DRAFT LETTER FROM MR J CAINES TO THE GOVERNOR OF HONG KONG
Sir Edward Youde
Governor of Hong Kong
You will remember that when I was in Hong Kong last month I
promised to send you a note on the advantages, from a client's
point of view, of a negotiated turnkey contract as a way of
handling large projects. I hope you will find the enclosed paper
of interest. It has been drafted entirely by officials here and
is intended to give an objective assessment of the benefits which
can be expected from this kind of approach.
The paper is not directed towards any particular type of project
and you will notice, from the examples quoted, that negotiated
turnkey contracts have been successfully negotiated and implemented
in a wide variety of cases. When considering the possible use
of this approach in the Hong Kong context, there is a further
point which you might bear in mind. The financial advantages of
a negotiated contract can be achieved more readily if the
mechanisms already exist for raising the sums which will be
required. The close relationship which exists between the
financial communities in Hong Kong and the United Kingdom
represent a significant bonus in that respect and you will be
aware of the excellent and competitive facilities which are
available through the banking community and official sources
such as ECGD. I think that we can claim, indeed, that we are
the only country which has experience in financing in Hong Kong
dollars.
If, having read the note, you would like me to expand on any
points, please let me know. We will be interested to learn, in
due course, how you intend to approach the many substantial projects
No comments yet.
Private notes are available after approval.