TNAG-1621-FCO40-2235-Relations-between-Hong-Kong-and-China-1987 — Page 156

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CONFIDENTIAL

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19 JAN 1987

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Hong Kong Dept

19 January 1987

PS/Mr Renton

Mr Gillmore

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Mr Sullivan, FED

Mr Cresswell,

News Dept

Mr Walker,

Research Dept

Sir D Wilson

private

Private Secretary

DESK OFFICER

INDEX

PA

ASURY Action Taken

RESIGNATION OF HU YAOBANG: REACTIONS IN HONG KONG

A

1.

B

a

Mr Sullivan's submission of 16 January gave a preliminary

assessment of the implications of the resignation of Hu Yaobang. A

fuller analysis by the Cabinet Office, to which this Department has

briefly contributed, is also in preparation.

2.

8

We now have the first detailed report on reactions to the news in Hong Kong (HK Telno 216). Media coverage of the resignation has

been extensive, based mainly on NCNA and other agency reporting. It

has focussed increasingly on Zhao Ziyang's reassurance that China's

internal and external policies would be unchanged, and that reform

would continue.

Other

3.

The reactions of Hong Kong people have been mixed, and there is

some unease. Lydia Dunn, Senior member of LegCo and a member of

ExCo, said that Hu's resignation should not affect Hong Kong.

members of ExCo and LegCo have reacted along similar, measured

lines. But some other members of LegCo (on the whole the more erratic, "progressive" element) have expressed fears that confidence in Hong Kong will be affected adversely both by fears of changes in

CONFIDENTIAL