TNAG-2056-FCO40-2934-Hong-Kong-and-the-Organisation-for-Economic-Cooperation-and--1990 — Page 11

HMA

FROM: R A E GORDON

DATE: 15 OCTOBER 1990

YOUR DINNER FOR GOVERNOR OF HONG KONG, 16 OCTOBER

Checklist

Objective: informal brainstorming to explore whether HK's contacts with OECD should be thickened up, and if so how.

Taniguchi to debrief on:

-

Sir D Wilson to map out:

-

-

July visit to HK;

next phase of dialogue with DAES.

constraints/opportunities for HK; "three China" participation in APEC.

You might then invite discussion on:

(a) full membership vs. closer links; (b) pros and cons of closer links.

(a) on full membership:

-

legal constraints;

on closer links:

(b) pros: for OECD:

G

for HK:

cons: for OECD:

for HK:

—

likely objections from Chinese (and some OECD members?).

see attached list. Mention trade, finance, investment, competition

policy, urban affairs as most promising

areas.

active involvement of free-market DAE might encourage fellow DAEs to be less reticent;

would gain a wider forum for its views; would help tie HK into international trade and payments system;

would bolster confidence post-1997; could tap OECD expertise to solve problems

(eg educational review).

might alarm Chinese, who could make difficulties over wider DAE dialogue; might give Chinese a window into OECD counsels post-1997.

might excite Chinese suspicions.

risk to GSP benefits? Manpower commitments?

151090R1.doc

RA E Gordon