CO129-318 - Governor Sir Blake - 1903 [7-10] — Page 68

see

par.ffor

of Commit-

supply of Hong Kong

tee's Report. See also last par. but one of our

letter to 1.0. on 16723.

As to the rate of Commission, 2 per cent is

reasonable, and we have already acquiesced in

it. It is true that by special representations

we have outained a rate of 1 per cent for

our initial supply of Straits dollars, but

that was partly because the British dollar

will still be coined at 1 per cent pending the

expiration of the six months' notice required

to terminate the existing agreement. It is

probable that we shall have to pay 2 per cent in

future for the Straits dollar, though that

point is not yet definitely sottled.

We cannot think of a int at Hong dogs for

coining British dolars

taan 2 per cent If

1 would cost far more

For the reasons given in 14840/91 and minutes

thereon we ought not to consider the question

of re-establisning a Mint at Hong Kong, unless

we find by experience that the Indian Mints

cannot turn out a sufficient supply of British

dollars.

? send copy of desp. witu dupl. encil. es

to 1.0. and ask them obtain from India a re-

port on the probable capacity of the Bombay Mint

to cope with demands for Britisa dollars in the

future, having regard to the rupee requirements.

and the requirements for the Straits ( as to

which the Govt. of India have already aa esti-

mates).

Su 21039

And inform Gov. of H.K. accordingly, saying

that we do not anticipate any difficulties in suḥ -

plying Britisn dollars,

I submit draft for comin ARC

25/5 C.P.L. 27.

atonce

67