Singapore, where it was expected that the initial constitutional advance would take the form of broadening the representative basis of the Municipality, and transferring to it some of the functions of the Central Government. I need not trouble you with the reasons leading up to the recommendation, which is now under consideration, that the principal changes should be made in the Legislative Council. But they undoubtedly have some bearing on the view so far as the Singapore precedent is concerned, that the creation of a Municipality in Hong Kong should be the main line of constitutional advance.
4. The second factor is the decided lack of enthusiasm on the part of the inhabitants of Hong Kong for any constitutional changes, reported in your confidential despatch of the 22nd October. In view of this, it might be represented that a facade of local Government is being created, for which there is no demand, in order to avoid the liberalisation of the Central Government. Having regard to the fact that the population in Singapore is also largely Chinese, an announcement of the decision regarding constitutional changes in that Colony, which may well be made shortly, might cause the general public in Hong Kong to think that there is some substance in this view, and their apathy and apprehension to become still more pronounced, with a corresponding diminution in whatever prospects there may be of the population co-operating in carrying out the scheme for an elected Municipal Council.
5€ I recoghise that the lack of enthusiasm for the Municipal Council proposel is due in part to the fear of domination by the Kuomintang, and that there is some basis for this fear. I have read in this connection, with some concern, the memorandum enclosed with your confidential despatch of 28th November, from which it appears that the Kuomintang are in a strong position to influence the Chinese population in Hong Kong. To some extent this factor is an argument for the Amicipal Council proposals, since the Kuomintang would have
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