at 13 on 53652/37.

Dictated

By

n: Rogers.

3.9.38.

Sir & Campbel

б

m

May

these proposals?

we have

your brow

* Plowell

6

This is ali, necessarily, rather vague and uncertain

at present. I know nothing as to the necessity or

desirability of the various works proposed; but,

prima facie, there is nothing to which objection

should be taken.

Ún the financial side, the necessary vagueness

renders any close examination impracticable at this

stage. I would certainly agree with the Govr: that

there should be no definite statement that the

programme can be met without additional taxation.

in the welter of confusion now existing in the

Far East, my strong inclination would be in favour

of a reserve higher than lymillion dollars. The

tentative scheme assumes that 10 million will be

enough. Over a period of five years, almost anything

may happen. The revenue runs about ze million dollars

or so, excluding the revenue of the self-balancing

depts:, but taking in their net surplus. un the other

hand, the H K revenues have been--I write from

memory--remarkably stable, even during the period

of the recent great depression.

Still, the present circumstances are without

4

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