CONFIDENTIAL.
Hongkong.
PREC 3 JUN 07
Government House,
Hongkong, 27th April, 1907.
My Lord,
With reference to Sir Matthew Nathan's Confidential Despatch of the 5th instant, and previous correspondence, I have the honour to represent to Your Lordship that in my opinion the time has arrived for this Government to take some steps for the rehabilitation of the subsidiary coin of the Colony.
2. To say nothing of private firms, the Government alone is regularly losing a large amount on account of the receipt as Revenue of sums of subsidiary coin tendered in accordance with legal requirements, such amount of course varying with the rate of discount which has been as high as 10 per centum. At present, however, there has been an improvement in the rate which has fallen to 6 per centum presumably on account of the near approach of the silk season in the Canton Province, but it is anticipated that with the close of the season the coin
RIGHT HONOURABLE
THE EARL OF ELGIN, K.G.,
&C.
&C.
1
will