TNAG-2224-FCO40-3195-Gulf-War-burden-sharing-Hong-Kong-contribution-1991 — Page 84

CONFIDENTIAL

ADVANCE COPY 11:22

024320 MDADAN 7653

CONFIDENTIAL

FM HONG KONG

TO DESKBY 08130OZ FCO

TELNO 448

OF 08110OZ FEBRUARY 91

INFO IMMEDIATE PEKING, WASHINGTON, UKREP JLG HONG KONG

GULF WAR: BURDEN SHARING : CONTRIBUTION BY HONG KONG

1. OVER THE PAST TWO WEEKS I HAVE HAD A NUMBER OF DISCUSSIONS WITH MY EXECUTIVE COUNCIL ABOUT WHETHER HONG KONG SHOULD MAKE A CONTRIBUTION TO THE COSTS INCURRED BY HMG IN THE GULF CONFLICT. EARLIER THIS WEEK, THE EXECUTIVE COUNCIL AGREED THAT HONG KONG SHOULD MAKE A CONTRIBUTION OF HONG KONG DOLLARS 230M, IE APPROXIMATELY POUNDS STERLING 15M, SUBJECT TO THE AGREEMENT OF THE FINANCE COMMITTEE OF THE LEGISLATIVE COUNCIL (IE THE FULL COUNCIL MINUS ITS CIVIL SERVICE MEMBERS), WHICH HAS TO APPROVE ALL GOVERNMENT EXPENDITURE.

2. THE ADMINISTRATION'S PROPOSAL WAS DISCUSSED BY THE FINANCE COMMITTEE TODAY. THIS FOLLOWED SEVERAL DAYS OF INTENSE COMMENT IN THE MEDIA, AND INFORMAL DISCUSSION BY MEMBERS OF THE COUNCIL, DURING WHICH DIVIDED VIEWS HAVE BEEN EXPRESSED ABOUT THE SIZE, NATURE AND DIRECTION OF THE CONTRIBUTION.

3. AFTER A LENGTHY DEBATE THIS AFTERNOON, THE FINANCE COMMITTEE APPROVED A DONATION TO HMG OF HK DOLLARS 230M, ''LOGISTIC, MEDICAL, HUMANITARIAN AND OTHER SUPPORT FACILITIES''. THE FINAL VOTING WAS 26 IN FAVOUR AND 14 AGAINST WITH NO ABSTENTIONS. A NUMBER OF MEMBERS WERE ABSENT, SOME ABROAD.

4. SEPARATE REPORTS WILL FOLLOW ON SALIENT POINTS MADE IN THE FINANCE COMMITTEE DISCUSSION AND ON ATTITUDES REFLECTED IN THE MEDIA WHERE, AMONGST OTHERS, THE PRO-COMMUNIST PRESS HAS BEEN CRITICAL OF THE GOVERNMENT'S PROPOSAL. INFORMAL ESTIMATES SHOW THAT HAD THE ADMINISTRATION NOT/NOT BEEN PREPARED TO AGREE TO THE WORDING IN PARAGRAPH 3 ABOVE, VOTES FOR AND AGAINST THE PROPOSAL WOULD HAVE BEEN VERY CLOSE.

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5 I SHOULD BE GRATEFUL IF THIS CONTRIBUTION BY HONG KONG COULD BE BROUGHT TO THE ATTENTION OF THE PRIME MINISTER.

WILSON