THE HONG KONG TELEGRAPH..
EXTRA.
HONGKONG, FEBRUARY 23, SATURDAY, 1918.
THE QUESTION OF WORLD FINANCE AND THE WAR owing to increased investmente,
A REVIEW OF CHINA'S ACTIVITIES DURING THE PAST YEAR.
·elo, e
many
4
LAH
10. rasums.
HONGKONG AND SHANGHAI BANK MEETING, 884 lion against $61 millions Lees overtad. all in the Ledin bas left them little mom for subjects still in China:e territory, whatsby an morast sum of over the previona year. Ballion in price of Silver even more handling Indian reports to the The numerous outrages engicers 52,100,000 (ant incläding, the band and in transit shows rapid and sextional than the Far East, and that branch fed and omnaived at by Garmin German and Austrian indems; practically no change. Oar rise. From the 25th September, trade continues to be bampered, in allied and neutral countries nitise, payment of which ceased reached, the price fell 61. in foar has been very active and high allowing liberty of movement to tions) will be relensed to China, Securities are slightly higher when the highest point war Bat, on the whole, Indian trade have 1aught us all the droger of upon the earlier runtars of rela and I may mention they are all days. Wide fladtuations followed prices have been obtained for such savage and unscrupulone in addition Uhina has now entered written down to what appears in the succeding month, a rise exports, so that the countrymen foes so the Germans have proved upon negoliations with her A 'lie.
ba B salo Javel. The of 3d," on the 30th October muk must have done well; The Icemselves to bs. Surling Reserva Fand of fog the largest rue recorded in ab orption of Rupees has again
for the revisi ü of the Custome £1,500,000 is now entirely invest any one day since 1893. The bon on a large scale,
From a financial point of view. Tariff to an #ctive & per cen ed in the British Government & general trend, however, has been
the past "year" was even a more which may be expo'ed to resalt. per cent. War Loan and stands at towards a lower level of prids. 1917 exceeded all previous record predecessor. The total Maritime revenas.-The Country'e rover no. The foreign trade of Japan for prosperous one for China than its in a substantial, increase to the the issue price of 95. Bills Dis. The year closed with the ard shows an excess of exports Ca-toma collection for 1917 was is alen gicing by the slow, but The ordinary yearly meeting of [ing $1,000,000 to the Bilrar Recounted, Loans and Credits are - quotation at 43.1/2. The over imports of Y589,923,000, or Haikwad Tie. 38,177,000, equival- gradual improvement in railway the Hongkong and Shanghai serve you will bring that Fand ups me $14 millions lower, and amount of Silver imported Y203,713 000 more than at the ent, at the sverage rate of ex earnings. The earliest of them Banking Corporation was held to-to $19.500.000. and I treat we Bille Receivable "about $2,1/2 into China during 1917 corresponding period of the pre-shange of 4/3 13/18, to £8,241, in which we were interested, the day at noon at the City Hall. Mr may be able to continue increasing millions higher, than in the former was Ca. 23,000,000, while Os visus vear. 8. H. Dodwell (Chairman) presidi: a time go08 DB. Ample and balance sheet. In London morey 54,750,000 were exported, resaltare.Exports Yen 1,683.780,000 the previous year of Baikwan Tis now, I am glad to say, more than The total figures 857, as against a collection for Shangbai Nanking Builway, is ed and there were present the liberal provision has been made has been plentiful throughout the ing in a reduction of the stock in and Imports Tea 1,083 857,000 37,764 000. quivalent at the paying its way. After meeting Hon. Mr P. R. Holyosk, the Hon for coatingencies, which I am year. The Bank of England rate the Country by Ox: 31,750,000,-being increases of 42% 37% of 3/3 13/16, to 66,264,495 Con- all its current expenses, including Hr. D. Lendale, Mr G. T. Elkins, sure you will agree is a wise pre-war reduced from 6 per cent, to However provided there is no respectively, while the combined sidering the bandicap posed the payment of interest on it Mr O 8 Gabbey, Mr E. V. D. cation in these days. The 5.1/2 per cent, on the 18 January considerable export of silver from figures. ehow an expansion of upon Chins trade by adver o war debt in sterling, the accounts for Parr, Hr A. H. Compton, Mr W. $1,000,000 which it is proposed 1917, and on the 6th April to 5 Obins in the near future, present 40% or Ten 798 millions. L Pattenden, and Mr F. C. But-to write off Bank Premises Ac per cent, Since that date the indications do not point to large
conditions and a dearth of ton 1916 show a surplus of about cher, (Direstora), Mr N. J. Stabb count, represents about 90 per rate baa remained unchanged imports of the metal being neeexports over imports and the free collection is as less remarkable given eficient management sit The great preponderance of nags, the increase in the soal £17,000. I feel confident that (Chief Manager), and Sir Robert cent. of the year's expenditure on a 5 per cent. The marsary. The Chins exchanges, Gold market in the United States than that of the starling equival- lar resalta will follow in the case Ho Tang, Sir Ellis Kadoorie, Premises, and as there are still | ket rate of
discount for although generally at a discreet during the first nine months of ent, due to the extraordinarily of the other railways 89 soon Ma the Hor. Mr H. E. Pollock, K O., | heavy outlays ahead, the appro-three months' billa averaged for interval, have nočena volens the year resulted in a phenomenal high rate of exchange. Thanks to it is possible to complete their and Heagre, A. E Payne, D. K priation is sound and will, with the first half of the year 24.10.78. followed these erratic and sudden increase in the amount of specie this latter factor, the Maritim construction and Moes, A. 8. D. Consland, A. O but doubt, commend itself to you. per cent. and for call" money fluctuations in Silver. Lang, B. H. B. Hanorck, T. F. The figures before you are in│8431 per cent. The difference
et the disposal cf the nation, Castame revenus daring the past the development which has now Notwithstanding the Hough, Ho Fook, Ho Kam Tong, themselvsufficient evidence that between the two does not allow of disabilities, enchas exchange Yen, or 411 million Yen greater of the various loans which are a restriction of war ato. With which now totala 1.120 million year has not only met the service been temporarily arrested by the H. W. Looker, H. Perey Smith, your interests have been well sad mach margin of profit, and since factuations, political disturb than a year ago, about half first charge upon it, but has paid oonditions so favourable, both in O. W. Beswick, T. E. Pas ce, Ho loyally looked after, and I am the rate of discount is determined snces, dr, shortage and being held at beme sat half the whole of the Boxer Indemnity respect to her fiances and her Kwon, F. H. Thomas, J. D. V. sure you will all approve of cur by the competition of Treasury uncertainty of ton asge, etc., under abroad. Steavenson, F. Maitland, L. N. faction in sgrin voting the arf Bills, which were on (far at 4 3/4 which it has been carried ondition of
The prosperous cro service and, for the list six foreign relations, it is more than Lorfe, I. F. I. Danenbarg, H. B. (exo ading Hamburg Office) & per cent, this is a condition which dating the past year, trade in ecabled Japan to repay a portion the Reorganisation Loan which, by these are largely sentralised by
the country
bas months of the year, the service of regrettable to have to admit that L. Dowbiggin, O. G. Motor, W. bonus of 20 per cent, on salaries is likel: to be meiatsised. It is China has been on the whole of her foreign debt, make sub
Roberts, W. M. Hamphreys, for the past year. Like all other not a dieability of which we desire satisfactory for both foreign and stantial loans to the Allies and Agreement, is charged
a special class of the Loan the deplorable state of China's W, 8. Nicholls, A. S. Gubbay, A, British Banks and firms we are to complain. Since the tarn of the native merchants. The world's to borrow on advantageous, terms surplus Customs revennes." After foot reached the stage of civil apon internal politics, which has fa E. Harrie, A. H. Berlow, Chow offering from a shortage in car year the rate for Treasury Bills production of raw materials being for the development and im the discharge Kai Wing, J. D. Danby, W staff, and as there has been no has been reduced to 3.1/2 per now barely sufficient for the provement of her railways and liabilities, there still remained a governors and politicians of every of all these war. Party leaders, military, Danbar, R. A. Dastur, Dr. J. H. dimicution in the work (in fact it cent and the rate of discount world's needs, it is not surprising other works of public atility. Banders, G. Pieroy, Chun Tong, is in some ones heavier than for Bills of all mancez has de- that the demand for the produce
surplus of Tia, 10,000,000, of tank, each with his own formula- Two events of capital import which Tls, 2,000,000 was releas of J. M. de O. Basto, Capt. J. D. previously), a great strain is clined to 3.68%. It is recognised of Central and Northern, ance to China have occurred ined to the Chinese Government intruggle for place, and power. democrátic Government, Douglas, D. K. Kwok, K. D.thrown upon our men, while it is that in time of war it is requisite Chius cereale, cotton, wool, this, the fourth, year of the war, August last, and the blanca has with the consequence that the Gandar, A. E. Griffis, J. H. N. next to impossible to arrange for to pool the national resources and, pile,"
hides, Mody, Ohau Sui Ki, R. Swain, A. short leave, even in the crees of as far as possible, render them be maintained despite the higher ing referenos. By an inter Account in reimbursement of Government, instead of being should to which I may make a pass- since been paid into Salt Revenas forts and resources of the Central P. Samy, D. Macdonald, J. F. those long overdue for it. The available for the purposes of the rates of exchange, freight and change Grote, A. Shelton Booper, E.M. position is a dificult one, end it State. It is a necessity of the insurance. La former years a high the United States and Japan towards payment of the Borer reform and the common cause of
of lettera
between contributions previously made wholly devoted to administrative Raymond, J. Alves, Obaw does not look as if there is likely case that our national finance level of exchange tended to car- the special interests of the indemnity. Tong Shang, Ho Wing, F. to be any improvement for some should be centralised in the hands tail exporta from China, but this latter in Gains are recognised, feature of the Customs figarea is juncture, are perforce expended AB interesting the Allies Po important. a Smyth, Lo Cheung Stai, Ho time to some, but all Britishere of the Government, and se was not so in 1917, and European and the integrity of Obins and that, while the collections at in Leang, M. W. Lo, Fang Lok realise that sacrifices have to be Baskere we are prepared to and American bayers have been the maintenance of the open door. Shenghai, Tientein, Hankow and political dissensions, suppress the attempt to reconcile Tsen, Lee Coon, G. H. Yoang, made in ruch times as the pre-co-operate, 60 far awa able to pay the prices esked for are reaffirmed. The fraak inter one or two of the minor Bouthern armed opposition to authority — H. H. Brown, 8. Michael, O. A. da sent, and I am sure they make can, to make their control effec from this side. It is to be noted also change of views has been received porta show some failing of daring and satisfy the financial de Boss, H. H. H. Nemszes, G. K. them willingly,
tive." It will be sdmitted that Amerios hae conanimed large with satisfaction by all concerned. the past year, those at Harbin, mands of military commander, Haxton and W. H. Smith (Share- It is with deep regret that I that this financial policy is quentities of Chinese produce It dispels the atmosphere of Aatong and Dsiren show 8 sub. We holders).
have to record the deaths of susceptible of a wider appliostion which before the war found a saepicion and misnoderstanding stantial increase, the two latter the future of Chins, with are ardent believera in The Chairman said-Gen several of our men killed in action by extension to our Allies. The market only in Europe. The result which the unfriendly of these two being in fact records. The net her industrious people tlemen,se it is, past the hour during the past year. Since the loser relations which have re has been that the native merchent great Eastern PoRere were spt to Salt Revenue collection paid into great natural resources, and „I for which this meeting hse been commencement of the war twenty-osatly been established between has received higher prices for foster in the past, and supplies so the Group Binks during the year am folly persuaded that these are called, I will now sak the Chief eight men, who joined the colours the Bank of England and the most of his produce than he has assurance for the fature that 1917 smounted to 870,627,249; destined to play a great part in Manager to read the notice con- from this bank, have been killed Federal Reserve Banks of the done for many years past. He America and Japan will work to from which, after discharging all this economic adjustment of the Tening the meeting.
fighting with Bie Majesty's United States have already been has therefore been able to pay geiber for the security and equal liabilities and maintaining a world after the War, but the cafe Forces on the various battle productive of the greatest benefit the bigher prices required for opportunity upon which the fixed reserve of $10,000,000, of Russia showe to what lengths. r fronts, and our beartfelt sympathy to both countries in uniting the imported commodities, and con- development of international so The Chairman said-Gentle is extended to their families. money markets of London and sidering the difficulties expert trade with China depends On $68,613,370 (including coa and it is earnestly a be hoped
Amount of no less than political theorists may be. led, a men,The report and statement As regards the figures in the New York and centralising their eaced in the supplying markets, the 14th August 1917, Chios tribations received of accounts having been in your balance sheet, I do not think there resources in such a way that the the trade in piece goode and other formally ranged
from the that Chinese politiciane may bại hande for some days, I shall, as are many useful comments that I deposit of a cash reserve in importa has been satisfactory, the eide of the Allies by the free use of the Obiness Govern their differenose in favour of the herself on Maritime Customs) earl-ased to warned by this example to sink usual, take them as read. The can make; exchange plays such either country may be made the The risks and difficulties insepar-declaration of war upon Germany. ment. It is however to be observ wider sims which the interests of net profit for the year, including an important part in the totale basis of a credit issue in the able from the interchange of The material aid which China has ed that, of the Salt Revenge their own country and of, the $3,168,578.85 brought forward that comparisons between the other. It may well be that these commodities, already greatly in already been able to bring to the collected daring the past year, world at large slike demand from
the previons account, figures of the different years are expediente, originated by the creased by war conditions, have Allies is not inconsiderable. Oo about $8,000,000 was appropriat. them amounts to $9,820,180.33, a of no grest value or interest. Gold emergency of war finance, way been intensified, and the aurainland Chinese Labour Corps have ed by certain provinces for their resalt which is ex:remely satie Current Accounts and Fixed eventually crystallise into more borne by merchants and bankers, rendered valuable service at the own needs, in disregard of the Peking Government that smidat It redounds to the credit of the factory.
After, deducting the Deposite together stand at £9, permanent arrangements for the with their depleted staffe, in carry front. On sea' no less valuable sathority either of the Salt the districtions of all these interim dividend of $258,000 paid 840,000 against £10,180,000, a finance of international trade in ing on the business of the coun assistance has been given by Revenue Administration or of the domestic troubles it should find in August last at exchange 2/6.1/4, year ago, while the Silver Current time of peace. If was not to be try, in maintaining the expplies Chinese sailors and $30,000 remuneration to Accounts are $34 millions higher expected that Silver should escape essential to the prosecution of the mercantile
oar Central Government, a fact which itself able to give serioas attention, directors, there renaine a balance at $187.1/2 millions, and Silver the offLot of the general rise in war, and at the same time in transport of supplies. I think we sanguine
the should be at against any too to the two most pressing reforms of $7,743,238.18 available for Fixed Deposite $4 millione lower prices arising from the iolation steering clear of financial trouble, may congratulate Obins upon a derived from
inferences to be of the moment, the reform of the ai distribution, which your direcat $61 millions. I would point of credit, based on the enormous has been arduous and severe, step, the moral significance of figures. So long se the oor of the reserves of the twa Gaveia, the above anrrency, and the rehabilitation tore recommend be appropriated out that under the heading of increase in the fiduciary note Their laboura in what I think the which transcende its material trol of the Central Government ment Banks. The value of the as follows: A Bus, dividend of Silver Current Accounts and Silver issues of all the belligerent most ardent patriot could not importance. The conviction is over the remoter provinces is in Peking notee of these two Banks, 62.3/-, pins a bonus of $1, per Fixed Deposite are included the nations and to the argent and deny is truly war work, have been deepening that our warfare is a efective, and they are allowed to owing to the continuous and share, subject to deduction of figures of countries which were insistent demand for the raw rewarded with sпocess, and I great spiritual conflict, a fight for severt their independence upon heavy, demands made income tax, making A total dis- formerly on a Silver basis but materisia of Bilver-uring count maintain that those who still an idea, the right of every nation, every pretezt, this practice will their reserves by the Cent tribution for the year to share have for many years been setab ries; erpecially Indis. During remain, those who for the best of small as well as great, to pursue certainly continue and possibly Government, have for manshi holders of $836,000 or $5.6/- per lished on a fixed exchange basis, the year the Silver grotation has reasons have been prevented from its own ende, to achieve ite or ineresse. It is one which we must past steadily declined share. The final dividend and consequently the title "Silver" in ranged from 35.11/16d. in Merch yielding to their ustural impulse destiny, and to bonus are payable at change hardly correct, and it is our in- to 65d in September, a variation to get to the fighting line, have own civilisation in accordance the Chinese Government sa affect value, Arrangements hare no
mould its hope has the serious attention of about 60 per cent, of their face of 3f.
tention to discontinue the preo of 19.5/161. per ounce. From the right to feel that they are with the Transfer to Silver Leserve tice, a relic of the past, of show- 36d. per ounce in January the playing their part in the gigantic people. It is idle to deny as one of the gravest festares of the to the two Banks of „A-
genius of itsing its principal revende, and as been made for the reimbursement Fund, $1,000,000; Wrie offing Gold and Silver balances price rose until in September it struggle. I consider, elac, that do our enemies, that the Allied situation with which it has to portion of the indebtedness, of Bank Premises /0, $1,000000; separately. In fature only one culminated in a quotation of 55d: all connected with commerce one cause receives a great accession deal. Thanks, however, to the high the Chinese Government, by the aza and carry forward to the preent amount will be given, vis: a At that price the Silver content a great debt of gratitude, not only of strength and encouragement level of exobsoge, and the ef- egne to them of short, tazm 8 per apa- year $3,223,268 18. Last, dollar total against Fixed Deposite of the rapee in India, of the to those who have kept open car when an ancient people, separated ficiency of her two grest Revenue cent, bond to the amount of Gentlemen, this will meet ith and Current Accounts, thus con- dollar in the Straits Settlements, trade routes but also to those from the scene of contics by tem Administrations, the your approval..
forming with one system in deal- and of the yea in Japan was in gallant
the mercantile thousand miles of ocean, their sad the Bali, Chins has probably secured upon the suspended.
Unstoms $48,000,000, these bonds being vat). Your directors are very pleand ing with the statement of accounts. excess of the parity of the marine of all the Allied nations, shores anmensned, their nations! never had so much ready money Indemnity Service, which at again being able to recommed Notes in circalation are $4 Gold exchange standard of them who have faced the perils of those polity untouched, deliberately at her command as daring the be held by the Inspector An increase in the bonus, on the millions, smaller than the our several countries: It would have trade tous with such an in- take their stand on the side of last six months, at a moment General of Customs sad applied a zi gócssion an increase of 101- mak responding total of the previous paid to melt the coins and sell dominable sad dauntless'epirit. " ing the bonus $1, batshareholders year, while Hills Payable are them as ballion. It became The Exobenge position in India shat our interests are theirs, their war on the side of the Allies has balf-yearly
the Allies and declare their belief moreover when her entry into the by him to their redemption byjes should remember that: bonuses about $5 1/2 millions higher, the necessary for beeo countries to has shown no improvement conviction that without human imposed upon her ne
drawings, Ike are fluctuating quantities, liable urease in the latter being largely take legislative action to protect during the year and the rate for liberty life would be as intolerous obligations. The Allied arrangement will enable
new and seri sincerely to be hoped that this oa. to be redcoed as well as increase to slow mails and a conse their respective currencies, and, alloting Courcile has been raised sble in China as in Europe. At Governments have signified their ed, according to circumstances, ently larger amount in demand accordingly, the export of Silver, to T.T. 1/4 31/32 which is at pres is a decision as wise as it appreciation of this importan Although the amount paid away difta afloat. On the other side except ander licence, has been sent the fixed brain for Indian is bold. I sincerely hope that the step by** in dividends for 1917 is 450,000 of he account, Cash, including prohibited in India, Japa Exchange.
coneszting to the Chinese Government will, in her suspension of the Bozer Indemo in excess of his pæevious year, the 301/2 milliane Indged, with the Straits, and Siam, 29 we
The finance of exports of own interests sa well se in those ity (but in the dice of Russia dellaz, equivalent, owing to the Honkong Government w/o Note (Grest Briain and
national importante by the vari- of her Alling, take immédiate only*** so bigbet pacienty, is low. In add....karna atende in zovudäfigúten as Conton. The immediate danger has ons Britishi Kachange Banks in steps to intera de deport all ensay one-third) for
The Chief Maneger having read the notice,
from
the
United
men.
to
marize
. in
sud
mponen
w
which