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1 oan position. I am glad to know that
it is not expected to be necessary to
raise any loans for some months, and
that when a loan is required you propose
to obtain the money locally. I wish to
emphasise the necessity at the present
time for such loan to be raised locally,
and not in this country. The plan to
raise the loan by a bond issue to be
redeemed by drawings appears to be a
good one, as it cuts out the heavy
exchange risk, and it should not be
unpleasing to local investors.
If,
owing to any changes in local condi-
tions a local loan could not be raised
at the end of this year, the position
might become rather difficul t.
7. The total loan commitments
after approval of the new waterworks
scheme at Shing Mun will amount to
326,500,000. Of this amount 35,000,000
is