XN000022-1994-07-25 — Page 3

MONDAY, JULY 25, 1994

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GOVERNOR:

SIZE

WE ARE DISCUSSING THE OVERALL FINANCING INCLUDING THE OF THE GOVERNMENT'S EQUITY INVESTMENT AND THE SIZE OF BORROWING WITH OUR CHINESE COLLEAGUES AT THE MOMENT, AND I VERY MUCH HOPE THAT IT IS POSSIBLE TO REACH AN AGREEMENT WHICH IS IN THE INTERESTS OF HONG KONG. IN THE MEANTIME, OF COURSE, THE LEGISLATIVE COUNCIL HAS, I AM PLEASED TO SAY, GONE ON VOTING FUNDS FOR THE AIRPORT, SO THAT AIRPORT IS BEING BUILT VERY RAPIDLY, CERTAINLY IN COMPARISON WITH WHAT WOULD BE DONE IN OTHER COMMUNITIES.

WE HAVE COMPLETED ABOUT 60 PER CENT OF THE SITE FORMATION WHICH IS A CONSIDERABLE ACHIEVEMENT, BUT OBVIOUSLY IF WE COULD GET AN OVERALL AGREEMENT WITH CHINESE OFFICIALS INCORPORATING AGREEMENT ON EQUITY INVESTMENT AND BORROWING, THAT WOULD BE AN EXCELLENT OUTCOME. I DO NOT THINK YOU WOULD EXPECT ME TO DISCUSS OR NEGOTIATE THE DETAILED FIGURES PUBLICLY.

QUESTION: BUT GOVERNOR, DID YOU NOT ALSO DISCUSS TODAY SOME OF THE PERSPECTIVES WHICH SEEM TO HAVE ARISEN FROM MR GOODLAD'S VISIT TO CHINA RECENTLY, PARTICULARLY, APPARENTLY CHINESE RESERVATIONS ABOUT BEING ABLE TO SAY THAT THEY WOULD SEPARATE POLITICAL CONSTITUTIONAL DEVELOPMENTS ENTIRELY FROM THE PRACTICAL ISSUES?

GOVERNOR: IT IS FOR CHINESE OFFICIALS TO EXPLAIN WHAT THEY MEAN OR WHAT THEY WANT TO DO. WE ARE VERY CLEAR ABOUT WHAT WE WANT. WE WANT TO HAVE THE MAXIMUM CO-OPERATION BECAUSE WE THINK THAT THAT IS IN THE INTERESTS OF HONG KONG. CHINESE OFFICIALS HAVE OFTEN IN THE PAST TALKED ABOUT WANTING CO-OPERATION. THERE IS AN EXPRESSION IN ENGLISH AND A SIMILAR EXPRESSION IN CHINESE THAT "DEEDS ACT LOUDER THAN WORDS" I THINK THAT WHAT WE LOOK FOR IS AS MUCH CO-OPERATION AS POSSIBLE. WHERE WE CANNOT AGREE, WE HAVE TO PUT THAT ON ONE SIDE AND GET ON WITH ALL THE MATTERS WHERE THE PEOPLE OF HONG KONG WANT TO SEE CO-OPERATION BETWEEN BRITAIN AND CHINA.

QUESTION: WHEN YOU SEE MR MAJOR LATER TODAY AFTER YOU HAVE DISCUSSED THE VERY IMPORTANT BUSINESS OF HONG KONG, WILL YOU BE OFFERING HIM ANY WORDS OF ADVICE ABOUT FUTURE GOVERNMENT STRATEGY, PARTICULARLY AFTER THE WORST ELECTION RESULTS IN THE TORY PARTY'S HISTORY?

HAD.

WERE

GOVERNOR: NO, I WOULD NOT BE OFFERING HIM ANY ADVICE ON THOSE MATTERS, I USED TO DO THAT IN A PREVIOUS OCCUPATION, IN A PREVIOUS JOB I I WAS OFTEN TOLD THAT THE OUTLOOK WAS DISASTROUS AND THAT THINGS GOING TO GO FRIGHTFULLY BADLY, AND AS I RECALL, THOUGH IT IS A TIME AGO SO MY MEMORY MAY BE FAILING ME, THE CONSERVATIVE PARTY THE LAST GENERAL ELECTION.

LONG

WON

BUT THOSE ARE NOT MATTERS FOR ME TODAY. I WILL TALK TO PRIME MINISTER ABOUT HONG KONG MAY BE CRICKET AS WELL BUT KONG CERTAINLY.

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THE HONG

THANK YOU VERY MUCH.

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