TNAG-1801-FCO40-2561-Hong-Kong-Vietnamese-refugees-resettlement-in-the-UK-1988 — Page 102

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HUD 243/12 | CONFIDENTIAL.

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22 March

Meeting with the Home Secretary

Vietnamese Refugees

The Governor called on Mr. Douglas Hurd, the Home Secretary, on 22 March. The following were the main points discussed: -

(a)

The Governor said that the economy of Hong Kong was very buoyant. We had had 13% real growth in 1987 and suffered from a shortage of labour. Guangdong Province was developing rapidly as an economic hinterland for HK. There was however considerable continuing nervousness about the future. This meant

that all bilateral issues between HK and HMG tended to be particularly sensitive;

(b) The Governor said that one persistent problem

was Vietnamese Refugees. Arrivals had increased by 65% and resettlement dropped by over 40% in 1987. The numbers in HK were accordingly rising. Most of the new arrivals were economic migrants, and were ethnic Vietnamese from the north. The only long term solution was to send them back to Vietnam. He had been badgering FCO Ministers to approach the Government of Vietnam and negotiate to this end. This would however take time. In the meantime, it was necessary to keep up the level of resettlement from HK. HMG's role in this was vital. It was important that the offtake programme to Britain should continue;

(c)

The Home Secretary said that when the existing quota had been agreed, the Prime Minister had been told that it would have the effect of encouraging other countries to take further quotas and that steps would be taken to stop the outflow from Vietnam. Neither of these had in fact happened. It was difficult in UK terms to present a case for a further offtake so long as the exodus from Vietnam was still continuing. It would be quite a different situation if it was simply a matter of dealing with the residue in HK. He asked what progress had been made on consideration of repatriating refugees to Vietnam;

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