TNAG-2472-FCO40-3599-Confidential-talks-between-the-UK-and-China-regarding-financ-1992 — Page 100

CONFIDENTIAL

FCO/HKG DIALOGUE ON ECONOMIC AND FINANCIAL MATTERS

VISIT TO HONG KONG: 1-4 APRIL 1992

A. General Objectives

To ensure that FCO officials are up to date on key Hong

Kong economic and financial issues with a UK and/or

Chinese dimension, in order to be able to brief Ministers

as required, notably in case of any changes following the

General Election, so that HMG can maximise the

effectiveness of its support for Hong Kong's prosperity and stability on a basis of economic and financial

autonomy.

To build on previous contacts and to establish an open

and constructive dialogue on these issues.

To discourage the appearance of HKG "bouncing" Ministers.

B. Specific Objectives

1.

To identify possible problems on the airport project,

and clarify their likely timetable, and to discuss the ways forward if the Chinese make difficulty or if lenders require

more Government commitment than currently envisaged. Issues

include:

-

airport railway

-

ACP costs

-

land grants

- Lantau bridge

-

airport platform costs (bids well above HKG estimate?)

MTRC and Airport Authority contracts, franchises and

borrowing (see para 2 below)

ASHAIN/1

CONFIDENTIAL