TNAG-0448-FCO40-513-Sterling-assets-and-balance-of-payments-of-Hong-Kong-1974 — Page 99

CONFIDENTIAL

DECLARATION BY THE GOVERNMENT OF

THE UNITED KINGDOM

Definitions

1.

For the purposes of this Declaration:

ANNEX A

"Sterling Agreement" means the Agreement constituted by the Exchange of Despatches between the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of Hong Kong dated 20 September 1968 concerning the guarantee by the Government of the United Kingdom of the sterling reserves of Hong Kong;

"the previous Declaration" means the Declaration by the Government of the United Kingdom of Great Britain and Northern Ireland made at London on 11 September 1973

addressed to the Government of Hong Kong;

"total official external reserves" and "balances eligible for guarantee" have the meanings ascribed to them in the Sterling Agreement, subject to any modifications contained in this Declaration;

"official sterling reserves", are those reserves which are defined as official sterling reserves in the Sterling Agreement, with the exception of any such reserves held with banks and other depositaries in Hong Kong and subject to any modifications contained in this Declaration;

"the effective depreciation of sterling" means the number of percentage points, as calculated to two decimal places at noon each working day by the Bank of England, by which

CONFIDENTIAL

1