TNAG-1891-FCO40-2684-Visits-by-Sir-Geoffrey-Howe-and-by-Douglas-Hurd--Secretaries-1989 — Page 76

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MDHIAN 1227

RESILIENCE, AND BROADLY BASED ECONOMIC AND FINANCIAL INTERESTS, CURRENT INDICATIONS ARE THAT THE ECONOMY AND COMMERCIAL PROSPECTS SHOULD NOT BE TOO BADLY HIT. THESE HOWEVER ARE STILL EARLY DAYS. HONG KONG'S BUSINESS CONFIDENCE WAS A TOUCH SHAKY BEFORE 4 JUNE BECAUSE OF THE ADVANCE TOWARDS 1997: IT IS SHAKIER NOW. CHINA HOWEVER CONTINUES TO NEED HONG KONG'S INJECTION OF PROSPERITY AND THAT SHOULD CONTINUE TO GIVE BRITISH AS WELL AS LOCAL FIRMS SOME

CONFIDENCE IN THEIR FUTURE.

HEAP

YYYY

ΜΑΙΝ

49

.HONG KONG AGREEMENT

.(RESTRICTED>

LIMITED

HKD

HD/FED

RESEARCH (FE)

ADDITIONAL

3

DISTRIBUTION

52

PUSD

PS/LORD GLENARTHUR

PS/MR EGGAR

MR GILLMORE

MR MCLAREN

MR EDWARDS LEGAL ADV MR WHOMERSLEY LEGAL ADV

MR FIFOOT HKD

NNNN

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