FCS/89/110
CONFIDENTIAL
HKB 2+3/11
HKD
50.
Miss Magn Mc ForGKany
Mr Heaven 26
CHIEF SECRETARY TO THE TREASURY
Vietnamese Boat People in Hong Kong
1. In my minute of 22 May I warned that the serious crisis
in Hong Kong caused by the rapid increase in the numbers of Vietnamese boat people arriving there would almost
certainly mean that the Government would be faced with additional funding requirements; and that it would be
necessary for me to come to you for extra resources from
the Reserve.
2. That situation has now arisen. Since I minuted to
you the crisis in Hong Kong has deteriorated dramatically.
The population of boat people there has risen to well
over 38,000. 9,400 people arrived in May, and almost 3,000 of them in the past week. There are no signs of the flood abating. The accommodation situation is now
desperate. The Hong Kong authorities have exhausted all available accommodation options.
3. At the same time, the political climate in Hong Kong has worsened. Local feelings against the boat people and criticism of the policy of first asylum have inten- sified. On 30 May the Executive Council asked the Governor
to pass a message to the Government calling for urgent assistance from the UK. The full background to the present crisis, and our proposals for dealing with it, are set out in a paper which I will be circulating shortly for
OD to consider on 8 June. Your officials have seen this
paper in draft.
CONFIDENTIAL