TNAG-2146-FCO40-3065-Hong-Kong-Port-and-Airport-Development-Strategy-(PADS)-1990 — Page 21

GF 323

CONFIDENTIAL

- 4

機密

said the Bank had traditionally been held in high esteem, and had become a symbol of Hong Kong's stability and prosperity. Contacts said the move had created a severe psychological impact. Other contacts said that short term adverse reaction was in- evitable, but in the long term, provided the political climate did not deteriorate, the Bank would continue to operate, and everything hinged on HMG/CPG/HKG relations.

7. Contacts in Mong Kok were generally not surprised by the Bank's move, they felt it was natural for commercial establish- ments to plan for the future, in response to uncertainties created by 1997. A few business contacts said it was only a business decision and in the interests of the Banks' shareholders, but would to a certain extent adversely affect people's confidence, because of the Bank's Quasi-central role, which had all along played a very important role in the financial and banking system of Hong Kong.

Contacts were worried that the move would encour-

Grassroot contacts

11

age other major businesses to follow suit. expressed similar views, and speculated that the Bank's central banking role would diminish in the next few years. Contacts expected the Bank of China to play a more important role in the banking system of the Territory. A few contacts from the bus- iness sector thought the move might be a healthy "Phenomenon in that the Bank of China could have more time to adjust to the demand and tempo of Hong Kong's banking system.

Town Planning (Amendment) Bill

8=

T

Generally, respondents in 4 districts believed China should not get involved in arguments over the Bill, which respondents considered to be an internal affair.

Respondents also criti-

cised the Heung Yee Kuk for seeking China's support on this issue. Respondents thought this had created a bad precedent for China

to interfere in local issues, before and after 1997.

9.

Contacts in Central and Western said the CPG should not

be involved in arguments over the Bill; as this was basically

a local matter.

Contacts were not supportive of the Kuk, and

CONFIDENTIAL

/ said...

機密