TNAG-0449-FCO40-514-Sterling-assets-and-balance-of-payments-of-Hong-Kong-1974 — Page 20

GR 100 IMMEDIATE

DESKBY 110700Z

CYPHER/CAT A

FM FCO 081848Z

SECRET

ORWELL

دم

SECRET

98

Enter (op

ед

R:

IN

2.51

11 NOV 974

інкк HRK 5/10

DESKBY 110700Z

TO IMMEDIATE HONG KONG TELNO 969 OF 8 NOVEMBER 74.

STERLING GUARANTEES

1. YOU WILL WISH TO KNOW THAT IT HAS BEEN DECIDED NOT TO

EXTEND THE STERLING GUARANTEES AFTER THE PRESENT ARRANGEMENT

LAPSES AT THE END OF THE YEAR. THE CHANCELLOR WILL ANNOUNCE

THIS DECISION IN HIS BUDGET SPEECH ON 12 NOVEMDER, AND IS SENDING MESSAGES TO THE FINANCE MINISTERS OF THE GOVERNMENTS

PARTICIPATION IN THE PRESENT ARRANGEMENTS SO THAT THEY HAVE

ADVANCE NOTICE. THE TEXT OF HIS MESSAGE IS BEING TELEGRAPHED

TO YOU SEPARATELY.

2. THE DECISION IS OF COURSE SECRET UNTIL TUESDAY EVENING.

CALLAGHAN

ORWELL DISTRIBUTION

FRD

HKIOD

SECRET

COPIES TO:

PS/CHANCELLOR OF THE EXCHEQUER MR FJ BARRAT

MRS HEDLEY-MILLER

MR D A WALKER

MR F K JONES BANK OF ENGLAND

TREASURY