DRAFT
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ANNEX A
DSR 11C
EXTRACT OF TALKS BETWEEN THE GOVERNOR AND DENG XIAOPING, 29 MARCH 1979
'Deng Xiaoping said that relations between Guangdong and
Hong Kong were good, although some questions were difficult
to solve. He understood that the people of Hong Kong were
concerned about the future status of Hong Kong. China had
a consistent policy: sovereignty over Hong Kong belonged to
:
China. But Hong Kong had her own special status People
were concerned about the way out for the New Territories in
1997. This was still 18 years away. This was not a long time
There might be specific discussions by that time taking
account of the circumstances of the day. Any solution of
the status (of the New Territories) would have as its
prerequisite that Hong Kong was part of China But it could
be said with certainty that, when the two sides discussed
the question, China would respect the special status of
The People were concerned about investment. Hong Kong.
Chinese Government gave a clear assurance that, when there
was a political solution, it would never affect investments.
Reverting to the New Territories lease, he said that he
formally requested the Governor to ask investors to put their
hearts at ease. It was China's long term policy to regard
Hong Kong as a special case, no matter what political
solution was reached by 1997. The Governor said that the
problem could not be overcome by generalised assurances.
What he had in mind was replacing the leases valid to 1997
with leases valid as long as Britain administered the
New Territories. This would get rid of the date.
Deng Xiaoping commented that it would be best to avoid wording which mentioned continuing British administration. It would be better to say that, since the Chinese Government had expressed its political view, all would be well for
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