TNAG-1489-FCO40-2046-Hong-Kong-and-the-Asian-Development-Bank-1986 — Page 97

ZCZC

MILNAN 3821 OCMIAN 3821

RESTRICTED

PP PEKIN

FM FCOLN TO HOKON

191430Z MAR

GRS 472

RESTRICTED

FM FCO

TO PRIORITY HONG KONG

TELNO 521

OF 191430Z MARCH 86

INFO PRIORITY PEKING

HONG KONG AGREEMENT:

TOP COPY

RESTRICTED

23821

1

HKK 102/9

RECEIVE:

STRY

2 1 MAR 1986

RESTRICTED:

ASIAN DEVELOPMENT BANK

AB

1.

FOLLOWING IS REDRAFT OF THE LETTER TO THE PRESIDENT OF THE ADB. WE HAVE AMENDED THE DRAFT PREPARED LAST NOVEMBER (OUR TELNO 1852 AS AMENDED BY YOUR TELNO 2624) IN THE LIGHT OF THE PRC'S ACCESSION TO MEMBERSHIP OF THE BANK WITH EFFECT FROM

10 MARCH 1986. GRATEFUL FOR ANY COMMENTS.

BEGINS.

1.

A

UNDER ARTICLE 3 OF THE BANK'S ARTICLES OF AGREEMENT, MEMBER IS REQUIRED TO GUARANTEE ALL THE OBLIGATIONS WHICH MAY BE INCURRED BY ANY OTHER MEMBER FOR WHOSE INTERNATIONAL RELATIONS IT IS RESPONSIBLE, UNTIL THAT MEMBER ITSELF ASSUMES SUCH RESPONSIBILITY. AS YOU KNOW, THE UNITED KINGDOM ACCEPTED RESPONSIBILITY UNDER THAT ARTICLE FOR THE OBLIGATIONS OF HONG KONG WHEN THE TERRITORY BECAME A MEMBER OF THE BANK IN 1969.

2.

YOU WILL ALSO BE AWARE THAT THE JOINT DECLARATION OF THE GOVERNMENT OF THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND AND THE GOVERNMENT OF THE PEOPLE'S REPUBLIC OF CHINA ON THE QUESTION OF HONG KONG WAS SIGNED IN PEKING IN DECEMBER 1984 AND ENTERED INTO FORCE ON 27 MAY 1985. UNDER THAT AGREEMENT, THE

1

RESTRICTED

1Q