XN000022-1994-10-06 — Page 25

THURSDAY, OCTOBER 6, 1994

QUESTION:

23

MR GOVERNOR, MY QUESTION IS ON HONG KONG-CHINESE RELATIONSHIP. NOW THE JLG HAS HELD 30 PLENARY MEETINGS AND YOU ARE AWARE OF THE FACT THAT THERE ARE A LOT OF OUTSTANDING ITEMS, SO HOW CAN YOU ENSURE THAT ALL THESE OUTSTANDING ITEMS OR ISSUES COULD BE RESOLVED BEFORE 1997? IF, UNFORTUNATELY, THEY CAN'T BE RESOLVED, THEN HOW WOULD THE BRITISH GOVERNMENT AND THE HONG KONG GOVERNMENT DEAL WITH THE SITUATION?

MORE

GOVERNOR:

THANK YOU FOR RAISING A QUESTION WHICH I SPEND A GOOD DEAL OF MY TIME THINKING ABOUT. IT'S UNFAIR, AS SOME PEOPLE SUGGEST, TO ARGUE THAT THE JOINT LIAISON GROUP HAS ACHIEVED VERY LITTLE DURING ITS 30 MEETINGS. IT HAS DONE SOME GOOD WORK. IT'S DONE SUFFICIENT WORK TO CONVINCE US THAT IT HAS THE POTENTIAL TO DO A GREAT DEAL BUT IT IS EQUALLY TRUE TO SAY THAT IT HASN'T DONE NEARLY AS MUCH AS ANY OF US WOULD HAVE LIKED OVER THE LAST FIVE YEARS. THAT IS BY AND LARGE SINCE 1989 WHEN, I THINK, THINGS BECAME A LITTLE TRICKIER AND LITTLE MORE AWKWARD IN OUR RELATIONSHIPS. THE ONLY TWO REALLY BIG AGREEMENTS THAT IT HAS REACHED IN THE LAST FIVE YEARS HAVE BEEN, ONE, THE COURT OF FINAL APPEAL WHICH IS STILL A CONSIDERABLE CONTROVERSY IN HONG KONG, THOUGH I HOPE WE WILL BE ABLE TO RESOLVE THAT SATISFACTORILY IN THE NEXT YEAR; AND SECONDLY, AN AGREEMENT THAT WE CONCLUDED THIS SUMMER, AFTER SEVEN YEARS OF NEGOTIATION, ON THE FUTURE OF THE DEFENCE LANDS IN HONG KONG. IT'S A VERY GOOD DEAL, IT WILL ENSURE THAT WE HAVE ABOUT 65 BILLION DOLLARS WORTH OF LAND TO DEVELOP OVER THE NEXT FEW YEARS. BUT THAT ISN'T NEARLY AS MUCH AS WE SHOULD HAVE ACHIEVED AND THERE ARE A WHOLE HOST OF ISSUES ON THE AGENDA WHICH ARE UNRESOLVED AND THERE ARE SOME ISSUES WHICH SHOULD BE ON THE AGENDA WHICH HAVEN'T BEEN EVEN DISCUSSED YET.

MATTER OF

LET ME GIVE YOU SOME EXAMPLES. WE STILL HAVEN'T GOT AN AGREEMENT ON ALL THOSE ISSUES THAT ARE TIED UP WITH RIGHT OF ABODE, FUTURE OF SAR PASSPORTS, VISAS, ALL THOSE ISSUES LOOSELY CONNECTED WITH NATIONALITY. AND THEY ARE - EXTREMELY IMPORTANT, BOTH FOR PEOPLE'S PEACE OF MIND IN HONG KONG AND FOR EASE OF TRAVEL AFTER 1997 WHICH IS SO IMPORTANT FOR BUSINESS. WE HAVEN'T REACHED AGREEMENT ON SOME IMPORTANT INFRASTRUCTURE SUBJECTS. THE CONTAINER TERMINAL IS ONE, THE AIRPORT IS ANOTHER. THANK HEAVENS, BECAUSE THE LEGISLATIVE COUNCIL HAS STILL BEEN VOTING US FUNDS FOR BUILDING THE AIRPORT. WE'VE BEEN BUILDING IT AT A FAR FASTER RATE THAN ALMOST ANY OTHER COMMUNITY COULD MANAGE, BUT WE DO STILL NEED AN OVERALL FINANCING AGREEMENT IF WE ARE TO COMPLETE THE PROJECT AS RAPIDLY AS WE WOULD LIKE.

THERE IS AN AREA WHICH I GUESS WILL SEEM TO SOME PEOPLE TO BE DRY AS DUST BUT IS EXTREMELY IMPORTANT, THAT IS THE LOCALISATION OF LAWS; TURNING UK COLONIAL ENACTMENTS INTO LOCAL HONG KONG LEGISLATION AND ADAPTING HONG KONG LAWS AND THERE ARE ABOUT 600

-

OF

NOW

DONE

THEM SO THAT THEY ARE IN LINE WITH THE BASIC LAW AFTER 1997. WHY IS THAT IMPORTANT? IT IS IMPORTANT BECAUSE UNLESS WE HAVE THAT BY THE 30TH JUNE 1997, THERE IS A DANGER OF GAPS IN THE LAW BOOK, WHICH WOULD HAVE CONSIDERABLE IMPLICATIONS FOR BUSINESSES WONDERING, FOR EXAMPLE, WHETHER TO SIGN CONTRACTS IN HONG KONG OR TO GO OFF TO SINGAPORE OR SEOUL OR SOMEWHERE ELSE TO DO BUSINESS. ARE MANY OTHER ISSUES THAT WE NEED TO TACKLE IN THE JOINT GROUP WHICH ARE AS IMPORTANT AS THAT.

THERE LIAISON

/WE'VE MADE