threw
penny per dollar lower blows the drawing rate : for example, if the rate at which orders Are issued be 21/11/2, the rate at which orders
would be paid from the United Kingdom here would be 24/5½. This margin of One penny per dollar is desirable as a security against persons in this United Kingdom drawing largely on the three
Offices whenever the rate of exchange would
make such a course
profitable.
27
In order to simplify the accounts
and avoid as far as possible any
trouble, we
propose
to close
this transaction by every mail sent to England by forwarding a
statement
of
the money
orders issued and paid at
these three Offices accompanying it by Bank Bill, for the
balance which may
appear in favour of the United Kingdom. Having Consulted the manager of the Hongkong and Shanghai Banking Corporation, he has expressed his perfect
willingness to assist this Post Office in this matter by furnishing from time
to time the rates
of exchange at which the Bank is drawing Bills of Exchange
on England and by giving
us
Bills at such
rate for any balance which it may be necessary to remit to England.
Arrangement by which we shall
Secure