TNAG-2336-FCO40-3400-Extradition-agreements-between-Hong-Kong-and-other-countries-1991 — Page 5

The proposed regulations (Annex A) amends the Second Schedule to the principal regulations to provide for an entry permit valid for multiple visits at a fee of $230. It is not intended to restrict the legislation for the exclusive use of Taiwanese residents. It may in future also be

applicable to applicants from other countries.

CHINESE REACTION

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The proposed changes are technical and do not represent a diminution of political control on visitors from Taiwan. Before 4 June 1989, the New China News Agency themselves suggested facilitating travel for Taiwanese businessmen, many of whom pass through Hong Kong into China. In February 1990, the Political Adviser briefed the Chinese side at the Border Liaison Review talks in Hong Kong, describing the sort of proposal that was under consideration. The Chinese side said they were happy with the improved procedures. We therefore consider there should be no adverse

reaction from the Chinese.

FINANCIAL AND STAFFING IMPLICATIONS

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some is

The introduction of MTPS is expected to bring about reduction in workload as MTPs are valid for one year. It estimated that there will be a reduction of 33% in workload and this will enable the Immigration Department to achieve a saving of about 38 staff in 1990/91. The savings in staff cost will be about $6 million. However, it is also estimated that there may be a potential loss of revenue of about $58 million, as a result of

the decrease in the number of applications for single and double journey visit permits. In view of this, we will also review the level of fees for such permits after they have been introduced for one year.

PUBLIC REACTION

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MTPS should be welcomed by Taiwanese visitors and the tourist trade.

As other types of visit permits are still available to those who do not intend to make multiple visits to Hong Kong or who need to be here for a longer period, it is unlikely that there will be any adverse public reaction. there may be renewed calls for processing time to be shortened even further.

However,

CONFIDENTIAL