENTIAL