XN000022-1995-03-28 — Page 7

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Question: Do you think there is a need to seek other channels between Sino-British ....?

Governor: No, I don't think that there is any question of searching for other channels. But what there is the opportunity that's regularly available for senior officials, senior retired officials explaining the situation in Hong Kong to Chinese officials. I repeat that it is 11 years, or there about, since the Joint Declaration was signed. Hong Kong is doing fantastically well. I very much hope Hong Kong is doing fantastically well for another 11 years. What that will require is some sensible decisions and some sensible commitment to the Joint Declaration which I hope will see from Chinese officials.

Question: Is it appropriate for non-Chinese officials to take part in the budgetary expert group? I am referring to the PWC members.

Governor: It's not for me to choose other people's teams for them. I didn't choose the teams for the Sevens the other day, and I don't seek to choose the teams of people that discuss matters with us on the Chinese side. The position is absolutely clear and we've been, I think, very constructive and very helpful about this. What we've said is that over the coming months, we want to discuss with the Chinese side the processes of budget making in Hong Kong and during the 1996-97 financial year, we'll want to discuss the content of the 1997 budget.

Question: But the two non-Chinese officials, they will come to know the secrets of the Hong Kong Government's finance?

Governor: No, what they will get to know if there are experts appointed from outside during the coming year is the processes, the way in which the Hong Kong Government makes the budget and if I may say so, does so very successfully.

Question: Have you ever taken drugs yourself?

Governor: No. I haven't. I'm not even in the position in which I say "Yes, but I didn't inhale." I have never taken drugs. Having said that, let me now qualify because the children who have been hearing, having a life education class would probably qualify what I've said straightaway. I used to smoke cigarettes until 1982, about February 25, when I threw away my last cigarette, partly because I had ulcers and I was told that I had a choice to make between taking medication for ulcer for the rest of my life or stopping smoking. It seemed to me infinitely preferable to stop smoking. But until then I had smoked and I'm sure it was extremely bad for me. I also drink alcohol from time to time, though I'm not drinking it at the moment because it is Lent.