TNAG-2181-FCO40-3118-Hong-Kong-nationality-international-support-1990 — Page 80

5.

We have informed the Chinese at every opportunity that:

Our nationality package does not contravene the Joint Declaration or the associated exchange of memoranda.

<

Far from being contrary to the Joint Declaration, HMG's measures are fully consistent with our obligation under the Joint Declaration to maintain the stability and prosperity

of Hong Kong. There is nothing in the Joint Declaration, or the attached memoranda to it, which precludes HMG from

granting British Citizenship to Hong Kong people before

30 June 1997.

There is no ulterior motive behind our nationality

package. It is certainly not, as has been claimed, a way of

extending the British influence in of Hong Kong after 1997.

The nationality package is not aimed against China and will not damage Chinese interests.

The problem of emigration from Hong Kong has grown in the past few years, creating potentially a serious problem in confidence in the territory. It is HMG's responsibility in administering Hong Kong until 1997, and under the terms of

the Joint Declaration, was to take any action we saw fit to address this problem.

-

The aim of the package is to keep people in Hong Kong

for the benefit of Hong Kong. All the indications are that the majority of people leaving Hong Kong would stay if they could obtain a passport without emigrating.

China has made its criticism of the package very public.

It would be in all our interests, and would help to maintain confidence in Hong Kong, if discussions on this issue continued confidentially.

TOYAFK/2