TNAG-1173-FCO40-1465-Future-of-Hong-Kong-special-study-by-FCO-for-the-Prime-Minis-1982 — Page 279

PARAGRAPH 9 : REWORD THE FIFTH SENTENCE AS FOLLOWS: THIS WOULD QUICKLY AFFECT, AND VERY SERIOUSLY, THE EXCHANGE RATE OF THE HONG KONG DOLLAR''.

PARAGRAPH 9: THE LAST SENTENCE SHOULD BE REWORDED AS FOLLOWS: **HOWEVER, THE EXCHANGE FUND'S ASSETS ARE NOT UNLIMITED, ALTHOUGH THEY HAVE RISEN SUBSTANTIALLY IN RECENT YEARS, AT PRESENT LEVELS OF IMPORTS AND IMPORT PRICES THE FUND'S ASSETS REPRESENT ABOUT 19 WEEKS OF RETAINED IMPORTS (1.E. IMPORTS LESS EXPORTS)''.

PARAGRAPH 10 : THE LAST SENTENCE SHOULD END WITH THE WORDS

"'.... IT WOULD HAVE TO APPLY TO HMG

PARAGRAPH 15: BETWEEN THE SECOND AND THIRD SENTENCES THE FOLLOWING SENTENCE SHOULD BE INSERTED: *THE SAME APPLIES TO THE REFERENCES IN THE EXCHANGE FUND ORDINANCE RELATING TO THE REQUIREMENT TO SEEK THE SECRETARY OF STATE'S AUTHORITY FOR THE PURCHASE OF SECURITIES AND THE BORROWING POWERS OF THE FUND'.

PARAGRAPH 21: THE REFERENCE SHOULD BE NOT TO PENSIONS FOR HMOCS OFFICERS' BUT TO ''SPOS PAYMENTS FOR...**.

'. AT THE END OF THIS PARAGRAPH THE FOLLOWING MIGHT BE INSERTED: **IN THE EVENT

OF THE COMPLETE COLLAPSE OF THE EXCHANGE RATE OF THE HONG KONG DOLLAR, HMG MIGHT BE OBLIGED TO FIX UPON AN ARBITRARY RATE OF EXCHANGE FOR THE CONVERSION OF HONG KONG DOLLAR PENSIONS INTO

STERLING PAYMENTS.

YOUDE

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