TNAG-0937-FCO40-1156-Visits-of-Sir-Murray-MacLehose--Governor-of-Hong-Kong--to-th-1980 — Page 112

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Mr Gu said that he was aware that the Hong Kong Government and various business consortia were very concerned about the next step that should be taken on the future of Hong Kong, As he had explained, the points made by Vice Iremier Deng should stabilise the situation and raise the confidence of the investors concemed. The Chinese meant what they said and would act in accordance with the principles that had been laid down by Vice Fremier Deng. It was indeed high time to consider what should be done after the next 17 years had expired, but the time was not yet ripe to make a presentation of concrete proposals. Everyone should give the question a good deal of thought. But the Chinese Government would find a solution. If they did not find a solution they would not be able to face the Chinese people or explain to world opinion. but the solution must be in accordance with and not violate the principles laid down by Vice Premier Deng.

The FS thanked Mr Gu and repeated that the assurances that had beer" Lade were helpful. The Hong Kong Government would do all that. they coul to increase trade with China, to assist Chinese investment in Hong Kong and to encourage businessmen to invest in the new economic zones in Guangdong. He understood that the time was not ripe to agree a

but he was detailed solution of what would happen in 17 years time. afraid that confidence would certainly be affected if the future of

Confidence was a Hong Kong remained unclear for very much longer. sensitive plant. It should be nurtured carefully because of its importance to the growth and stability of the Hong Kong e conowy which was of such importance to both sides. The Hong Kong Government fully accepted and appreciated the general assurances that had been made. In due course however these must be reflected in practical, concrete measures if Hong Kong's economic growth and prosperity and stability were to be assured.

Mr Gu said that both sides must continue to reflect on all the problems. ile was confident that with continued friendly relations between China and the UK, the two sides would be able to find appropriate methods of solving the problems. which would be in no way prejudicial to the Chinese Government's position in face of its own pwope and the world at large The meeting ended at 0.55 pm.

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