CONFIDENTIAL

SECRETARY OF STATE'S MEETINGS WITH CONSERVATIVE MPS ON

27 AND 28 MARCH

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McMorris

Points to Make

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Chinese Reactions to the 94 APR:1800 Package

We must get on with

The subruisson on

The package is not aimed against China and will not damage Chinese interests. Under the Joint Declaration we have an obligation to maintain the stability and prosperity of Hong Kong. This is

precisely what our package is designed to achieve. The aim is to keep people in Hong Kong for the benefit of Hong Kong (and therefore also China).

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Consules Protection

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- It has always been clear from the Joint Declaration that a few

posts in the future SAR Government would be reserved for Chin

nationals. We accept that those who wish to reach these top posts

will therefore have to decide whether to apply for British

citizenship.

- The British Government's task in keeping Hong Kong stable and

prosperous until 1997 is not easy. But it will be made more

difficult, if the Chinese Government are determined to take a

hostile view of the measures which we take to try to keep people in

Hong Kong and working for Hong Kong.

- But HMG are committed to package and are determined to see

legislation through.

We look to our Chinese colleagues to support us (as they are pledged to do under Joint Declaration) in our efforts to fulfil our

commitment to the Joint Declaration.

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Joint Declaration guarantees rights of Hong Kong residents

including foreign nationals. Specifically states that they can continue to be employed and recruited into public service except for

certain, very senior posts.

MTHAOK

CONFIDENTIAL

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