TNAG-1967-FCO40-2799-Confidence-building-measures-for-Hong-Kong-1989 — Page 8

CONFIDENTIAL

065774

MDLIAN 6385

RESTORING HOME STUDENT STATUS

6. LOSS OF HOME STUDENT STATUS WAS WIDELY RESENTED WHEN IT OCCURRED. ITS RESTORATION, APART FROM THE BENEFITS IT WOULD EVENTUALLY BRING TO BRITAIN, WOULD DO MUCH TO RESORE BRITAIN'S IMAGE IN THIS AREA. SIMILARLY, THE INTRODUCTION OF A MAJOR NEW SCHOLARSHIP SCHEME WOULD GO DOWN WELL.

GUARANTEEING CIVIL SERVANTS' PENSIONS POST 1997 AND THE GENERAL

COMPENSATION SCHEME

7. SUCH INITIATIVES WOULD BOOST MORALE IN CIVIL SERVICE SUBSTANTIALLY

GUARANTEEING MAJOR INTRASTRUCTURAL PROJECTS

8. HMG GUARANTEES FOR NEW PORT AND AIRPORT DEVELOPMENT PROJECTS

WOULD PROVIDE A SUBSTANTIAL BOOST TO BOTH LOCAL AND INTERNATIONAL

CONFIDENCE.

BRITISH CONSULATE

9. REMARKS IN THE FAC CONCERNING THE ESTABLISHMENT OF A BRITISH CONSULATE IN HONG KONG WERE NOT WELL RECEIVED HERE. INVESTMENT NOW BY BRITAIN IN PRESTIGIOUS OFFICE AND RESIDENTIAL ACCOMMODATION FOR

ITS FUTURE CONSULATE WOULD SEND A STRONG MESSAGE OF CONFIDENCE.

FORD

YYYY

MAIN

21

LIMITED

HKD

FED

NNNN

DISTRIBUTION

21

PS 7,PS/MR MAUDE

MR GILLMORE

MR MCLAREN

PAGE

2

CONFIDENTIAL

Dano 9

CONFIDENTIAL

FM BTC HONG KONG TO PRIORITY FCO

TELNO 426

OF 28070OZ SEPTEMBER 89