TNAG-0275-FCO40-311-Development-of-Kai-Tak-airport-at-Hong-Kong-1970 — Page 59

expectation that a reply will be forthcoming and

it is suggested that the Secretary of State should

foreshadow what it is to be.

970.

It is considered that the likely consequences

in terms of deteriorating relations preclude

straight

altogether returning a straight refusal to contri-

(but improuig)

bute,relying on our difficult economic situation; a straight refusal would moreover undo much of the good that we hope will flow from the Secretary of State's visit. Alternatively, the Secretary of

State, while expressing regret that the present economic situation (although improving) precludes our making a contribution at the present time, coul

sayA

either

that arrangements will be made for the

locked at

abent

position to be reviewed in a year's time

Seeing whether it would then be possible to make with a view toja contribution being madeto

ing

help finance the later stages of the project (it is not due for completion before 1974). 5t would be necessary to add that, we would need to consider in particular the extent to which ←. (414) that Hann Konal, need for financial assist-

Hong

ance will be considered sympathetically if

essential

this and other major development projects

in prospect impose a strain on the Colony's

resources.

The first is clearly preferable;

but the second

probably reflects a more realistic view of the

circumstances in which aid for Hong Kong would

!

#tract the necessary general support. Nothing-

Twould

NOTHING TO BE Written IN THIS MARGIN