XN000022-1978-10-11 — Page 3

WEDNESDAY, OCTOBER 11, 1978

HONG KONG'S PROSPECTS ARE BRIGHT, SAYS GOVERNOR ******

THE GOVERNOR, SIR MURRAY MACLEHOSE, SAID TODAY WITH THE GOOD- WILL OF CHINA AND SUPPORT OF THE UNITED KINGDOM THE PROSPECTS FOR HONG KONG ARE SURELY BRIGHT.

WINDING UP HIS OPENING ADDRESS TO THE LEGISLATIVE COUNCIL, SIR MURRAY NOTED THAT CHINA WAS POISED FOR A PERIOD OF RAPID MODERNISATION AND THAT THE WESTERN PACIFIC BASIN AND SOUTH-EAST ASIA REPRESENTED ONE OF THE FASTEST GROWTH AREAS IN THE WORLD.

+ IN THE MIDDLE OF THIS FERMENT OF ACTIVITY IS HONG KONG WITH ITS MAGNIFICENT COMMUNICATIONS, ALL THE MODERN FACILITIES REQUIRED BY INTERNATIONAL COMMERCE AND FINANCE, DYNAMIC AND EVOLVING INDUSTRIES, A LARGE MARKET IN ITS OWN RIGHT, A CONVENIENT PLATFORM FROM WHICH OTHER MARKETS CAN BE WORKED, A STABLE GOVERNMENT, AND IT IS, AND WILL BE EVEN MORE SO IN SIX YEARS' TIME, A HONG KONG THAT HAS BEEN RE-BUILT, RELOCATED AND REGENERATED, HE SAID.

SIR MURRAY SAID AN IMMENSE AMOUNT HAD ALREADY BEEN ACHIEVED DURING THE 1970S - WHETHER IN ECONOMIC, FINANCIAL, SOCIAL OR CULTURAL TERMS, THE PROGRESS, IN WHICH ALL OF THE PEOPLE OF HONG KONG HAD PLAYED A PART, WAS THERE FOR ALL TO SEE.

THE GOVERNMENT'S PLANS FOR EXPANSION, HE SAID, WERE DESIGNED TO CONTINUE THE PROGRESS OF THE SEVENTIES AND, BY THE MID-80S, TO HAVE LIFTED THE LIFE OF HONG KONG ON TO A PLATEAU ON WHICH THE SAME SORT OF MASSIVE EFFORT OF CHANGE WILL NO LONGER BE NECESSARY.

+WITH NEW TOWNS AND NEW LAND IN WHICH TO DEVELOP, WITH THE CROWDED INSANITARY AND INSECURE CONDITIONS OF THE PAST BEHIND US. THE UNIVERSAL OPPORTUNITIES FOR EDUCATION TO SUSTAIN OUR ABILITY TO GRASP WHAT THE FUTURE OFFERS, AND WITH FACILITIES FOR A CULTURAL AND RECREATIONAL ELEMENT OF LIFE UNKNOWN TEN YEARS AGO HONG KONG WILL BE ABLE TO TAKE ITS RIGHTFUL PLACE IN THE REGION WITH ITS HEAD HELD HIGH, HE SAID.

SIR MURRAY BEGAN HIS ADDRESS BY REFERRING TO THE CONTINUING GOOD SINO-BRITISH RELATIONS. THEY ARE GOOD SPECIFICALLY OVER HONG KONG, AND WE KNOW WELL THE FRIENDLY AND HELPFUL ATTITUDE OF CHINESE OFFICIALS STATIONED IN HONG KONG.

THIS, HE SAID, HAD BEEN MANIFESTED IN MANY WAYS -- INCLUDING INVESTMENT AND MOVES TO IMPROVE COMMUNICATION, AND THE RECENT AGREEMENT BY THE KWANTUNG WATER AUTHORITY TO INCREASE HONG KONG'S SUPPLY OF WATER FROM THE EAST RIVER BY 33 PER CENT BY 1982. SIR MURRAY SAID AN AGREEMENT TO THIS EFFECT WOULD BE SIGNED SOON, PROBABLY IN CANTON.

/TURNING TO