We
to discuss the Governor's proposals without preconditions. engaged in intensive diplomatic exchanges in February and March in an attempt to agree a satisfactory basis for talks. While these were taking place the Governor, with the advice of his Executive Council, delayed starting the legislative process. But we made it clear to China it was not possible to delay indefinitely, given the need to pass the necessary legislation, so that orderly arrangements can be made for the elections due in Hong Kong in 1994 and 1995. By 12 March, with no agreement on talks in sight, the Governor and his Executive Council decided, with Ministers' support, to publish his proposals in the form of draft legislation, the first step in the legislative process. But we continued to make it clear to China that this did not affect the need for talks, or our
wish for them.
16. A basis for talks was eventually agreed and they began in Peking on 22 April and are still continuing. Progress has been slow but the atmosphere has been businesslike. Following the meeting in Peking on 9 July between our two Foreign
Ministers, the negotiations are now focussing on the essential points of substance. There is still a considerable gap between our two sides but we are working for a successful
outcome.
17. Our aim is to reach an understanding with China, but not at any price. It remains an essential point for us that these
elections held under British administration should be fair,
open and acceptable to the people of Hong Kong. We have said we will recommend to the Legislative Council any understanding
reached with China. It will be for the Legislative Council to
pass the necessary legislation. We have said we will accept their judgement, provided it is compatible with our international obligations.
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