TNAG-1627-FCO40-2241-Relations-between-Hong-Kong-and-Macau-1987 — Page 101

ANNEX I

ELABORATION BY THE GOVERNMENT OF THE PEOPLE'S REPUBLIC OF CHINA OF ITS BASIC POLICIES REGARDING MACAO

The Government of the People's Republic of China elab- orates the basic policies of the People's Republic of China regarding Macao as set out in paragraph 2 of the Joint Declara- tion of the Government of the People's Republic of China and the Government of the Republic of Portugal on the Question of Macao as follows:

I

The Constitution of the People's Republic of China stipulates in Article 31 that "the state may establish special administra- tive regions when necessary. The systems to be instituted in special administrative regions shall be prescribed by laws enacted by the National People's Congress in the light of the specific conditions." In accordance with this Article, the People's Republic of China shall, upon the resumption of the exercise of sovereignty over Macao on 20 December 1999, establish the Macao Special Administrative Region of the People's Republic of China. The National People's Congress of the People's Republic of China shall enact and promulgate a Basic Law of the Macao Special Administrative Region of the People's Republic of China (hereinafter referred to as the Basic Law) in accordance with the Constitution of the People's Republic of China, stipulating that after the establishment of

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