TNAG-0382-FCO40-428-Sterling-assets-and-balance-of-payments-of-Hong-Kong-1974 — Page 164

THE ARTICLE REPORTS:-

'MEANWHILE, THE ACTIVITIES OF THE LOCAL BANKS IN THE FOREIGN

EXCHANGE MARKETS HAVE DROPPED THE PERCENTAGE OF STERLING HONGKONG

ACTUALLY HOLDS IN THE UK FAR BELOW THE 69 PER CENT OFFICIAL LEVEL.

盎

THE BANKS WERE SELLING POUNDS FORWARD TO PROTECT THEIR COMMERCIAL

INTERESTS AS THE POUND CONTINUED TO WEAKEN.

SO THE FIGURE IS EVEN NOW SEVERAL HUNDRED MILLION BELOW THE POUNDS

STERLING 800 MILLION MENTIONED IN THE OFFENDING GUARDIAN ARTICLE.

ASTON

FILES:

HKIOD

FRD

ECONOMISTS DEPT

NEWS D

FINANCE D

MR. WRIGHT MR. MARSHALL

MR. HOLLAND

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