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ESSENTIAL FACTS
SECRET
Future of Hong Kong [NOT FOR USE]
1.
These are contained in the following telegrams which are
attached:
2.
8
Peking Telegram No 17 of 8 January
Peking Telegram No 18 of 8 January
Hong Kong Telegram No 22 of 10 January (Transcript of LPS'
Press Conference)
Peking Telegram No 22 of 12 January.
Chinese reaction was generally encouraging.
They appear to be
focussing on the future, though without clear ideas or a firm
timetable. Unlikely to be much progress by the time the Prime
Minister visits.
Premier's reference to consulting 'various circles'
in Hong Kong is vague. Chinese may also not fully understand the
investor confidence concept and may be thinking that developments
in the Special Economic Zones will provide sufficient reassurance.
They appear not to have grasped yet the fact that it is only
confirmed British administration that will maintain confidence.
Sovereignty is a key issue, given repeated Chinese references to
their policy on Taiwan.
West German visa requirements
3. The Germans, and the Austrians and Spanish, require visas for
visitors from Hong Kong. A minority of Hong Kong community leaders
see this as a slur
on Hong Kong as well as an obstacle
to free movement. We have asked the Germans to waive this requirement
in the past and will do so again but they do have real difficulties in that such a change requires the specific approval of each hånd.
This is not easily obtained.
/4.
SECRET
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