1
CONFIDENTIAL
4. As a result of this long-standing policy, there are at present no Missions from Communist (or former Communist) countries in Hong
Kong, apart from a Cuban Consulate-General, which was established
before Castro came to power, and a very small Vietnamese office,
which has no consular status.
5. Visa policy for Soviet and East European nationals was reviewd by the Hong Kong Government last year and relaxed for business
visitors and those attending conferences. The Hong Kong Government
are now reviewing their visa policy again to see if further
liberalisation is justified.
6. As far as the opening of a Hungarian trade office is concerned, the Governor considers tht it would be best, given Chinese sensitivites, to proceed in a measured way, starting with easier access for Hungarian (and other East European) businessmen who want
to visit Hong Kong to pursue trade opportunities.
7. In the light of recent developments in Eastern Europe (including
the elections held in Hungary on 25 March, with a second round on 8
April) the arguments for maintaining a restrictive policy are fast being undermined, to the extent that they are still valid at all. There is much to be said for establishing the most comprehensive foreign representation possible in Hong Kong before 1997. Given the
rapidly expanding trade links between the emerging Eastern European democracies and Hong Kong's neighbours and competitors, particularly South Korea, a further relaxation would seem to be in Hong Kong's
economic interests.