TNAG-2815-FCO40-4061-Future-of-Hong-Kong-International-Rights-and-Obligations-(IR-1993 — Page 24

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imf.ADM.JRB

CONFIDENTIAL

FROM: P F Ricketts

Hong Kong Department DATE: 1 November 1993

cc: PS/Lady Chalker Sir J Coles

Mr Muir

Mr Tebbit, ERD Mr Fry, FED

Mr Powell, ODA

Mr Sedgwick, HMT

Mr Hum

PS/Mr Goodlad

HONG KONG: IMF/IBRD 1997 ANNUAL MEETINGS

Mr Cunliffe, HMT

Mr Mortimer, HMT Mr Bullock, BOE RMD

Problem

1. The documentation prepared by the IMF/IBRD for the 1997

Annual Meetings includes a Memorandum of Understanding (MOU) to

be signed by HMG and the PRC under which the governments will assume certain responsibilities.

Recommendation

That we instruct UKDEL IMF/IBRD to inform the institutions

that we can accept the proposed documentation.

2.

Background

3. In my submission of 8 October I recommended that we instruct UKDEL to advise the IMF/IBRD that we could accept their proposed package of procedural arrangements for the 1997 Annual Meetings. UKDEL's advice at that stage was that the package was the best we were likely to get and that it met our objective of

protecting Hong Kong's autonomy, and that HMG would not have to

assume any contingent liability.

CONFIDENTIAL