TNAG-1442-FCO40-1926-Constitutional-development-in-Hong-Kong-1986 — Page 129

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HAD REACHED A COMPROMISE ON THE INTRODUCTION OF DIRECT ELECTION IN HK, AND THE GOVERNOR'S RECENT TRIP TO PEKING MIGHT HAVE BEEN A MED AT CLEARING THE OBSTACLES TO DIRECT ELECTION. SCMP ON THE OTHER HAND REPEATED ITS EARLIER REPORT THAT BRITAIN HAD SOUGHT TO REASSURE CHINA ON THE ISSUE OF DIRECT ELECTION BY DESIGNING A SYSTEM THAT COULD OPERATE WITHOUT PARTY POLITICS. THERE WAS NO COMMENTARY IN THE LEADING LEFT-WING AND INDEPENDENT PAPERS.

COMMENTS

5. XU'S COMMENTS ARE SIGNIFICANT IN TWO RESPECTS. FIRST, THIS WAS THE FIRST OFFICIAL CHINESE INDICATION IN PUBLIC THAT DIRECT ELECTIONS, GIVEN POPULAR SUPPORT, WOULD BE IN ORDER IN 1997. SECONDLY, PUBLIC OPINION IN HONG KONG SHOULD BE THE DECIDING FACTOR.

AKERS-JONES

HONG KONG AGREEMENT:

RESTRICTED

LIMITED

HD/HKD

HD/FED

RESEARCH DEPT (FE)

DEP/HD/PUSD

PS/MR RENTON

MR WILSON

COPIES TO:

MR FIFOOT, LEGAL ADVISERS

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