428
Annually to the extent of about £9500.
On this no compensation for interest and charges has been received save in the legitimate seignorage.
And no premium has been paid or claimed.
A supply of coin having arrived the practice has been to ascertain the wants of the control department and then to place the remainder in the Bank at the Exchange rate of the day for immediate general circulation conditionally, on a certain amount being held for the wants of the Local Government.
On the last occasion, however, the exchange rate of the dollar was exceedingly low, so much so that any immediate issue would have entailed a heavy loss; and consequently it was deemed advisable to postpone the circulation for a few months until Exchange rates rose to a level which would secure the Government from loss.
Regarding the question asked by Your Lordships as to the steps which have been taken to prevent the exportation of subsidiary coins I have only to state that our great difficulty has been, and always must be, in keeping them in the colony for local circulation as they are greedily purchased by the Chinese for exportation to Canton and other Ports.
Cms. 10 | 76–H & S 2454'