TNAG-1648-FCO40-2295-Financial-insurance-and-investment-companies-in-Hong-Kong-In-1987 — Page 4

JUN.11 '87 10:44 IMF WASH DC RAPICOME300 477-7491

FROM:

The President

PROPOSED INVESTMENTS IN

JF CHINA INVESTMENT COMPANY LTD.

AND

JF CHINA MANAGEMENT COMPANY LTD.

HONG KON

June 5, 1987

P.005

1. I submit the attached report on proposed investments by IFC in JF

China Investment Company Ltd. and JF China Management Company Ltd. in Hong Kong.

2.

3.

4.

In accordance with Section 3 (ii) of Article III of the Articles of Agreement of the Corporation, the Governments of The United Kingdom and the People's Republic of China have been notified of the proposed investments.

I am satisfied that the proposed investments comply with the Articles of Agreement of the Corporation.

I recommend to the Board of Directors:

(a)

(b)

That the proposed investments be approved on substantially the terms outlined in the attached report.

That the Board of Directors adopt the following resolution:

RESOLVED:

(A) THAT the President, Executive Vice President or a Vice

President be authorized to conclude the transactions outlined in Section 4.01 of the attached report substantially on the terms therein set forth; and

(B)

THAT the President, Executive Vice President or a Vice President or any staff member of the Corporation authorized by any one of them, enter in the name and on behalf of the Corporation into an agreement or agreements providing for such transactions and containing such other terms and conditions as he, by the execution thereof, shall approve.

Barber B. Conable

President