TNAG-2917-FCO40-4192-International-support-from-Australasia-regarding-the-future--1993 — Page 123

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NEW ZEALAND PRIME MINISTER'S CALL ON THE PRIME MINISTER:

10 MARCH 1993

Hong Kong

1. New Zealand has been generally supportive of our policies in Hong Kong. Hong Kong is one of New Zealand's fastest growing sources of investment and is valuable to New Zealand as a springboard for expansion into Southern China.

The Prime Minister will be able to reassure Mr Bolger that

economic fundamentals remain sound (in 1992 Hong Kong was the

world's tenth largest trader and achieved GDP growth of 5%).

2.

[By the time the Prime Minister sees Mr Bolger, it

should be clear whether the Chinese intend to substantiate

their ageement in principle to discuss arrangements for the

1994 and 1995 elections.] -[To be revised]

as we

3. We have an interest in encouraging New Zealand

have been doing with other partners with close economic links

with Hong Kong to speak frankly to the Chinese about what is

needed to sustain confidence. The Prime Minister might wish

to:

[explain the state of negotiations with China]

thank Mr Bolger for political support over Hong Kong in the

past and invite New Zealand to impress upon the Chinese (in private) that all China's partners in the region will be

concerned if business confidence is undermined and the

confidence of the people of Hong Kong in the "one country, two

systems" policy is shaken.

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