CS: Well, the Deputy Commissioner is discussing the issue with the Security Bureau and I very much hope that there will be a positive outcome to our talks and to our
concern.
Question: Mrs Chan, are there better measures devised in dealing with this kind of incidents?
CS: What I think the best measure is for the Chinese to ensure that such incursions do not take place in future. I don't think there is much difficulty in deciding which are Hong Kong waters and which are Chinese waters and on this occasion there was absolutely no doubt that the incursion had been into Hong Kong waters and that's why we are very, very concerned.
Question: The Chinese side stands firm on the 1997-98 Budget issues. They are going to take a leading role. What are your reactions, please?
CS: The talks that are currently taking place, in fact I think it has just ended, on our side led by Donald Tsang and on their side led by Mr Chen Zuo'er. The parameter of this talk, you are all very clear about, i.e. that the discussion is on the transitional Budget, which is the 1997-98 Budget, that in order for our Chinese friends to understand exactly how the 1997-98 Budget will be drawn up, it is necessary for us to use as an example the procedures that we go through in compiling the 1996-97 Budget so that they fully understand the procedures that we have to go through. And there are a set of very complex procedures and a great deal of information involved. So I'm sure that during the discussion that has just ended, Donald has explained to the Chinese experts the exact procedures that we go through. And we hope very much that the Chinese will observe in the context of the 1996-97 Budget so that they can better understand and participate constructively in the 1997-98 Budget.
Question: Any indication that Hong Kong Government will not accept China's suggestion that they take a leading role in 1997-98 Budget?
CS: I have already said to you we very much hope to work together and to consult our Chinese counterparts the preparation of the 1997-98 Budget.
End/Thursday, March 30, 1995
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