the question of our Military Contribution is under reconsideration, these circumstances should be remembered, as also the fall in exchange since 1892, which necessarily increases the expenditure of the Government under several heads. I may mention in this connection that the draft estimates for 1894 shew a surplus of only $6,595 revenue over expenditure, which includes a provision of only $16,000 for public works - extraordinary other than those chargeable against the loan and not against current revenue.
3. The other directions in Your Lordship's despatch have been carefully noted.
4. In regard to the fifth paragraph of the despatch, I have the honour to state that the debt of the Government to the Praya reclamation fund has