Saving.
53652/50
From the Secretary of State for the Colonies.
To the Officer Administering the Government of.......
یمار
September; 1950.
No. 3xx
Saving
nthe re
CONFIDENTIAL
52
Your despatch No. 57 of 31st March, 1950. Estimates 1950/51.
I regret the delay in replying to the above despatch. I am grateful for the extremely comprehensive survey of the finencial position of Hong Kong contained in your despate.. I approve the 1950/51 Estimates.
2. I note that the Estimates provide for a small surplus of about 8 million, which, if the payment of $16 million which is being made to his Majesty's Government as a contribution towards the cost of reinforcemente is taken into account, become& a deficit of about $12 million. Moreover no pro- vision appears to be included in the approved Estimates for other liabilities arising out of the recent financial settlement. Bearing in mind however the necessarily cautious basis on which the revenue Estimates are prepared, and also taking into con- sideration the revenue and expenditure figures for the first quarter of the financial year contained in your savingram No. 853 of 10th August, it seems that in fact a surplus on the year's working is likely again to result provided that the Lorean conflict and other factors do not have an unduly adverse effect on long Long's finances. it thus appears possible that, even if the whole of the
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