GF 323

CONFIDENTIAL

Weekly Information Report

Week ending 17 April 1991

The Future

機密

Mr Strace

Pa pads

GYUA

General HKB 182 / 4

The report, which was dominated by Sino-British-Hong Kong

Relations (10 WIRS), contains information from the Hong Kong and Kowloon

regions.

Sino-British-Hong Kong Relations

2.

The vast majority of respondents across the Urban region,

expressed disappointment that the British Foreign Secretary's visit

to China had failed to produce any concrete agreement on the PADS project.

The majority of them were however comforted in their belief, that Britain

had not sold out Hong Kong's interest in its endeavour to

reach agree-

ment with China. The consensus of opinion by respondents was that

the autonomy and independence of HKG was of vital importance. Some

were of the view that China should be consulted on projects which

straddled 1997, but the vast majority firmly believed that HKG's authority

in decision making, must not be compromised, and there was overwhelming

support for HMG/HKG's interpretation of " consultation " in the Joint

Declaration.

Although some respondents felt that PADS could be shelved

if China did not support the project, the majority were optimistic that

an agreement would be reached at the end of the day by CPG/HMG.

A recent statement made by a senior Chinese official about comments made

by OMELCO members; regarding Sino-British talks concerning the airport

project, whilst talks in Peking were continuing, drew a strong reaction

from respondents. They considered the remarks objectionable, and

felt very strongly that freedom to express one's view on Hong Kong

matters must be respected and maintained at all costs.

3.

Contacts in Wan Chai wanted to see a decision on the air-

port, one way or another, as the current impasse, if prolonged, would undermine the confidence of both local and international investors in

the Territory. Some however, whilst recognising the economic sig- nificance of the project, shared the concern of the CPG, on the afford- ability of the multi-million dollar project.

CONFIDENTIAL

/ 4. Respondents...

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