TNAG-2879-FCO40-4151-Agreements-between-the-Hong-Kong-Special-Administrative-Regi-1993 — Page 41

4.

This would result in the following amended definition:-

"investor means:

(i)

(ii)

-

[ companies ]

in respect of the Hong Kong SAR, British Nationals (Overseas), and British Overseas citizens, British Protected Persons and British subjects with the right of abode in Hong Kong;

in respect of the United Kingdom, British citizens, British Dependent Territories citizens, and British Overseas citizens, British Protected Persons and British subjects without the right of abode in Hong Kong.

5. I note that the definition of Hong Kong investors does not include other investors with the right of abode in Hong Kong (e.g. non-British Chinese nationals). This reflects the definition of UK investors, which does not include non-British nationals resident in the UK. This is in accordance with our normal IPPA practice and looks acceptable to me, but Hong Kong might press for a wider definition, on the grounds that they do not wish to discriminate against anyone with the right of abode. Other investors with the right of abode in Hong Kong and who have investments in the UK will in any case already be covered by any bilateral IPPA between the UK their national State (such as the UK/China IPPA), but the same could also be said of Chinese BN (0)s, and the cover will not be comprehensive. If Hong Kong do press for the inclusion of non-British Chinese residents we will need to think the point through carefully, despite the lack of symmetry between the definition of nationals for the UK and Hong Kong that that would entail.

Ján Graizg

John Grainger

bm.hkgippa