TNAG-1845-FCO40-2620-House-of-Commons-Select-Committee-on-Foreign-Affairs-enquiry-1989 — Page 102

1999-03-23 13:42 G.I.S

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Government. In the event that there were unforeseen troubles and Government of Hong Kong decided that

that do you think provoke difficulty from Beijing?

Governor:

the

might

These two articles in the different numbers and different forms in which they appeared in the first draft were the The objective subject of enormous amount of discussion in Hong Kong.

I think it was I believe of those who put them forward

essentially Hong Kong drafters on the Basic Law drafting Committee that put them forward

was to try to lay down continuity for the present practice of the Hong Kong Government which is exactly as you've described it, and it is to go for low tax and where possible a balanced budget but it isn't always possible even in Hong Kong to do that. There have been

lot

these of arguments in Hong Kong that by trying to lay a

things down in the Basic Law. this is however admirable the objective -- restriction on the autonomy of the Hong Kong SAR which is provided for in the Joint Declaration. So this is still a subject of considerable debate and discussion in Hong Kong.

Q: have

for

This is why they said - and I suppose it could other connotation

which is that in the event the policy

have to change

good economic reasons. it might provide opportunity for the Government in Beijing to intervene.

did

Governor:

ΠΟ

Well,

there are certain economic desidera 16. that are laid down in the Joint Declaration. for instance there should be

foreign

quite simply exchange control, and so that must reflected in the Basic Law. But there are people in Hong Kong in would arque that where a particular policy is not laid down Joint Declaration it must be for discussion whether it should be down in the Basic Law.

be

who

the

laid

In

You

may

commerce, de'

which

Secretary itself is

0:

your experience Sir David, since know, do you think that the articles here in Chapter 5 on the economy. public finance. monetary affairs, trade, industry and cive the sort of on-going confidence to the business community

Foreign by the necessary and which we've been told

is very much what the Government of Beijing expressing the need for.

13

This

SO

morning

Governor:

and

I believe it is crucial for the future of Hong Kong for the success of the SAR that the economy should be buoyant as it is an autonomous at the moment. and part of that is that it should be economy, that economic decisions should be taken in Hong Kong and that and policies they should

economic be completely separate from the

laid down economic decisions in the mainland of China. And that is very clearly in the Joint Declaration that Hong Kong should look after a separate it's Own finances, its own economic policy, it should be

so there is a division between the Hong Kong mainland of China. I am sure that that division, that

customs area,

the

SAR and degree

Of

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