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The force of local opinion, the irresponsible critician 6

the native press, the selfish indifference of the Peking Government

Particularly as to whether the provinces hard not being interested a railways or not, show a natural reluctance Accept responsibility, the jealous concern of the neople for China's

ereign rights and their still active belier in their ability to

ise share capital themselves, are all factors which confront

ogressive Viceroy in his efforts to promote the development of his That any novince wil bvince, and improve his straitened resources.

these difficulties

2

5

ever be able to contend successfully against

work out its own salvation, seems almost out of the question ; and

these factors have to be reckoned with any reformervho aete

to himself to solve the problem on comprehensive lines.

Bearing these lessons and principles in mind,it has occurred

me to consider how far the latest phase of the present negotiation

may be turned to practical account. There is no doubt that there

an intense desire on the part of a large mass of the people for ilway construction,provided it can be achieved with due considerată on for their prejudices ;and, although they may persistfor a time in eir attempts to raise share capital, it is certain that, so long as eeent códitions continue, this experiment cannot succeed to any app- bolable extent and, in the end, resourde must be had to foreign

Towing - A combination of the British, French and German markets uld practically hold the door of foreign capital; and, if the obj-

tions to the borrowing of foreign capital can be satisfied, the

of extended railway construction may thereby be brought appreciab-

jy nearer.

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