XN000022-1994-10-18 — Page 5

TUESDAY, OCTOBER 18, 1994

QUESTION: TO FOLLOW UP, YOUR TRIP TO THE UNITED STATES ALWAYS STRESSES BUT THE ECONOMIC IMPORTANCE BETWEEN HONG KONG AND THE UNITED STATES. WITHOUT AN AGREEMENT ON CT-9, AND THOUGH THERE ARE INDICATIONS IN THE NEW AIRPORT, BUT UP TO NOW THERE IS NO SUBSTANTIAL PROGRESS, HOW ARE YOU GOING TO TELL THE UNITED STATES BUSINESS COMMUNITY OR PEOPLE DOING

HONG BUSINESS WITH

KONG AND CHINA THAT HONG KONG IS STILL A GOOD BUSINESS CENTER?

THE

AN

MRS

ON ANSON CHAN: OF COURSE, I CONCEDE THAT WITHOUT AGREEMENTS TWO INFRASTRUCTURE PROJECTS, IT WILL SOMEHOW AFFECT INVESTORS' CONFIDENCE. BUT INVESTORS CAN SEE THAT WE HAVE MADE CONSIDERABLE

ON THE CONSTRUCTION OF THE NEW AIRPORT. PROGRESS

IF WE CAN REACH AGREEMENT WITH THE CHINESE SIDE AS SOON AS POSSIBLE, IT WILL HAVE GOOD IMPACT ON INVESTORS. APART FROM ARGUMENTS WITH THE CHINESE SIDE OVER THE INFRASTRUCTURE PROJECTS, WE HAVE HAD PROSPEROUS ECONOMIC DEVELOPMENT. IN THE SHORT TERM, WE EXPECT TO HAVE FIVE PERCENT GROWTH IN REAL GDP. AND IN THE COMING DECADE, THE GROWTH FOR THE ENTIRE ASIA-PACIFIC REGION WILL BE FASTER THAN EUROPE AND NORTH AMERICA, HONG KONG IS STILL A VERY GOOD PLACE FOR INVESTMENT.

SO

QUESTION: ACCORDING TO WHAT YOU KNOW, DO YOU THINK THE NEW AIRPORT COULD BE COMPLETED BY 1997?

MRS ANSON CHAN: I JUST SAID THAT WITHOUT AN AGREEMENT WITH THE CHINESE WE SIDE, THE PROGRESS WILL BE LIMITED. BUT ACCORDING TO THE MOU, WOULD DO OUR BEST TO BUILD THE NEW AIRPORT AS SOON AS POSSIBLE. THIS IS TO FOLLOW UP.

QUESTION: A MOMENT AGO, YOU MENTIONED THAT THE CHINESE SIDE SEEMED BE DEALING AN ECONOMIC ISSUE AS A POLITICAL ISSUE (INAUDIBLE). MEASURES HONG KONG GOVERNMENT WILL TAKE SO THAT THE CHINESE SIDE DEAL WITH ECONOMIC ISSUES AS THEY ARE?

MRS HAVE

ΤΟ

WHAT

WILL

WE

ANSON CHAN: THE GOVERNMENT STANCE IS QUITE CLEAR. ALL ALONG,

BEEN USING FAIR AND REASONABLE MANNER TO GRANT FRANCHISES OR CONSTRUCTION CONTRACTS. WE VERY MUCH HOPE THAT THE CHINESE SIDE CAN UNDERSTAND THAT IN ORDER TO MAINTAIN INVESTORS' CONFIDENCE IN INVESTING IN HONG KONG, IT IS VERY IMPORTANT NOT TO HAVE POLITICAL FACTORS INVOLVED IN BUSINESS DECISIONS. IN ADDITION, I VERY MUCH HOPE THAT THE CHINESE SIDE CAN AGREE TO CONSTRUCTION OF CT-9 AS SOON AS POSSIBLE.

QUESTION: MRS CHAN, WHAT DO YOU SEE AS YOUR MAJOR ACCOMPLISHMENTS CHIEF SECRETARY?

AS

MRS ANSON CHAN: I DON'T THINK IT'S REALLY FOR ME TO, AS IT WERE, BLOW MY OWN TRUMPET. I THINK THAT IT'S, IT'S A GREAT HONOUR FOR ME TO BE OCCUPYING THIS CHIEF SECRETARY POST AT THIS VERY EXCITING PERIOD OF HONG KONG'S HISTORY. I AM THE FIRST CHINESE TO OCCUPY THIS POST, AND IF NOTHING ELSE, I THINK IN TERMS OF MY COMMUNICATION WITH CHINA, THE FACT THAT I AM AN ETHNIC CHINESE, I THINK COMMUNICATION-WISE, I'M IN A PARTICULARLY ADVANTAGEOUS POSITION.

-

DIRECT ISSUES

I WOULD VERY MUCH LIKE TO BE ABLE TO ESTABLISH A DIAL DIALOGUE WITH THE CHINESE. I STAND READY TO DISCUSS PRACTICAL WITH THE CHINESE ANY TIME, ANY PLACE THAT THEY CHOOSE.

/I SEE