- 5-

!

So.

Our economy was

and forecast an

Our annual GDP growth had

been around

5

would catch up with the UK by next year or

thriving. We could keep tax low, spend more,

increasing reserve.

percent during the last few years and would continue at that rate

in the years to come, We had a growing middle class in Hong Kong

The rule of and we could not frustrate their higher aspirations.

law was important in Hong Kong for our future economic development

and stability.

8. Senator Mitchell asked the Governor to give some attention to

illegal transhipment of goods through Hong Kong,

He said US

The Governor said we had customs was worried about this problem.

just had a team of US customs officials in Hong Kong working with

their Hong Kong counterparts to investigate the matter. Hong Kong

would do as much as possible to stamp out the problem.

9.

Senator Mitchell also asked the Governor for some information

on the number and breakdown of the expatriate population in Hong 'X'

Kong. The Governor said he would arrange for the information to be

sent to him as early as possible.

Сс

CS F'S

STI

PA

PS/GH IC

Mr. Llewellyn

CC

Mr. P. Ricketts, HKD/FCO

Mr. B. Wiggham, HKETO

Mr. S. Pattison, BE Washington

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