incturating in the
ordinary
Ama
Revenire the balance of t
the
1893 Loan which amounts to about $261,236.83. As
the completion of
A
this summ
has to be expanded upon Public works it chargeable to Loan it
ninarzy
Assets
cannot be included in the General Revenue
of
the Colony. And after deducting it we
find that
they are really starting the year with a deficit
amounting to $70,000.
Under these circumstances the estimates ought certainly
to have been prepared so
as to leave
a very
considerable
margin of Revenue over Expenditures, but this
has not been done.
The Estimated Revenue for 1898 is $2,649,867.
The Estimated Expenditure (including P. W. Chargeable to Loan) is $2,118,106
As $137,830 are chargeable to the Loan account,
we are
left with a
surplus of about $17,000.
The Governor's speech is of a very hopeful nature, but it
is misleading as the figures quoted by him do not tally with those
given in the Estimates. The estimated Revenue from
Licenses and the like as stated in his Speech in June
is made up largely of subsidiary items which are put down for the return at the very highest rate which, to judge from his speech, he appears to consider possible. The result arrived at is only a very slight excess of
Revenue over Expenditure.
It is therefore clear that the Hongkong Govt is clearly
sailing dangerously near the wind: and
in sanctioning any
expenditure which is not absolutely necessary,
we should be
very
cautious.
In the event of a serious outbreak of plague (such
as we received news this
morning, 15th, that plague has broken out
in the Colony) the Govt will be sure to find itself in great financial difficulties. Moreover, with the Loan money almost exhausted,
there
are
still heavy expenses, especially in
connection with the Gaol, hanging over their heads
(see 1782): and I do not feel quite certain whether account has been taken of the $98,000 which the Govt has pledged itself
to contribute to the Jubilee Fund. I fancy
taking everything into consideration that we shall have to insist upon new taxation
in Hongkong: but as the present deficit is not
likely to be further increased, it will be sufficient
to reduce
the expenditure where possible and wait
till we
get
a more complete statement
of
the
financial position of the Colony which we asked for
but which the Govt have not sent.