PAGE 10-HONGKONG DAILY PRESS
Finance and Commerce
•
STRENGTH OF CHINESE
FINANCE REVIEWED
Six Cardinal Factors Of S
Economic Stability
CHUNGKING, : DEC. · 31
(CENTRAL) - THE REMARKABLE STRENGTH OF CHINA'S FINANCIAL STRUCTURE DURING THE PAST TWO AND HALF YEARS' WAR WAS REVIEWED BY DR, H ́H, KUNG, THE MINISTER OF FINANCE, IN A NEW YEAR'S MESSAGE TO THE NATION RELEASED HERE THIS EVENING.
MONEY AND EXCHANGE
CLOSING QUOTATIONS
JANUARY 2, 1940
'n London:-
Telegraphic, Transfer. 1/2 7/8 Bank Buils, on demand1/2 7,8 Credits 4 months' gight† 37/32 in Shanghai-- On demand
On Singapore:- On demand
On Japan:--
"On demand
WLY
On India-
Dr Kong said the extraordinary elasticity of China's finance was the wonder of international observers. It not only con- founded Japanese estimates. but also exceeded the hopes of most of China's foreign well-wishers.
2
Telegraphic Transier. and demand
Jn New York:-
Dr. Kung attributed the econo- tion as an agricultural nation and mle stability to six, cardinal fac- the scarcity of her floating capita, tors:
the Government merely invited On financial voluntary subscription to its bondi sound
Issues. The good faith kept by theOn built up
Government in redeeming these bonds has enhanced popular con- Adence and increased their sales,
FIRSTLY, foundation ass'duously before the hostilities;
SECONDLY, the wise policy of the Government during the war;
"THIRDLY, the bumper crops in the last three years which ensured food sufflelency for the country:
FOURTHLY, centralizetion of capital and their profitable ployment:
€10-
FIFTHLY, the large contribu- the tions by overseas Chinese to war chest; and
SIXTHLY, the very material assistance from friendly Powers.
HUGE DEMAND
During the two and six months since the war began, Dr. Kung
China's wartime financial policy. Dr. Kung revealed, is in keeping with China's military polley, and Is based on her vast and unlimited resources.
Instead of excessive bond issue and reckless inflation to finance a quick war, as in the case of economically weak na- tlons, China gives the greatest attention to the development of her people's livelihood and the
of exploitation
her economic strength.
FINANCE
PAYNE & CO.
COMMODITY BROKERS STOCK EXCHANGE. BUILDING
⠀ HONGKONG
HONGKONG SHARE QUOTATIONS
SHAREBROKERS' ASSOCIATION
TUESDAY 2.. JAN.
STOCK EXCHANGE
Buyers Seller
Balen Noestuali
310
2 3/4
$1345
ILK. Banke
€84 2810
Do. (Col. Bog)
Dai Loa B
8
Chartered Banks
Bak
29 Mercantile Bka. "A"
Mercantile Bka. "0"
Bank of Essi Ada
Insurances
WEDNESDAY, JANUARY 3, 1940.
BANKS
HONGKONG- & ̈ SHANGHAI THE CHARTERED BANK OF
BANKING CORPORATION
Authorised Capital 850,000,000
INDIA, AUSTRALIA AND CHINA
Issued & Fully Paid-Up 820,000,000 acorporated by Royal Chartër, ¡1335 Paid-Up Capital ..... ..£3,000,000 £ 6,500,000 Reserve Fund
Reserve Funds:
Sterling
£3,000,000
£3,000,00
HEAD OFFICE: LONDON:
H.K. Currency Reserve $10,000,000 Reserve Liability of Pre liserve Liability of
prietors Proprietor
Chairman.
lepity Chairman. J. E. Bousfeld, Esq., A. H. Compton, Esq., Hon. Mr. S. H. Dodwell, D. F. Landale, Esq., G. Miskin, Esq.,
K. S. Morrison, Esq., ·
38, Bishopsgate E.C
Sub-Agencies In London: 117yi2, Leadenhall Strest, ELU.3. West End Branch: 14/16, Cockspur Street, S.W.1. Manchester Branch: 32, Mosley, Street, Manchester, 8.
AGENCIES AND BRANCHES:
HARMIN
ALOR STAR AMHITEAR BANDEDK
BATAVIA
BOMBAY
PENANG HONG KONG - BANGOON
$20,000,000
Head Office:--HONG KONG
Hayere allata Salonarina)
81350
Board of Directora: Hon. Mr. A. L. Shields,
W. R. Lock, Eaq..
5
est
£11
J3 1/2
P1
£:01
£11
819
Bánk Bilis, on demand 24 1/2 Credits, 40 days' sight 25 1/8 Batavia-
N. C. & S. Baoka ...
$78
180 cta
ILOILO 1PE
SALOON
SEREMBAN
$200
'Canton Insurance
$220
Hon. Mr. T. E. Pearce,
8425
Un demand
15 5/8.
Union Insurance |
$425
#11
Underwriters
Paris:-.
80 ets
***
8150 H.K. Fice
H. V. Wilkinson, Esq. Sir Vandeleur M. Grayburn,
CALCUTTA
KARACHI KLANO
SHANGHAI
SINGAPORE
AGENCIES: XODE CLYN STRENT
SITIAWAN
Un
Bank Bills, on demand 1090 Credits 4 months' sight 115 Salzon>---
$185
Shipping
Chief Manager. || FAIRLIN PLACE
KUALA
$711
Douginas DTH AND S
3711
$11 Steamboats
On demand
108 3/4
$100
Indo-Chinas (Prot.)
·8100
Amoy
Branches: Ipoh
130
Indo-Chinna (Def.).....
$125
Bangkok
Johore
49
80/0
Bhall
80/0
"Batavia
Kobe
Penang Rangoon Saigon
CANTON CAWNPORE CKBU COLOMBO
LUMPUR
SOURABAYA TAIPING
KUCHING
TIENTSIN
TONGKAR
(Bhuket)
DELFI
TAINGTAÐ
Waterboats.
$7.40
Bombay
Kowloon
San
Calcutta
Kuala
Francisco
149 1/2
HAIPHONG HAMBURG HANKOW
Canton
Lampur Shanghai
Bank Buying Rate Bar Silver per oz
1/3 15/16
$101 841
8101
Chefoo
Landan
Singapore
$4.85
$4
Colombo
2 1/2
$20+
20/201
H.K. & W. Dooka...
8201
Foochow Manila
Market Report
Do, (new) ......................
Haiphong Muar,
#214 Shanghai Docks B. ...
$195
$19.80
Karbin
17/0
Doilo
$10.10
33
Ju Manila:---
On demand On Bangkok:-
Оn demand Sterling Notes:--
FROM BOZA BROS. · Silver prices were unchanged over the holidays, the quotations remaining at 22.1/2 for Ready and 22.11/18 for Forward, Amezi- For example, instead of a general can Suver was quoted at 34.374
THE MAIN AIM
said, not only the National trea- increase in the burden of the com-for pot.
sury has been able
to
the Income
Government
meet the mon
The London/New York cross-rate people, tremendous demand both for war inaugurated
tax, death was quoted at 402 New York/Lon- reconstruction duty and excess profit tax. The don was quoted at 395.5/8;
operations
and
work but also the burden of the aim is that taxation shall be people has actually not been in heaviest on those who are able to creased There has not been an pay and lightest on those who are excess of bond issue, and the na- not able. tional dollar's reserve has always
Dr. Kung also mentioned the been maintained at A conserva-tacilities extended by Government tive level
to the removal of coastal factories
11
Market
Featureless,
.. Sterling
There were sellers at 1/2.15/16 January and 1/2.29/32 February! March, buyers probably at 1/231/·
32 Cash and 1/2.15/18 March.
U. S. Dollars 24.5/8 Bellers January, buyers 24.11/16 January.
In coping with the tremendous to the Interior and the exemption demand for money arising out of of export from export duty. the war, however, the financial The decrease of import duty on authorities were not without their war and reconstruction essentials difficulties, especially as China, be- and the restriction and prohibition ing an agricultural instead of an of import of luxuries and non-was closed today. industrial or
commercial country. essentials were also examples of the determination to Continued on Page 11
can boast of comparatively little Government's floating capital to be pooled into
a large war fund.
CONSERVATIVE POLICY
Dr. Kung revealed that through- <ut the period under review, the Finance Ministry has always adopt- eda conservative policy as re- gards the three traditional means of raising funds by taxation. bornwing and note issue.
NEW COINS
FOR CHINA
WEIGHT & FINENESS TO BE CHANGED
2.
As rega.ds the country's note 19sue. Dr. Kung said while there has been a considerable increase CHUNGKING, Dec. 31 (Centra}} following the war, the satura-The Ministry of Finance in tion point is still far from being circular yesterday announced that. the weight and fineness of and nickel sub- The pre-war figure fell very China's copper var short of what the country sidiary coins wil be changed. actually needed, large areas ba The Central Mint is minting a not supplied quantity of these new colns which
reached.
A NEW COEN
the interior being with notes while even in the large will be placed into circulation ca centres deflationary tendency was Jan, 1, 1940. seen. During the war, issue was, Increased, but merely to meet the! The circular also announced increased needs of the country. that a new coin; namely, a
Dr. Xung cent place, will be minted and
The
Government,
two-
Docks, Wharves. Godowns, etc.
B.K. & K. Whevon Providenta
Providents (wow)
| 319 80|Now (Engineerings &
Mining
Venezuela Gold Fida
።
"17/6 Kailan
$10.10 Raube zakaraming
84
누
4 cts, Hong Kong Mine
Lands, Hotels and
Buildings...
$5
85
$33
$33.
$4.30
$:00 Do. 4% Debarinres #11 Shanghai Landa 8.
H.K. Restion
100%
.84.40.
#8
H.K. Hotelszo H.K. Lands........................5
Sa Humphreys at
#101 Chinese Estates
Cotton MEL,
927 70, Ewo (19.) THE
+8 Wing On Textiles (8.) #107)
817.16
826
$162
$42
$88
81588'hat Cottone (5.)
$41 Zoong Sings (9.)
Pabile Utilities
$17.10
$17/ #17.10 Tramways
$8
Peak Trams fald) wa
Shanghai Dollars
$4
Poak Tram (NEW) ...
318 nominal.
9581
Star Ferries
The Shanghai Exchange Market
$231
F'matt Ferries
#23)
Do. (DW) irre
Market
871
$7.70/ 82.45 China Lights (0)
17
4.30 China Lights (New)
84.85
Dull
་་
863
China Lights Kta. H.K. Electrica ........
$43
The
$18 Macao Electrics
$11.10
8314 39
$241
Sandakan Lights ..... Talaphonas (old)
$241
133
Sterling No business was repoted. market closed with sellers 1/215/16 January and 1/2.29/32 February/March, buyers at 1/231/ 32. probably Cash and 1/2.15/16 March,
U.S. Dollar - Sellers at 24.5/8-January, buyers at 24.11/16.January.
Telephones (new)
18/3 Tractions
18/9 Tractions (pref.)
$14.90 Cald., Macg. (Ord.) 8.
#14. Cald., Mang. (Fref.) 8.
Industriais
Miscellaneous
Dairy Farm (Old) ... Dairy Farin (New)
Ch. Ertainmente »*** Conatractions
(all)
¡Constructions (new)
$17.25
***
Lyons Sourabaya
Daires Malacen. Sungei
Patani Swatow"
Hamburk (Johore) Tientsin
Bankow Mukden Tokyo
New York Tsingtao
Yokohama
Peiping
MADRAS MANILA
MEDAY
NEW YORK PEIPING
(Peking)
TOKOHAMA
FOREIGN EXCHANGE and General Banking Business transacted.
CURRENT Accounts opened and FIXED DEPOSITS received for One Year or shorter periods in Local or Other Currencies at rates which will be quoted on application.
SAVINGS "Accounts also opened in Local Currency and Sterling with CURRENT ACCOUNTS opened in interest allowed at rates obtainable.. LOCAL CURRENCY and FIXED DEPOSITS on application. received for one year or shorter The Bank's Head Office in London periods in Local and other Our-undertakes Executor and Trustee terms which will be business, and claims recovery of rencies on
British Income Tax overpaid, on- Also up to date Sare DEPOSIT terms which may be ascertained at Boxes in various sizes To LIT any of the Agencies and Branches. Hong Kong. 25th September, 1939.
R. A. CAMIDGE,
quoted on application.
HONGKONG SAVINGS
BANK
The Businas of the above. Back
is conducted by the HONGKONG)
Manager.
THE CHASE BANK
SHANGHAI BANKING COR 15, QUEEN'S ROAD, CENTRAL
PORATION. Rules may be obtain-
ed on application.
For the Hongkong” & “SHANGRAI BANKING CORPORATION.
V. M. GRAYBURN,
Chief Manager. Hong Kong, 38th Feb., 1939.
BANK OF EAST ASIA, LIMITED
Authorised Capital......$10,000,000,00 Paid-Up Capital
Bourve and Undivided
Profita
6,598,600.00
2,683,833.01
Head Office:-HONG KONG No. 10 Des Voeur Road, Central.
Board of Directors:
Bir Shouson Chow, Chairman Li Koon Chan. Eage Li Lan Sang, Eng. P. K. Kwok, Esq. Wong Chu Son, Esq. Wong Yan Tong, Esq. Kan Ying Po, Esq. Chan Ching Shok, Esq. Fang Ping Wah bag
Kan Tong Po, Esq., Chief Manager. Li Tse Fong, Esq., Manager.
81
Canton Loes
3173
Comenta
Shanghai Dollars
$6 Bopen
318 nominal,
821
#214
221
RAUB AUSTRALIAN GOLD MINING CO.
$1
*
$74
Lane Crawforda
Report No. 554:-Fle Oza 1,999; Profit $63,000. N
Nanyang Tobacco
$4
$1.80 Sinceres
$9
$810
(8 Ch. G.5% 1925G gBdı.
48°
$100. Chort. 4% Loans
100
-597) (H.K. Govt. 31% Loan -
81%
84) H.K. Wing On
Amoy
'hat Wing O
$10
281
Vibra Piling Lig
BBE
14/9
Marsmana Lúv. (Lon.)
4/0
Maramans Inv. (H.E.)
tonalala Kobe
Nagasaka New York Peris
31
Wm. Powalls
31
H.K. STOCK EXCHANGE
After the New Year celebrations
emphasized, has not resorted to circulated, The new subsidiary, the market has resumed operations the measures adopted by other coins will be 1-cent, 2-cent. 5-with a distinctly steady tone. To- countries in Interfering with note cent and 19 cent pieces.
Įday's • trading“. embraces denia issue. It merely acted as a super-
The circular explained that the in: Docks, which continue the viner in accordance with law. Government decision to change leaders, Electrics Watsons, Dairy There is no question of inflation. the weight and fineness of the Farms New Trams and China Pro
country's existing subsidiary Coins vidents all at slightly better than was due to the soaring prices of the opening quotations whilst a Referring us, taxation, Dr. Kuns copper and nickel and other metals small parcel of Hongkong Banks
of the changed hands at $1360.- following the outbreak by Britain and the United States European war making the metal
BUYERS during the Great War and the Bri value of the coins to exceed their tish taxation in the present war
legal value, and the large scale
SMALLER TAXATION.
mentioned the wartime
taxation
and said compared with these two collection and melting of the coins countries what the Chinese people
by private concerns. In many bear for the cost of the Bino-Jap-
instances, the melted metal was anese war is very much smaller.
Dr. Kung mentioned that China's smuggled out and supplied to the revenue receipts were mostly de- enemy at illegal profit,
rived from indirect taxation
1
NEW REGULATIONS
35 To ensure the continued
customs and salt levies. The fall
circu-
of the larger coastal cities into lation of subsidiary coins and to
check unscrupulous, profiteering. Japanese hands inevitably dimi- nished the Government's income it is necessary that the regulations but does not impair the nation's governing the nation's subsidiary
economic foundation" which is based on its rural agriculture.
Despite the fact that there has
coins be revised;
The revision was drafted by the i Finance Ministry' and submitted been increased willingness by the to and approved by the Executive people to pay their taxes to finance: Yuan and the Supreme National
the war, the Government, mindful, Defence Council.
ot their distress, not only hesitat-
ed to increase taxation but has HONGKONG
actually lowered от abolished
many kinds of levies. Even then.
taxes voluntarily paid by people in
the war zone had not shown very marked decrease.
- INFLATIONARY EFFECT
SHAREBROKERS
ASSOCIATION
Volume Of Business Transacted
on Tuesday, Jan. 2, 1939. H.K. Docks waniensiune 250 $20.30
200
20.331 800 20.40
Dr. Kung said the Government is HK. Dooks `...... aware of the inflationary effect HK, Docks that would be caused by excess of ELK. Docks bond issue as examplled in France Telephones. (O), and Germany following the Great Rauka War. Due to China's special post- United Paracales
800
EK. Bank, $1345. Canton Ins. $200, Union Ins., $425. Douglases, $714. Docks, $201. Providents, $41. Hotels $5. Lands, $32,60.. Realtles, $4,30, Tramways, $17.10. Star Ferries, $86. Yaumati Ferries, $234.. China Lights (Old), stk. Electrics, $531. Sandakan Lights, $11.10. Telephones (Old), $24), Telephones (New), $9. · Cements, $172. ..
Dairy Farms (Old), $217. Dairy Farms (New), 121, Watsons, $9.05, **** Entertainments, $84. Constructions (Old), $13,
SALES
H.K.. Bank, $1380 Canton Ins., $205,
Docks, $20,30/35/.40.
Providents, $44.
· Hotels, $5% |
Tramways, $17.10.
20.40** China Lights (Old), $7.50,
50 24,50
1.500 10.47
5,000 Po. 0.25
Electrics, $53.
Dairy Farms (New), #21,
Watsons, $9.10.
*Bales to Shanghai
KWANGTUNG TAX REORGANIZATION
SHIUKWAN, Dec.
31
(Central) To reorganize the provincial
The Finance Department of the taxation system, taxation bureaux Kwangtung Provincial Govern-will be established at district gov- ment has decided to abolish aernments in the province, while a Hist of more than 500 miscellaneous, more stringent preventive system levies, chiefly concerning Lahing will be introduced to ensure that folk as from Jan. 1, 1940..
there will be no lax evasion.
BATATIN
Bathbay Calou:ta
Branches and Agencies :—--
Κατίρος Pareng Blagapore Loudon Rangoon Bourabaya.
Halphony Bankow
Melbourne
Fotplag
Baigon Bwałow Ban Fran- "Sydney
clo Testain
Vancouver
Seattle
Bearing Shanghal
Every description of Banking and Exchange business transacted. Loans granted on approved securities.
Current Accounts opened in Loca!! Currency and Fixed Deposits re ceived for one' your or aborter perioda in Local and Foreign Cur rencies on terms which will quoted on application.
SATE DEPOSIT BOXES TO LET
KAN TONG PO.
Chief Manager
H
INDO-CHINA
HEAD OFFICE:
18, Pine StreeT,
NEW YORK. An American Bank offering com- plete Foreign Banking Service in the principal Markets of the world. Interest Rates ou Application.
•
BAFE DEPOSIT BOXES
"
Thir Bank is entirely owned by TEE CHAME NATIONAL BARE, New Yoax, with Essources of over -U.§.$2,900,000,000,
1.
D. M. BIGGAR,
'Second Vice Prin
BANK OF CHINA
Specially Chartered by HE NATIONAL GOVERNMENT
OF CHINA AS AN INTERNATIONAL EXCHANGE
BANK
|PAID-UP CAPITAL 840,000,000,00 (BRANCHES ALL OVER CHINA) Owing to our numerous Branches 12. China and connections in the principal Commercial Centres of the World, we are able to extend o our Clients special facilities for Domestic and Foreign Banking and Exchange,
Head Office:-SHANGHAI Hong Kong Branch: -4, QUEEN'S ROAD, C. South China Offices: CANTON- SWATOW: SHIUCHOW
KONGMOON TOISHAN
KINGCHOW
We also handle the issue of Bonds and other Pablia Funds of the Chinese Government both at Home and abroad.
SHOU J. CHEN, -
Manager.
STEAM NAVIGATION COMPANY LTD THE MERCANTILE BANK
Operating Services for Cargo and Passengers
TO-
SWATOW, SHANGHAI, TSINGTAU, CHEFOO
and TIENTSIN
KOBE and OSAKA
BINGAPORE, PENANG and CALCUTTA
SANDAKAN-
HAIPHONG
All steamers berth alongside the Roosevelt_Terminal is the French Concession at Shanghai, where passengers and cargo are landed.
For farther particulars.
please apply to-
JARDINE MATHESON&Co.,LTD. TELEPHONE ZOBILÅGENERAL MANAGERS
OF INDIA, LIMITED
Head CMco:-15, Gracechurch Street,
London, EC.3.
Authorised Capital
tubscribed Capital.. Pild-ap Capital Reservs Fund and Blast,
BANKERS:
£3,000,000
£1,800,000
£1,060,000
€1,252,770
The Bank of England and Midland
Bank Ltd. BRANCHES
Kuala TreuynUTA
Pesang
Bangkok
Bombay
Fattal
Sindre
Calentia
Knytán
New York
Oclown
Kandy
Delhi
K
Hauropu
Kota Bharu,
·Bhangkai
Koala Lipis
Flints
Galle
Hongkong Howrah
Kuala Lumput singspr
EONG KONG BRANCH:
Every description of Banking and“ “Kachreg basiori transnoted.
Travallars Chaqase Inused, TRUSTEE AND EXECUTORSHIP HONDA, UNDERTAKEN S
(UTRIENT "4000 GNTI opened in Geral Cərə Fancy, an)"FEED DEPOLIZA repsivad in Lomi Currency, "EALING & U, S. NOLLABB as tortue that "may be seenetal and os application..
MED BENSON,