TNAG-0275-FCO40-311-Development-of-Kai-Tak-airport-at-Hong-Kong-1970 — Page 93

for her special problems; as indicating an indifference to the

special ties and relationship which should subsist between a Colony

and the responsible power. This project in which our interests are

so greatly involved is an ideal vehicle for making the kind of

gesture of support and assistance that is needed.

31. If we do not contribute and leave Hong Kong to shoulder the

full development proposals alone, it can be expected that relations

with the Colony will remain difficult in the aviation field where

Hong Kong will be increasingly inclined to contest our right to have

the final say in the disposal of traffic rights at Kai Tak.

32.

To sum up.

The case against assistance for this project rests

on our present difficult economic situation and the need to restrict

overseas expenditure, viewed against the buoyant stage of Hong Kong's

economy and finances. The case for contributing to the project is

that only by this means can we ensure that our considerable aviation

interests at Kai Tak are fully maintained and accepted by the

Hong Kong Government; and that it will bring certain political

benefits of importance for our relations with the Colony and the

maintenance of our position there.

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