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The first point I want to make is the importance of main-
taining of fair, open and transparent political, economic and
social systems. I feel that one of the main underlying factors
which has ensured the continued attraction of Hong Kong to over-
seas investors and companies, has been the establishment of the
rule of law, and the fair and open political, economic and social
systems. I believe that it is imperative to continue to make
efforts to retain these transparent systems in Hong Kong.
This point is made all the more important when one considers
the great social problem of corruption in China which may have a
negative influence on the systems in Hong Kong. Now the Chinese
leadership seems determined to tackle this problem. I hope
strongly that China can overcome the problem of corruption and
Hong Kong will not be adversely affected by corruption.
(7) The second point I want to make is the Japanese position
with regard to the questions of 1997 and China. At present the
British and Chinese Governments continue to conduct negotiations
for the smooth transition of sovereignty. The Japanese Government
strongly believes that Hong Kong's future stability and prosperi-
ty is important not only for Hong Kong itself, but also for the
stability and prosperity of the Asia-Pacific Region as a whole,
this of course including Japan and China. For Hong Kong to remain