TNAG-1749-FCO40-2468-Visit-by-Sir-Geoffrey-Howe--Secretary-of-State-for-Foreign-a-1988 — Page 126

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TO DESKBY 26010OZ HONG KONG

TELNO 1358

OF 25180OZ MAY 88

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051325 MDHOAN 6830

FINAL PART OF TWO PARTS

CORRECTED VERSION

AND WHO WOULD HAVE DREAMED THAT ONE OF THE COMPLAINTS ABOUT SUCH A CHINESE TEXT WOULD HAVE BEEN ITS INSISTENCE ON A BALANCED BUDGET AND LOW TAXATION POLICIES SOMETHING MOST WESTERN FINANCE MINISTERS WOULD GIVE THEIR EYE TEETH FOR.

OF COURSE THERE ARE STILL DIFFICULT AREAS TO BE RESOLVED. AND OF COURSE THE BRITISH GOVERNMENT, AS CO-SIGNATORIES OF THE JOINT DECLARATION WITH THE GOVERNMENT OF CHINA, WILL WISH TO BE SATISFIED THAT THE DRAFT BASIC LAW FULLY AND ACCURATELY REFLECTS

ITS PROVISIONS.

I HAVE NO DOUBT THAT THE PEOPLE OF HONG KONG WILL RESPOND TO THE DRAFT WITH SERIOUS AND CONSTRUCTIVE COMMENTS, AND THAT THE CHINESE GOVERNMENT WILL LISTEN CLOSELY TO THOSE VIEWS.

IN ALL THESE WAYS, HONG KONG'S FUTURE IS COMING TOGETHER WELL. REMARKABLY WELL, CONSIDERING THE MAGNITUDE AND UNIQUENESS OF THE TASK.

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AND THAT OWES MUCH TO THE SPIRIT HONG KONG THE DETERMINATION AND THE ABILITY TO TURN THOUGHT INTO ACTION AND HOPE INTO REALITY. WE ARE BUILDING A STRUCTURE OF CONFIDENCE AND CERTAINTY WHERE ONLY DOUBT AND UNCERTAINTY EXISTED BEFORE. IT IS THAT HONG KONG SPIRIT WHICH GIVES ME THE CONVICTION THAT

WHAT WE HAVE EMBARKED ON IS GOING TO WORK.

ALSO DEPEND UPON

BUT HONG KONG'S SUCCESSES PAST AND FUTURE THE GOODWILL AND SUPPORT OF BRITAIN AND CHINA. THE PAST FORTY YEARS HAVE SHOWN CLEARLY THAT HONG KONG DOES NOT PROSPER IF BRITAIN AND CHINA ARE AT ODDS AND VICE VERSA.

I HAVE ALREADY REAFFIRMED BRITAIN'S

COMMITMENT TO HONG KONG.

THAT COMMITMENT GOES FROM THE PRIME MINISTER DOWNWARDS. WE HAVE A DEEP SENSE OF RESPONSIBILITY TO HONG KONG AND HER PEOPLE. I

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