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[This Document is the Property of His Britannic Majesty's Government.]
[B]
AFFAIRS OF CHINA.
CONFIDENTIAL.
621
7 JAN 11
[December 15.]
SECTION 2.
[44538]
(No. 518.) Sir,
No. 1.
Sir Edward Grey to Mr. Carnegie.
Foreign Office, December 15, 1910.
I HAVE received Sir F. Bertie's despatch No. 462 of the 8th instant, transmitting a copy of a note from the French Minister for Foreign Affairs on the subject of the proposed loan of 10,000,000l. to China for currency reform.
I am glad to find that M. Pichon now accepts the view of His Majesty's Government, that for the present it would be better to defer the question of joint pressure by the four legations at Peking with a view to inducing the Chinese Government to agree to signature of the final contract by all four groups, and to allow the American agent to negotiate alone until the terms of that contract are decided.
As regards M. Pichon's criticism of the action of the agent of the American group at Peking in pressing for the appointment of an American financial adviser I have heard nothing about this matter, and I should be glad if his Excellency could communicate to you, for my information, any particulars which may have reached him on this point, and whether it is intended that the functions of the adviser should be confined to matters connected with this loan, or whether an appointment of a more general character is contemplated.
I should also be glad to receive any information which M. Pichon may be in a position to impart as to the employment of the loan funds. I understand that it is proposed that 6,000,0007. should be devoted to currency reform, and that the remaining 4,000,0001, are "for Manchuria," but no details have been communicated to us, nor are wo aware to what specific purpose it is intended that the funds to be borrowed "for Manchuria are to be devoted."
11
[1810 p-2]
I am, &c.
E. GREY.
136
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