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TACKLE BOTH THE FINANCIAL AND FACE'' ASPECTS. THIS MEANS NOT ONLY CONVINCING THE CHINESE ABOUT THE FINANCIAL SOUNDNESS OF THE PROJECT, BUT ALSO CONVINCING THEM OF OUR SINCERITY IN THE CONSULTATIONS. IT IS FOR THE GOVERNOR TO ASSESS WHETHER THERE IS ANY LEEWAY IN THE TIMETABLE FOR THE PROJECT WHICH WOULD ALLOW A DELAY WHILE CONSULTATIONS CONTINUE, AND WHETHER THIS IS ACCEPTABLE IN HONG KONG TERMS. IT IS ALSO FOR HIM TO ASSESS WHETHER HKG CAN GO AHEAD WITH THE PROJECT WITHOUT CHINESE SUPPORT. HOWEVER, THE LATTER COURSE WOULD BE A DANGEROUS GAMBLE TO TAKE, AND WOULD RISK SERIOUS REPERCUSSIONS IN OTHER AREAS OF WORK ON
HONG KONG.
DONALD
YYYY
ΜΑΙΝ
74
.PADS
LIMITED
HKD
COMED
ERD
ECONOMIC ADVISERS
HD/FED
NEWS D
ADDITIONAL
1
MR YAXLEY HKGO LONDON
NNNN
DISTRIBUTION
75
PUSD
RAD
PS/LORD CAITHNESS
PS/MR LENNOX-BOYD
MR BAYNE
MR MCLAREN
MR MILES
MR BURNS
4
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CONFIDENTIAL