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for more. The 1990 exchange of letters did not constitute an agreement to give up pressure on directly elected seats. exchange was part of a discussion which had not been concluded. But the Government's proposals recognised that there should be no more than 20 such seats in 1995 (and incidently that Martin Lee should not be appointed to ExCo). HMG had therefore conceded much of what the Chinese wanted. He then explained how in four areas (the method of electing LegCo; the composition of LegCo; functional constituencies; the election committee) there was no inconsistency between the proposals and agreements with the Chinese. (He also handed over a copy of the Secretary of State's "Dear Colleague" letter of March.) 24
4. Lord Bramall asked if Mr Goodlad was optimistic about the outcome of negotiations. Mr Goodlad said that the atmosphere was normal. He was optimistic. Lord Bramall said he assumed that the Chinese would keep their word if they did reach an agreement. But there would be difficulty if they saw Hong Kong
Mr as a springboard pushing them towards political change. Goodlad said that "one country two systems" had been a Chinese idea and they had agreed to a high degree of autonomy for Hong Kong. But the collapse of the Former Soviet Union had made them concerned about possible chaos. Of course the Chinese were neuralgic but China had to live in an international world. Confidence in Hong Kong was currently
Mr Lord Bramall commented that Swires were concerned. Goodlad said that Swires and others wanted stability, certainty and the rule of law. Only the sort of arrangements under discussion could ensure these things.
high.
Ethnic Minority
5. Lord Bramall added that there was great concern in LegCo
These over the non-Chinese ethnic minority in Hong Kong. people had no roots with their "ethnic countries" and could be stateless after 1997. They could apply for a travel document but this ran out after one generation. They had no right of abode in the UK and might not be able to become Chinese nationals. There were not many of them and most wished to stay in Hong Kong. Mr Goodlad said that this was a matter for the Home Office. But we and the Chinese recognised the important
HMG had contribution that the minority made to Hong Kong. accepted that their case should be considered sympathetically if they came under any pressure to leave Hong Kong. The Home But Office, at LegCo's request, were reviewing HMG's policy.
Mr there was no question of anyone being rendered stateless. Hum commented that they would retain British nationality for two generations and that they would acquire this irrespective
Lord Bramall said it of whether they applied formally for it. would be helpful if this could be explained to LegCo. Goodlad said that it had: but politicians would be
Mr
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