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ens"
Hong
[24 JANUARY 1990 ]
It is admittedly a minimum response that clearly will go some way towards restoring confidence and g efficient government in the meantime. I dich hope and believe then it will senourage those who have already made a great contribution to follow our lead. Moreover, key workers who have an alternative choice-a right of residence in this country-quite obviously will not feel so much at the mercy of those who negotiated with them, as they would have done if they had no such rights, since they are likely to receive more sympathetic consideration.
I am sure that my long-term confidence is shared by the majority of people who know Hong Kong. I believe that it is still justified by the continuation of those economic policies of China-and I speak of Chinese mainland-which came into effect before June last year; namely, the movement towards a market economy and greater openness in foreign relations, especially towards the West.
I was particularly pleased to hear the noble Lord who has just made his maiden speech say that there is evidence of communist China taking a capitalist interest in the affairs of Hong Kong. Perhaps I may add that when I was in Canton less than two years ago my colleagues and I were being entertained by the authorities there. The main topic of conversation was the creation of a communist stock exchange in Canton. One may at first blush think that that is not necessarily the most obvious topic of conversation to arise in those circumstances.
There is a special Chinese angle to these matters. The Chinese Government have shown no difficulty in understanding the need to continue a capitalist market economy in Hong Kong and have reaffirmed their commitment under the joint statement. I see no reason, either because of current conversations with China-and I was talking to those in the embassy for two hours only a few days ago-or because of the precedents that China has set in the past, to believe that China will not honour its commitments in the way in which it entered into them, and which it has now reaffirmed. That may be considered somewhat naive. I do not believe that one achieves anything by doubting the honesty of nations when they have shown no propensity to be otherwise. Therefore I am glad that the Government have taken these steps which I am sure will help enormously.
I hope that the noble Lords will be good enough to bear in mind that by entering into the joint declaration of 1984, and by approving for so many years ahead the continuation of two systems in Hong Kong, the parties demonstrated that they had resolved the argument between sovereignty and economic prosperity. They decided that it was far better to have a prosperous Hong Kong open market economy than to exercise absolute sovereignty. I see no reason for believing that that will not continue.
Finally, as to democratisation, I hope that the Government will not rush the matter. I remember very well first hearing Clem Attlee's wise advice that a good statesman should only go as far as he absolutely needs. The Government need to negotiate, as they are doing, as favourably as possible.
Kong
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So far as the 1991 elections are concerned, I believe that as we move away from the crisis of last vear the Government would find the atmosphere
2 more faveurs, if they negozi rod the the plan at a much later date. They have no need to do it now. We approve these proposals and we believe that the House as a whole should similarly do so.
6.41 p.m.
Lord Eden of Winton: My Lords, I too should like to congratulate most warmly the noble Lord, Lord Sharp of Grimsdyke, on his maiden speech. Like the noble Lord, Lord Diamond, who has just spoken, I found particularly warming the encouraging message which he gave to your Lordships' House. But I think we all recognised that, speaking as he does with such knowledge of Hong Kong and with such authority from his long experience of Hong Kong and of China, the words he spoke here will be faithfully recorded and reported, and much spoken about throughout Hong Kong.
In that sense, I am sure we should also thank him for the encouragement which he is giving through his speech, for the work he is doing in Hong Kong, for the condidence he is showing in the future of Hong Kong and for the encouragement he has given to its people. I should also like to thank the noble Lord, Lord Bonham-Carter, for having taken the initiative to bring forward this debate. It is, as has been said, an extremely opportune and timely one.
Recently, in relation to Hong Kong the Government have had three extremely difficult decisions to take. I do not think anyone should underestimate how difficult they must have been. There has been the matter of the determination of the nationality package; there has been the whole difficult question of the Vietnamese economic migrants and the refugees associated with them; and there has been the question of democratisation -to use that rather nasty, contrived word—which covers a much larger problem than perhaps is recognised.
On the first two, the Government have already announced their decision. On the third -democratisation-they have not yet done so, but it seems that their decision is likely to be taken and announced very shortly. I hope very much that they will accept the proposals of the Hong Kong Legislative Council. They are modest. They are not in any way to be seen as excessive demands. They are the product of much debate and discussion internally within Hong Kong and as such they should carry considerable weight with us here.
Considering this matter reminds us that the United Kingdom Government still have sovereign responsibilities for Hong Kong right the way through to 1997, and it is essential that we are seen to be exercising our proper role in respect of those responsibilities. It would be unfortunate if the impression were to be given that on major matters we were falling too far over towards the views expressed from Beijing. However, that is not to say that we should ignore those views. It is absolutely essential, particularly in respect of democratisation, that we take those views very much into account. Therefore I recognise that there may have to be some form of
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