TNAG-1239-FCO40-1552-Future-of-Hong-Kong-1983 — Page 80

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

18

CONFIDENTIAL

Liberation Army are still not sufficiently resolved for him to

be able to hand over to a successor. The survival on the State

Commission of a Vice Chairman such as Ye Jianying displays an

unwillingness to tinker with a delicate issue.

Conclusion

37. The appointments at the NPC bring satisfaction to the

reformist group centred around Deng. A certain number of new

and younger faces have been brought into the State Council

and none of the positions of leading reformists have been

challenged. The policies spelled out in Zhao's report follow

the reformist line. In particular, it was Chen Yun's reformist

economic views which the Congress endorsed. On other subjects,

Zhao generally proposed a continuation of the present line. To

underline future continuity, particularly as far as foreign

countries are concerned, Deng announced on 19 June that China's

policy of opening up to the outside world "remains unchanged.

If it changes it would be to make China even more open than

at present".

38. That is not to say that no question marks remain. As

outlined above there remain considerable imbalances in the

economy and the heavy industry faction centred round the new

President, Li Xiannian, retain their government positions.

They cannot be completely ruled out as a force in the future

should economic progress falter. Similarly problems of leftism

CONFIDENTIAL

/in

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