CONFIDENTIAL

Sevetary of State

2026

(180)

(57)

HKB

182 12.

FROM:

91

DATE:

Cc:

Redacted under FOI exemption section 27 (1)|

A R Paul

Hong Kong Department

26 February 1991

PS/Lord Caithness

Mr McLaren

Mr Burns

Mr Davies, FED

Private Secretary

PADS: THE WAY FORWARD

Problem

1.

Alrew

12612

261

The Governor has sought our views on the way forward. How should we respond?

Recommendation

2.

I recommend that Sir A Donald be instructed to inform

the Chinese that:

(b) we nevertheless understand Chinese concerns about the

future finances of the Hong Kong SAR; and that the Governor

will be ready to discuss how such concerns could be met

during Lu Ping's visit to Hong Kong early next month.

VIMACT/1

CC

CONFIDENTIAL

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