XN000022-1984-09-27 — Page 15

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THURSDAY, SEPTEMBER 27, 1984

A.

WELL, THE ANSWER IS SET OUT IN THE WHITE PAPER WHERE THE UK GOVERNMENT MADE QUITE CLEAR THAT THERE IS TO BE A TRANSITION IN 1997. IT CAN BE A TRANSITION ON THE BASIS OF WHAT I BELIEVE TO BE A GOOD AND ACCEPTABLE AGREEMENT, OR A TRANSITION WITHOUT THAT AGREEMENT. I HAVE LITTLE DOUBT AS TO WHICH IS THE BETTER COURSE.

Q. WEN WEI PO: AS YOU HAVE MENTIONED BEFORE THAT THIS IS A GOOD AGREEMENT THAT YOU WOULD RECOMMEND TO THE PEOPLE OF HONG KONG, THEN WHAT WILL THE GOVERNMENT DO IN THE COMING 13 YEARS ON WHICH TO BUILD WITH CONFIDENCE?

A. I THINK THE GOVERNMENT HAS ALL ALONG BEEN QUITE CLEAR ON WHAT IT PROPOSED TO DO DURING THE PERIOD IN WHICH WE ARE RESPONSIBLE FOR THE ADMINISTRATION OF HONG KONG. I SAID AT ONE OF THE VERY EARLY STATEMENTS I MADE TO THE LEGISLATIVE COUNCIL THAT WE INTENDED TO CONTINUE TO GOVERN THIS TERRITORY EFFICIENTLY AND IN THE INTERESTS OF ITS PEOPLE. WE INTENDED TO CONTINUE OUR INVESTMENT IN ITS FUTURE IN ORDER TO PROVIDE THE BASIS FOR THOSE ESSENTIAL SERVICES WHICH PEOPLE NEED. SO, THE SHORT ANSWER TO YOUR QUESTION IS THAT WE INTEND TO GO ON GOVERNING THIS TERRITORY IN THE INTERESTS OF ITS PEOPLE.

Q. CLAUDIA MO, TVB NEWS: SIR, WHAT IS GOING TO HAPPEN TO HONG KONG'S OVERSEAS RESERVES WHICH AMOUNT TO BILLIONS OF DOLLARS, BEFORE AND AFTER 1997?

A. WELL, IF YOU'RE REFERRING TO THE EXCHANGE FUND, YOU WILL FIND A CLEAR PROVISION IN THE AGREEMENT WHICH MAKES QUITE CLEAR THAT THE EXCHANGE FUND WILL CONTINUE TO BE MANAGED BY HONG KONG, AND THE HONG KONG SAR.

Q.

HON

UNIDENT IF IED REPORTER: SIR, IT IS OFTEN THE CASE THAT COUNTRIES WHO HAVE A LOT OF CLOUT WITH EACH OTHER WHO HAVING NEGOTIATED A TREATY, WILL TRY TO CHANGE THE TERMS OF THAT TREATY OR GET OUT OF IT. NOW, THIS IS NOT UMCOMMON, ONE COULD QUOTE PERHAPS THE EEC COUNTRIES. HONG KONG IS NOT GOING TO HAVE ANY MUSCLE OR CLOUT. WOULD YOU SUGGEST THAT WE SHOULD BE CONVINCED BY THE SIGNATORIES TO THIS AGREEMENT OR TO THIS JOINT DECLARATION THAT THEY ARE GOING TO STAND BY IT AND HONG KONG HAS NO CLOUT? HONG KONG AND ITS PEOPLE ARE THE ONES AFFECTED.

A. I THINK THE EEC COUNTRIES WOULD DISAGREE RATHER VIOLENTLY WITH YOUR PROPOSITION THAT THEY ARE TRYING TO GET OUT OF IT. IN FACT, I THINK, WHAT ALL OF THEM ARE TRYING TO DO IS TO MAKE THE BEST OF IT THAT THEY CAN AND THAT THEY ARE ALL COMMITTED TO IT. IN THE CASE OF THIS AGREEMENT, IT SEEMS TO ME THAT ONE OF THE STRENGTHS OF THE AGREEMENT IS THAT IT IS FREELY NEGOTIATED THAT IT WILL STAND BECAUSE IT IS IN THE INTERESTS OF THOSE INVOLVED THAT IT SHOULD STAND, AND AS LONG AS IT IS IN THE INTERESTS OF THOSE CONCERNED THAT IT SHOULD STAND, AND IT IS FREELY NEGOTIATED, AND THAT THEY HAVE COMMITTED THE IR INTERNATIONAL PRESTIGE TO IT

AND THERE IS NO DOUBT FROM THE REACTION AROUND THE WORLD TODAY, THAT IT IS REGARDED INTERNATIONALLY AS A VERY IMPORTANT ARRANGEMENT, ALL THOSE THINGS SEEM TO ME TO ARGUE IN FAVOUR OF THE COMMITMENT BEING HONOURED BY BOTH THE GOVERNMENTS. I SEE NO REASON AT ALL WHY THEY SHOULD WISH TO DO OTHERWISE.

12.

SO FAR