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Government delegation in Peking have had a very positive effect.
6. We are ready to co-operate very closely with the Chinese
Government to put the agreement into effect. We attach particular
importance to the Joint Liaison Group as a forum for liaison and consultation. We shall work with you within the group to maintain Hong Kong's position in the world trading system; to ensure the continued application of international rights and obligations affecting Hong Kong; and to help bring about a smooth transfer of government in 1997.
7. So important work lies ahead.
If the agreement is to be made
to work, a task of particular importance will be the drafting of the
Basic Law. It will have to be very closely attuned to the circumstances of Hong Kong, and to the legal and administrative traditions that will be inherited by the SAR.
8.
Our Governments are agreed that until 1997 Britain will have full responsibility for Hong Kong. I can give you my personal
assurance,
Sir Geoffrey Howe did in July, that it will be
administered prudently and with foresight, in the best interests of the Hong Kong people.
DEFENSIVE (IF RAISED BY DENG XIAOPING)
Administration of Hong Kong in the transitional period
9.
as
Britain derives no direct revenue from Hong Kong. It has no intention of doing so in the next 12 years. Hong Kong's budget and exchange fund will be administered by the Hong Kong Government, now. The sound and cautious financial management for which Hong Kong is famous will be maintained. Britain's overriding objective
is to ensure that Hong Kong can pass through the transition to its
new status as
as smoothly as possible, without any weakening of confidence or flight of capital.
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