On Dec. 19, 1984, the Chinese and British governments signed the Sino-British Joint Declaration and three relevant annexes on the issue of Hong Kong. The declaration stipulated that China would assume sovereignty over Hong Kong from Britain on July 1, 1997. It also stated the decision to establish the Hong Kong Special Administrative Region (HKSAR), to be led directly by the central government, which would take charge of the region's foreign and defense affairs after the handover.