CONFIDENTIAL
Political Questions
Strengthening of the Functions of the United Nations
I am writing separately on the issue of UN Security Council reform, including points for the Prime Minister to use if
Mr Miyazawa raises the question of Japanese membership.
Hong Kong
The Japanese are now the second largest investors in Hong Kong
(after China) and take a close interest in developments there.
They have been privately supportive over the Governor's
democracy proposals, and have been prepared to raise their
interest with the Chinese. For example, the Japanese Foreign
Minister told his Chinese counterpart Qian Qichen in May that
Japan considered it vital that Hong Kong should maintain an open system both politically and economically after 1997: that this was important not just for Hong Kong but for the
whole Asia-Pacific region: and that Japan hoped that
constructive dialogue could be held between China and Britain
on Hong Kong's future.
The Prime Minister might wish to make the following points:
Grateful for Japan's support over Hong Kong. Know you share
our view that the rule of law and sound democratic structures
will be essential in maintaining business confidence after
1997. Helpful for China to be reminded in private that major
economic partners of Hong Kong like Japan attach importance to
full implementation of the Joint Declaration.
- Our talks with China on Hong Kong electoral issues are
making some progress. We are working to make a success of
them. But we cannot let them drag on indefinitely.
fed18/G7SUMMIT/pmmiyabilateral
CONFIDENTIAL
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