TUESDAY, APRIL 9, 1991
THE
HONG
AIRPORT IS REGION? (2)
BOWRING (FAR EASTERN ECONOMIC REVIEW): YOU MENTION QUESTION OF ECONOMIC FACTS. IS IT NOT AN ECONOMIC FACT THAT THE KONG GOVERNMENT AND THE BRITISH GOVERNMENT BELIEVE THIS NECESSARY FOR THE CONTINUED ROLE OF HONG KONG IN THIS
(3) THAT THERE ARE THAT THIS AIRPORT PROJECT IS COMMERCIALLY VIABLE?
DOLLARS WORTH OF SOMETHING IN THE REGION OF 75 BILLION HONG KONG
IF AND (D) THAT
THE RESERVES
IN THE EXCHANGE FUND UNUSED? SITTING
IS UNITED KINGDOM GOVERNMENT TRULY BELIEVES THAT THE AIRPORT PROJECT
LEND THE MONEY NECESSARY
COMMERCIALLY VIABLE, WHY DOES IT NOT ITSELF, GUARANTEED AGAINST THE PRE-RESERVES OF THE EXCHANGE FUND?
-
-
NOT
J
MR HURD: BECAUSE IT IS NOT THE POLICY OF THE BRITISH GOVERNMENT
IT HAS NOT BEEN AND IT WILL TO LEND MONEY TO FINANCE HONG KONG
IF YOU CAN PUT IT THIS WAY BE. THIS IS ONE OF THE COMMON POINTS
WE DON'T, BETWEEN
CHINA. BRITAIN AND FINANCIALLY AND PEKING HAS NO INTENTION OF FINANCIALLY.
+
PHILIP
BOWRING:
■
A LOAN
TO' A
NOW, SUPPORT HONG KONG
THE SUPPORTING
S.A.R.
SOMEWHAT OF THAT;
FROM
GOVERNMENT IS A DIFFERENT ANIMAL FROM A GRANT, NO DOUBT YOU ARE WELL AWARE THE ECOD FOR EXAMPLE IS IN A POSITION TO GUARANTEE CERTAIN LOANS
THE AIRPORT SUPPORTING ANY CONTRIBUTIONS THAT BRITAIN MIGHT MAKE TO PROJECT, LIKEWISE – IF I MAY REFER YOU BACK TO MY QUESTION RELATING TO FINANCIAL THE FREE RESERVES OF THE EXCHANGE FUND HERE ARE ALL THESE RESOURCES, CAN THEY NOT BE PUT TO SEEING THAT WHAT IS SUPPOSED TO BE A CAN BE COMMERCIALLY VIABLE PROJECT WHICH IS NECESSARY FOR HONG KONG
UNDER NORMAL RULES OF CARRIED OUT BY INTERNATIONAL INTERNATIONAL CONTRACTING.
CONTRACTORS
MR HURD: SUPPOSING SOME FORM OF SUPPORT FROM BRITAIN WHETHER IN THE FORM OF A SOFT LOAN OR...
PHILIP
CLEAR.
BOWRING:
.BRITISH
GOVERNMENT LOAN I
IT MADE
VERY
SAY.
YOU
OF COURSE ECGD CIRCUMSTANCES
MR HURD: I AM TRYING TO MAKE SENSE OF WHAT YOU DID ARE SAYING YOU ARE NOT TALKING ABOUT A GRANT AND SO YOU ARE PRESUMABLY TALKING ABOUT A LOAN WHICH IS GUARANTEED IN SOME WAY.
IN CERTAIN COVER IS ECGD
AND IT DOES COVER COVER PROJECTS CARRIED OUT BY BRITISH FIRMS. BUT I REPEAT MY WHICH YOUR
THAT IT HAS NOT BEEN AND IT QUESTION ASKS; POLICY OF THE BRITISH GOVERNMENT TO GIVE BRITISH FINANCIAL SUPPORT IT WOULD BE THOUGHT VERY ODD IF THIS OR TO ANY HONG KONG PROJECT. DID.
MAIN POINTS IS NOT THE
ΤΟ
WE
PHILIP BOWRING: CAN YOU
+
TO THE RESERVES QUESTION?
MR HURD: THE USE WHICH THE HONG KONG GOVERNMENT MAKES RESERVES IS A MATTER FOR THE HONG KONG GOVERNMENT.
OF
ITS
PHILIP BOWRING : I AM SORRY BUT THE EXCHANGE FUND RESERVES IN FACT ENTIRELY IN YOUR CONTROL.
ARE
MR HURD: THE USE WHICH THE HONG KONG GOVERNMENT MAKES ALL THE RESERVES IS A MATTER FOR THE HONG KONG GOVERNMENT. WHICH I HAVE SEEN FOR THE POSSIBLE VARIATIONS OF THE AIRPORT INVOLVE ABOUT 25 PER CENT, ABOUT 1/4 OF PRIVATE INVESTMENT AND WHY I POCUSED ON THAT POINT IN MY EARLIER REPLY.
OF ITS
FIGURES PROJECT THAT'S
/S.Y. YUE