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living.

DSR 11C (Revised 5/87)

Hong Kong Chinese ask why the boat people are

not promptly repatriated to Vietnam and compare their

treatment with that accorded to ethnic Chinese entering

Hong Kong illegally from China (some 20,000 per year) who

are sent back within 48 hours. There is a widespread

feeling that the first asylum policy and the problems

which that entails have been imposed on Hong Kong by HMG

and that Hong Kong has been left to pick up the bill.

There are increasingly strident calls for the policy of

first asylum to be abandoned or for HMG to face the

financial consequences.

In Confidence

Fourthly, and potentially most serious of all, the

political situation in Hong Kong has changed

significantly. Since the signing of the Sino-British

Joint Declaration on the future of Hong Kong, and

following the introduction in 1985 of indirectly elected

members, the Legislative Council (LEGCO) has become much

more assertive. LEGCO members, who see themselves as

representing the anger and frustration of local people,

have the power to block all further expenditure on boat

people by voting against the administration's proposals

in the Finance Committee. If that happened, the Governor

would have no alternative recourse to funds. He cannot

override their decision. On 3 May, in an unprecedented

vote, 11 members out of 46 voted against a proposal for

new expenditure on boat people.

against could be in a majority.

Next time the votes

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