CONFIDENTIAL
FM HONG KONG
TO PRIORITY FCO
TELNO 1022
OF 090935Z APRIL 92
CONFIDENTIAL
низ 10211
AMENDED.DISTRIBUTION
10160OZ
لأ
073535 MDLIAN 8191
FINANCING OF AIRPORT CORE PROGRAMME (ACP) PROJECTS: POSSIBLE ADB
LENDING
SUMMARY
ACCESS TO ASIAN DEVELOPMENT BANK (ADB) LENDING EVEN IF ONLY TO A NOMINAL EXTENT WOULD, OUR FINANCIAL ADVISERS BELIEVE, MATERIALLY ASSIST US IN RAISING MARKET FINANCE FOR ACP PROJECTS. IT WOULD BE HELPFUL IF THE U.K. DIRECTOR COULD BE ASKED TO JOIN THE AUSTRALIAN DIRECTOR, WHO REPRESENTS HONG KONG, IN LOBBYING OTHER DIRECTORS FOR SUPPORT FOR SUCH LENDING.
DETAIL
2. IN PARA 3 OF OUR TELNO 779 WE INFORMED YOU OF AN INDICATION OF SUPPORT FROM CHINA FOR ADB LOANS TO HONG KONG FOR THE ACP PROJECTS. THIS RESULTED FROM SOUNDINGS TAKEN OF THE CHINESE AND SOME OTHER EXECUTIVE DIRECTORS IN THE ADB BY THE AUSTRALIAN EXECUTIVE DIRECTOR WHO REPRESENTS HONG KONG IN THE BANK.
3.
GENERALLY SPEAKING OUR LEVEL OF ECONOMIC DEVELOPMENT MEANS THAT HONG KONG IS UNLIKELY TO MEET THE PER CAPITA INCOME GUIDELINES ASSOCIATED WITH PUBLIC SECTOR ADB FINANCING. BUT ADB PARTICIPATION, HOWEVER NOMINAL, WOULD, OUR FINANCIAL ADVISERS MORGAN STANLEY BELIEVE, MATERIALLY ASSIST IN CREATING A POSITIVE ATTITUDE BY INTERNATIONAL BANKS TO ACP PROJECTS. WE THEREFORE CAME TO THE VIEW THAT WE SHOULD SOUND OUT THE BANK ON GIVING SPECIAL CONSIDERATION TO EXTENDING PUBLIC AND/OR PRIVATE SECTOR LOANS TO INDIVIDUAL ACP PROJECTS, PARTICULARLY ON THE BASIS THAT THIS WOULD EMPHASISE THE BANK'S LONG-TERM CONFIDENCE IN HONG KONG AS WELL ASSIST IN PROMOTING THE DEVELOPMENT OF THE ENTIRE PEARL RIVER DELTA REGION.
4. THE AUSTRALIAN EXECUTIVE DIRECTOR WAS THEREFORE REQUESTED BY US TO SOUND OUT THE ADB ACCORDINGLY. WE ARE TOLD THAT THE BANK'S VICE PRESIDENTS HAVE BEEN GENERALLY SYMPATHETIC TO HK'S ARGUMENTS BUT THE BANK PRESIDENT HAS TAKEN A NEGATIVE STANCE BECAUSE HONG
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