TNAG-1538-FCO40-2102-Hong-Kong-Vietnamese-refugees-resettlement-in-third-countri-1986 — Page 70

CONFIDENTIAL

RECORD OF MEETING BETWEEN MR RENTON AND DR GASTON SIGUR, ASSISTANT SECRETARY FOR EAST ASIA AND THE PACIFIC, AT THE STATE DEPARTMENT ON 15 OCTOBER

Present: Dr Sigur

Mr John Monjo (Deputy Assistant Secretary,

East Asia Bureau)

Mr Charles Salmon (Office Director for Philippines)

Mr Renton

Mr M RH Jenkins

Mr Westmacott

Mr Ricketts

PHILIPPINES

1.

Dr Sigur said that Mrs Aquino's main priorities were to pull her government together in the political, economic and security fields. The Administration thought that she was doing rather well. The objectives of her US visit were. first to establish herself with the President and Congress

(this she had achieved very successfully) and second to

attract foreign investment. On that it was to soon to judge how far she had got. She had been well received at meetings with US businessmen who had welcomed her commitment to restore a climate conducive to foreign investment. But there was still an open question in the minds of some people as to whether she could achieve it.

2. On the economic front, Mr Salmon said that the debt for equity swap arrangement now totalled some 150 million dollars. Private investment flows from the US were beginning. The Chinese community in the Philippines were bringing back their funds. But many businessmen were waiting for the constitution to be adopted. The conclusion of the IMF stand- by agreement and a successful visit by Mrs Aquino to Japan would make further official funds available.

CONFIDENTIAL

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