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subject for tranmission to my Government.
I have not had the advantage of a reply
to my letter under reference, but I have now re-
ceived an official report from Nanking which con-
firms the rumours current at the time that letter
was written.
From a statement made on Getoder Ist by
the Minister of Finance of the Government established
at Nanking it appears that a decision has been resched
by that government to establish a new Central Bank,
the preparations for which had already been completed.
The Minister of Finance further stated that he
expected the new bank would start operations in Nov-
ember and that it would issue its own notes which
would be linked to the "fapi", but he was vague as
to the method of linking.
In view of this confirmation of the
intentions of the Nanking Government I have the
honour once more to draw your attention to the very
serious effects which the launching of a new bank
of issue will have on the already confused currency
situation in Jhina, and the prejudice which it will
cause to the legitimate commercial and financial
intereste of third Powers. In view of the re-
/iterated
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