CONFIDENTIAL
Chinese had only an incomplete grasp of such components, eg, the working of the legal system. Moreover he found it difficult to imagine how, as a communist regime, the Chinese could manage capitalist Hong Kong. Many practical and social problems would.
ensue. It was unlikely that China's modernisation programmes would
proceed swiftly enough to cushion such difficulties effectively.
4. Mr Luce said that in general, our relations with China were
good. Lord Shawcross agreed and said that Hong Kong was the only
area of difficulty. Mr Luce reiterated the consequent need to
educate the Chinese about the components of Hong Kong's stability
and prosperity. Anything that prominent personalities, such as
Lord Shawcross could do in this respect, would be welcomed.
5. Lord Shawcross said that he would try to put across appropriate
points as opportunities arose. In the immediate future he would be
meeting officials of the Bank of China here. He would explain to
them the basis of Hong Kong's success as a financial/commercial
centre. He did not know, however, if this information would be
passed on in China at a high political level. In general, it was
difficult for him to get access to Chinese political leaders, though
a few months ago he had spoken in China to an Assistant Foreign
Minister dealing with the Hong Kong problem (Zhou Nan).
6. Lord Shawcross said that he had floated the idea of
'internationalising' Hong Kong's Executive Council in an autonomous
Hong Kong. American and Japanese investment in Hong Kong was now
far greater than Britain's and he thought it both realistic and sensible to envisage American, Japanese and European appointees of Peking helping the Chinese to administer Hong Kong. An arrangement
of this sort would do much to boost confidence in the future
viability of the territory.
7. Mr Luce underlined the importance of ensuring that any
arrangements for the future of Hong Kong would be acceptable to its
people. Lord Shawcross understood this. In particular, he realised that Hong Kong's professional and managerial classes were essential to the territory's well being. Although many of them would remain
in Hong Kong others would undoubtedly leave because of uncertainty
DENTIAL
Page 15Page 16
No comments yet.
Private notes are available after approval.