TNAG-2473-FCO40-3600-Asian-Development-Bank-liabilities-of-Hong-Kong-1992 — Page 109

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1127 MDLIAN 4.1.

4. THESE THREE LIABILITIES TOGETHER AMOUNT TO US.DLRS. 130.286 MILLION OR PDS. STG. 71.350 MILLION AT THE CURRENT RATE OF EXCHANGE. WE THEREFORE CONFIRM (PARAGRAPH 6 OF YOUR TELNO. 158 TO FCO) THAT THE CURRENT STATUTORY LIMIT OF PDS. STG. 140 MILLION WILL COVER HONG KONG'S PROPOSED CONTRIBUTION OF US.DLRS. 3 MILLION TO THE ASIAN DEVELOPMENT FUND.

5. THE ASDB HAVE CONFIRMED THAT HONG KONG'S CONTRIBUTION TO ADF IV IS EXPECTED TO BE FULLY DRAWN DOWN IN 1993. HONG KONG'S ADF V CONTRIBUTIONS ARE NOT EXPECTED TO BE FULLY DRAWN DOWN BY 1997, BUT THE BANK WOULD HAVE NO DIFFICULTY IF HONG KONG WERE VOLUNTARILY TO ENCASH THE UNDRAWN BALANCE OF THE ADF V CONTRIBUTION AT ANY TIME BEFORE 1997.

6. THERE WOULD BE NO PROBLEM IF HONG KONG'S ADF VI CONTRIBUTION WERE PAID IN CASH RATHER THAN PROMISSORY NOTES. WE NOTE THAT YOU HAVE SUGGESTED THIS COURSE OF ACTION IN (D) OF YOUR TUR. IN ACCORDANCE WITH THE DRAFT RESOLUTION OF THE BOARD OF GOVERNORS AUTHORISING THE REPLENISHMENT, THE LAST INSTALMENT FOR ADF VI MUST BE PAID NOT LATER THAN 31 DECEMBER 1995.

HURD.

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