TNAG-1167-FCO40-1447-Future-of-Hong-Kong-1982 — Page 142

SECRET

4.

on Hong Kong. I do not know whether this represents firm Chinese. Government thinking and I am sceptical

of our getting a deal on Hong Kong on this basis.

But we

are looking at the Pao ideas in order to get a clear view

of the advantages and disadvantages of a loan to China both

t

from the HongKong angle and on its own merits.

..

SECRET

18