TNAG-1252-FCO40-1585-Third-countries-and-the-future-of-Hong-Kong-1983 — Page 67

CONFIDENTIAL COVERING SECRET

LORD BELSTEAD'S MEETING WITH THE SINGAPORE MINISTER OF FOREIGN

AFFAIRS, MR DHANABALAN

FUTURE OF HONG KONG

POINTS TO MAKE (DEFENSIVE)

1.

Since talks were agreed in September several meetings

with Chinese have been held. These are continuing. Common aim of maintaining Hong Kong's stability and prosperity. Content

confidential. No timetable set.

2.

Differences exist but we believe arrangements can be agreed which will be acceptable to Parliament and to the people of Hong Kong. Despite Chinese propaganda we are concentrating on the talks. Aim to find a solution which as far as possible will maintain continuity and preserve the people's standard of living and way of life.

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Meanwhile business confidence in Hong Kong remains

generally high. Important that nothing is said or done to damage this.

4.

Chinese propaganda has floated the idea of Hong Kong as a

Special Administrative Region of China. Some Hong Kong people attracted to the idea of Hong Kong people running Hong Kong, but

most believe it would not work and fear interference by Peking.

5.

I know your Prime Minister was in Hong Kong last month.

Interested to hear your views. What do you think of the SAR

concept? Would Singaporean investors have faith in such an

arrangement? We do not believe it is compatible with the common

aim.

CONFIDENTIAL COVERING SECRET

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