TNAG-1991-FCO40-2831-Future-of-Hong-Kong-British-Nationality-(Hong-Kong)-Selectio-1990 — Page 15

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130025 MDHIAN 9616

(I)

THIS IS A BRITISH PLOT TO MAINTAIN BRITISH INFLUENCE IN HONG

KONG AFTER 1997.

(II) WE ARE UNDERMINING THE LOYALTY OF THE CIVIL SERVICE IN HONG KONG AFTER 1997.

(III) BY ENCOURAGING EMIGRATION, AND BY CREATING A PERIOD OF CONFUSION DURING WHICH NO ONE WILL KNOW WHETHER THEY WILL OR WILL NOT RECEIVE BRITISH NATIONALITY WE ARE CREATING INSTABILITY AND SOWING CONFUSION AND THUS UNDERMINING THE JD.

(IV) WE ARE MAKING A MAJOR DEPARTURE FROM PREVIOUS POLICY WITHOUT PROPER CONSULTATION WITH THE CHINESE SIDE.

(V) WE ARE CREATING DIFFICULTIES FOR THE CHINESE IN RESPECT OF THEIR OWN NATIONALITY LAW.

5. WITH THIS IN MIND WE SUGGEST THE MAIN LINES OF OUR APPROACH TO THEM SHOULD BE:

A) WE FACE A MAJOR PROBLEM OF EMIGRATION WHICH THREATENS SERIOUSLY TO UNDERMINE HONG KONG'S PROSPERITY, AND IF NOT CHECKED IS LIKELY TO MAKE IT UNGOVERNABLE. PEOPLE ARE LEAVING BECAUSE THAT IS THE ONLY WAY THEY CAN ACQUIRE OTHER NATIONALITIES AND THUS A FORM OF INSURANCE. THE CHINESE SIDE HAVE IN THE PAST UNDERSTOOD WHY IT WAS NATURAL THAT PEOPLE SHOULD CRAVE SUCH INSURANCE. THIS PACKAGE IS DESIGNED TO REMOVE THE NEED FOR PEOPLE TO LEAVE HONG KONG AND THUS TO KEEP THEM AT THEIR POSTS. THE WRONG RESPONSE FROM CHINA WOULD SERIOUSLY UNDERMINE ITS EFFECTIVENESS.

B) THE SCHEME IS NOT SIMPLY OR EVEN PREDOMINANTLY AIMED AT THE CIVIL SERVICE. TWO THIRDS OF THE TOTAL IS LIKELY TO GO TO THE PRIVATE SECTOR. OF COURSE IT WOULD NOT BE POLITICALLY POSSIBLE OR SENSIBLE TO EXCLUDE THE CIVIL SERVICE: THERE IS INDEED A SERIOUS PROBLEM WITH EMIGRATION THERE TOO. WHICH, IF NOT SOMEHOW CONTAINED, WILL SERIOUSLY UNDERMINE THE STABILITY OF HONG KONG BEFORE AND AFTER 1997.

C) AS THE CHINESE RECOGNISE, HONG KONG IS AN INTERNATIONAL BUSINESS CENTRE. THERE ARE ALREADY LARGE NUMBERS OF CHINESE PEOPLE IN HONG KONG WITH FOREIGN PASSPORTS (NOT BDTC PASSPORTS), BOTH IN THE PRIVATE SECTOR AND IN THE CIVIL SERVICE. THE PACKAGE WILL INCREASE THE NUMBER, BUT IT IS A CHANGE IN QUANTITY NOT QUALITY.

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