TNAG-1721-FCO40-2401-Hong-Kong-1987-Review-of-Representative-Government-delegati-1988 — Page 170

ARPADS

CONFIDENTIAL

CALLS ON THE SECRETARY OF STATE AND LORD GLENARTHUR BY

MISS LYDIA DUNN 19 JANUARY 1988

POINTS TO MAKE

Representative Government

1.

Thank you for making time to come to London. Important that

Parliament and the media should not gain the impression that Mr

Lee's views are representative of opinion in Hong Kong generally.

2. Your meetings with the press, Mr Kaufman and the British- Hong

Kong Parliamentary Group are therefore very important.

MPs and the press can be made to appreciate:

3.

Hope that

our genuine commitment to development of representative government in Hong Kong, but at a pace which serves Hong

Kong's best long term interests and which respects views of

whole community;

the historical and political realities: most people in Hong

Kong understand the need to follow a course which takes

account of the Chinese dimension. Best action for Hong

Kong's future lies in carrying China along with the changes

we are making. Confrontation with China over such changes would be most damaging.

HMG has complete confidence in the administration in Hong

Kong. The Hong Kong Government's handling of recent events,

particularly those surrounding the Hong Kong Stock Exchange, most impressive: swift and decisive action will have done

much to maintain internal confidence in Hong Kong as a major

financial centre.

Your view of current state of opinion in Hong Kong? How will

decision to introduce direct elections in 1991 be received?

DEFENSIVE ONLY

Defence Costs Agreement

Well aware of strength of feeling in Hong Kong on this issue,

but there are serious budgetary constraints on our side too.

4.

CONFIDENTIAL