TNAG-1475-FCO40-2006-Visits-by-MPs-from-the-UK-to-Hong-Kong-1986 — Page 18

GRS 170

CONFIDENTIAL

FM PEKING

TO PRIORITY FCO

TELNO 2394

TOP COPY

Confidential

MKK 02718.

OF 170133Z DECEMBER 86

AND TO PRIORITY HONG KONG

FUTURE OF HONG KONG.

29 DEC 1986

PA

TRY

Andion Taken

1. MR. CALLAGHAN CALLED ON HU YAOSANG ON THE AFTERNOON DECEMBER. I WAS PRESENT. THERE WAS A SHORT EXCHANGE ABOUT HUNG

KONG TOWARDS THE END OF THEIR CONVERSATION.

2. MR. CALLAGHAN SAID THAT HE HAD JUST VISITED HONG KONG. IT WAS MOURNING THE DEATH OF SIR EDWARD YOUDE, WHO HAD BEEN GREATLY RESPECTED. HE HAD FOUND THE BUSINESS COMMUNITY IN RATHER A NERVOUS FRAME OF MIND. INDEED, MANY BUSINESSMEN AND BANKERS WERE AS NERVOUS AS YOUNG MAIDENS''. HE HOPED THAT THE CHINESE GOVERNMENT

WOULD TREAT THEM WITH GREAT TENDERNESS DURING THE YEARS BEFORE 1997. MEANWHILE, HE WAS SURE THAT THE BRITISH GOVERNMENT WOULD COOPERATE

WITH THE CHINESE GOVERNMENT OVER THE DRAFTING OF THE BASIC LAW.

3. HE DID NOT SAY ANYTHING ABOUT CONFIDENCE IN REPLY. HE HAD HEARD

THAT THE PROCESS OF DRAFTING THE BASIC LAW WAS GOING SMOOTHLY. FEI XIAOTONG, MR CALLAGHAN'S HOST AND A MEMBER OF THE BASIC LAW DRAFTING COMMITTEE, CONFIRMED THIS IN ANSWER TO HIS QUESTION. THE DEATH OF

SIR EDWARD YOUDE WAS A SAD EVENT. HE HAD BEEN AN EXCELLENT GOVERNOR.

EVANS

YYYY

PEHPAN 2373

1

HONG KONG AGREEMENT: RESTRICTED

LIMITED

HD/HKD

HD/FED

RESEARCH DEPT (FE)

DEP/HD/PUSD

PS/MR RENTON

MR GILLMORE

MR WILSON

COPIES TO:

MR FIFOOT

LEGAL ADVISERS

Confidential

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