XN000022-1988-01-26 — Page 4

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TUESDAY, JANUARY 26, 1988

BUT WB

"WE HAVE UNDERSTOOD THAT INDEPENDENCE IS NOT AN OPTION HAVE BEEN FREE TO DEVELOP OUR OWN SOCIETY AND ADMINISTER IT AS OUR OWN, HE STRESSED.

H

DESCRIBING HOW HONG KONG'A RELATIONSHIP WITH CHINA WAS NOW MUCH CLOSER THAN IT WAS, SAY, 10 YEARS AGO, SIR DAVID POINTED ΤΟ THE ENORMOUS GROWTH IN THE VOLUME OF BUSINESS, INCLUDING A FIFTY-FOLD INCREASE IN TRAVELLERS CROSSING THE BORDER.

HE REFERRED TO "A VAST INCREASE IN TRADE, SO THAT WE ARE NOW EACH OTHER'S LARGEST TRADING PARTNER, ACCOUNTING FOR 25 PER CENT OF EACH OTHER'S TOTAL INTERNATIONAL TRADE. A MASSIVE GROWTH OF INVESTMENT, BY HONG KONG IN CHINA, AND BY CHINA IN HONG KONG."

FOR IT WAS

SIR DAVID STRESSED THAT THE JOINT DECLARATION PROVIDED HONG KONG TO CONTINUE TO BE AUTONOMOUS IN ALL THE AREAS WHERE NOW AUTONOMOUS,

......

TO

"IN SOME IMPORTANT AREAS, INDEED, THE DEGREE OF AUTONOMY IS BE EVEN GREATER THAN IT WAS IN THE PAST, HE NOTED.

"IT WOULD BE PERVERSE IF, IN THE PERIOD BETWEEN 1984 AND 1997 WE WERE ΤΟ COMPROMISE THAT AUTONOMY.

"

HE ADDED: "THE JOINT DECLARATION DOES NOT MEAN THAT WE NOW CONSULT THE CHINESE ON MATTERS OF ADMINISTRATION WHERE PREVIOUSLY HONG KONG WAS AUTONOMOUS. IT DOES NOT MEAN THAT CHINESE INTERESTS ARE NOW MORE IMPORTANT THAN HONG KONG INTERESTS IN THE DETERMINATION OF POLICY."

THE ISSUES ON WHICH CHINA WAS CONSULTED WERE THOSE THAT CONCERNED THE IMPLEMENTATION OF THE JOINT DECLARATION AND THOSE AREAS WHICH WOULD BE AFFECTED BY THE CHANGE OF SOVEREIGNTY IN 1997.

TERMS

THIS WAS DONE IN THE JOINT LIAISON GROUP WHICH, AS ITS OF REFERENCE MADE CLEAR, PLAYED NO PART IN THE ADMINISTRATION OF HONG KONG AND HAD NO SUPERVISORY ROLE OVER THE ADMINISTRATION.

SIR DAVID ALSO POINTED OUT THAT THE JOINT LIAISON GROUP INVOLVED A DIALOGUE OF EQUALS, STATING THAT "THE BRITISH TEAM HAS ALWAYS BASED ITS POSITION FIRMLY ON THE NEEDS AND INTERESTS OF HONG KONG AND HAS ALWAYS BEEN ABLE TO SATISFY THEM.'

"NEITHER THE WORK OF THE JOINT LIAISON GROUP NOR OUR RELATIONSHIP WITH CHINA GENERALLY HAS RESULTED IN ANY LESSENING OF THE DEGREE OF AUTONOMY WHICH HONG KONG HAS ENJOYED FOR MANY YEARS.

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DURING THE TRANSITION PERIOD, THE CHIEF SECRETARY EMPHASISED, THE ADMINISTRATION WOULD CONTINUE, AS PART OF ITS DUTY, TO PROVIDE THE FRAMEWORK AND SUPPORT FOR THE ECONOMY WHICH GAVE REAL AND TANGIBLE EXPRESSION TO THE FREEDOMS WHICH HONG KONG PEOPLE ENJOYED, AND WHOSE CONTINUANCE WAS PROVIDED FOR IN THE JOINT DECLARATION,

"THE VERY