TNAG-0946-FCO40-1165-Local-Intelligence-Committee-assessment-of-the-political-sit-1980 — Page 18

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Products from the new industries would normally have to be exported but permission

might be given for domestic sale. A Guangdong Special Economic Zones Management

Committee is to be established to consider investment proposals and to control

and co-ordinate activities in the three Zones, including the improvement of

infrastructure and the provision of utility services. The Committee will also

be responsible for security within the Zones.

9.

As part of the new look being assumed by the Shenzhen Municipality,

a new mayor, WU Nan-sheng, has been appointed. He combines this post with that

of local Party Secretary.

10.

The Hong Kong Wah Yiu Construction Co. has signed an agreement with

the Guangzhou Housing Authority for the construction of a HK$30 m. housing estate

in the outskirts of Guangzhou. Flats in the 14 6-storey blocks will be available,

for purchase, through Wah Yiu, by overseas Chinese both for their own use and

that of relatives in China.

Communications

11.

On 15 August, shortly after the inauguration of Cathay Pacific Airways'

(CPA's) route to London, the Chinese Civil Aviation Authority put a stop to the

Hong Kong service between Hong Kong and Shanghai and ceased on the following day

to operate the parallel service provided by CAAC. The Chinese maintained that

the understanding between the UK and China had been breached by the opening of

CPA's London route, despite the proposed transfer of the Shanghai service from

CPA to Hong Kong Airways (both these airlines are owned by the same group).

Education

12.

Communist schools claim to be satisfied with the results of those

of their pupils who took the 1980 Hong Kong Certificate of Education Examination :

between 75% and 90% of those who entered passed. Although communist schools'

results in this examination have undoubtedly improved, and appear somewhat

better than those in schools generally, they may be misleading since it is

believed that only the better candidates are put in for the examination.

蠱

Nevertheless the Education Department's Inspectorate has reported that

standards in communist schools are slightly above those in private secondary

schools.

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/ para 13.