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the probable receipts from the New Territory and $300,000 as

the probable proceeds from Land sales should amount to some

$3,540,500, without having recourse to increased taxation, stamp

duties or shipping dues.

3. The expenditure on the other hand, after making due provision for the extra Police and Civil Staff and

Public Works required in the New Territory, also for Public

Works to the extent of $375,000 in Hong-Kong itself, and all

other increases which it is possible to foresee at present,

would amount to about $3,468,000. This would leave an estimated

surplus of about $72,500 to cover contingencies.

4. I am, of course, unable to say whether the

above figures will be actually verified when the annual Estimates are completed, but so far as I can foresee at present, it

will not be necessary to have recourse to any increase of taxation, stamp duties, or shipping dues.

5. In connection with the estimated receipts

from Land sales, I beg to refer you to my previous remarks in

paragraph 10 of my despatch under reference, to which I adhere.

I have the honour to be,

Sir,

Your most obedient

Humble Servant,

Henry Arthur Blake

GOVERNOR, &c.

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