08 DEC '92 11:06 M & CO 3 LOMBARD ST.

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All this has changed the way in which people in Hong Kong

view China. Much of the anxiety about 1997, which reached a

pitch after Tiananmen Square, has dissipated. There is greater

awareness for the opportunities, particularly the economic and

trade advantages which Hong Kong will gain. There is

understandable pride in China's achievements.

Many people would say that it would be better all round to

keep politics out of Hong Kong and concentrate on prosperity.

But life is not like that. Hong Kong is not going to be a politics-

free zone. It cannot survive just as a paradise for businessmen.

Its people want a steadily bigger say in the way they are

governed.

That has been happening and will continue. Over the last few years more members of Hong Kong's legislature have been

directly elected. China has agreed that the number should

continue to rise after 1997.

The Basic Law, which will be Hong Kong's future

constitution, builds on the Joint Declaration which China and

Britain signed in 1984. That guarantees that Hong Kong will keep

its way of life for at least 50 years after 1997.

You might ask: why is there such a fuss? Surely the

barometer is set fair for the future?

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