TNAG-0278-FCO40-314-Visit-of-Secretary-of-State-for-Foreign-and-Commonwealth-Aff-1970 — Page 107

15. QUESTION:

Why has Britain not made a loan for the extension of the

runway at Kai Tak Airport to enable it to take Jumbo Jets?

In view of the fact that this extension will primarily benefit

British aviation interests, do you not think that the British

Government is morally obliged to pay part of the cost?

ANSWER:

I very much regret that we cannot see any way at the

present time to help with this project.

Our balance of payments position has certainly shown

considerable improvement in recent months. But we cannot

afford to relax the measures that have led to this welcome

development.

It is true that British aviation interests are equally

concerned to see that the airport is maintained to adequate

international standards. But in our relationships with our

dependent territories there are mutual benefits to be derived;

and I would hope that any tendency to assess those benefits in

terms of a balance sheet could be avoided.

(If necessary)

I will, however, arrange for the position to be looked at

in about a year's time with a view to seeing whether it would

then be possible to help with financing the later stages of

the project.

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