TNAG-2149-FCO40-3068-International-Value-Added-Network-Services-(IVANS)-1990 — Page 6

CHRABJ

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AKC193/2

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11 MAY 1990

FROM

DATE

PA Major (Ms)

Hong Kong Department

02 May 1990

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Mr McLaren

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Private Secretary Sofs to see

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Mr Slater

Miss Spencer

Mr Wetton, SEND

Mr McQuade NTD

Mr Fifoot, Legal Advisers

HONG KONG: INTERNATIONAL VALUE ADDED NETWORK SERVICES (IVANS):

INSTRUMENT OF ENTRUSTMENT

Problem

1. Hong Kong wishes to negotiate and conclude its own bilateral special arrangements concerning international telecommunications. In order to proceed the Governor of Hong Kong requires an entrustment from the Secretary of State.

Recommendation

12

2.

I recommend that the Secretary of State sends a despatch to the Governor constituting the necessary authority. I submit a draft. Legal Advisers and DTI have been consulted and are content.

Background and Argument

3. The Hong Kong Government have been approached by the Japanese with a view to concluding bilateral special arrangements on International Value Added Network Services (IVANS). These are arrangements for the leasing of telephone lines to private companies who then provide a value added service such as electronic mail, point of sale fund transfer facilities etc Until recently these value added network services have been confined to

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