Miss Brooks
Legal Advisers
71/613 102/5
T. AF:
Maste'
Reference
File
بسم
Folio 1 attadred.
HONG KONG EXCHANGE FUND ORDINANCE: IMPROVED INVESTMENTS
1.
Hong Kong have sought the Secretary of State's approval, under Section 3 (2) of the Exchange Fund Ordinance for the investment of up to 10% of the foreign exchange assets in the fund in the United States equity market. I should be grateful for your advice as to whether it is necessary for us to obtain the personal approval of the Secretary of State or whether this may be done at a lower level.
2. I have checked the file of the last time that Hong Kong asked for similar approval (in 1983). It is clear from the file that Ministers were not approached and the agreement was simply given by telegraphic exchange. Is there any hard and
fast rule as to how one approaches these types of "approval" or does it very much rest with us as to whether we consider the proposition to be important or not?
CODE 18-77
Mill offee.
M V Stone
Hong Kong Department
WH 304 270 2651
8 April 1992
CHAAHT