The Government has noted the European Commission's report on Hong Kong for 2002, and has reiterated its commitment implementing the One Country, Two Systems principle and the Basic Law.

The report said Hong Kong should remain confident of future economic developments and continue to take full advantage of our assets as an international financial centre.

It said Hong Kong's further economic integration with the Mainland is an asset for both, provided that Hong Kong retains its individual personality within the framework of One Country, Two Systems.

The Government is fully aware of differing aspirations in the community, and said the review on post-2007 constitutional development will be proper and thorough.

The Government will learn from experience, strive for improvement and aim to strengthen communication with the public and legislators.

It will review afresh issues concerning Basic Law Article 23.