Enclos in ho
This Document is the Property of His Britannic Majesty's Government.121
[Pica]
0.0.
23252
PECR
[June49.]
Rec 5 JSkop16# 5.
AFFAIRS OF/CHINA.
CONFIDENTIAL.
(No. 146.) My Lord,
Enators, hi No.
Sir E. Salow to the Marquess of Lansdowne, --(Received June 19.)
Peking, April 29, 1905. IN continuation of my despatch No. 130 of the 18th instant, I have the honour to report that on the 25th instant I introduced the subject of the Canton-Kowloon Railway at an interview which I had with his Excellency Natung, the Assistant Minister for Foreign Affairs, and left with him a Memorandum, of which a copy is inclosed, summarizing the proposals of the British and Chinese Corporation and the Government of Hong Kong.
His Excellency said that he would look into the matter and fix a day on which we could discuss it with more knowledge on his part than he then possessed.
A copy of this despatch will be forwarded to the Governor of Hong Kong.
I have, &c. (Signed)
ERNEST SATOW.
Incl.
Received
F. 0.,
Foreign Office
to
Indosure in No. 1. Inekesur
Memorandum respecting Canton-Kowloon Railway, to be handed to Natung at interview of April 26, 1905.
A PRELIMINARY Agreement in respect to this railway was made on the 28th March, 1899, between his Excellency Sheng, Director-General of Railways and the British and Chinese Corporation, with the understanding that the final Agreement should be arranged when the Shanghae-Nanking Railway contract was settled.
This has now been done, and it is proposed to proceed with the discussion of the final Agreement for the Canton-Kowloon Railway.
This line falls in two parts, one in the British leased territory of Kowloon, and the other in Chinese territory in the Province of Kuangtung. The Government of Hong Kong proposes to construct at its own expense the section within British territory, and the British and Chinese Corporation is prepared to issue, on behalf of the Imperial Chinese Railway Administration, a sterling loan for an amount not to exceed 2,000,0007. for the construction of the other section. Their proposals with regard to this loan are that it should be guaranteed as to principal and interest by the Chinese Government, and that the railway, when completed, should be considered as security therefore. Interest would be at 5 per cent. per annum, and the loan would be for a term of fifty years, but it would be redeemable at any time after twelve and a-half years.
The construction and equipment of the railway to be carried out under the direction of the Imperial Chinese Railway Administration and the British and Chinese Corpora- tion, with a Head Office at Hong Kong, under the management of a Board composed of two Chinese representatives of the Imperial Chinese Railway Administration, two British representatives of the Corporation, and the Chief Engineer.
The Viceroy of Canton would also have the right to appoint an official to report
to him on the state of the Railway accounts and the progress of the work.
The line would be, when completed, a first-class railway on the standard gauge of 4 ft. 84 in. The Hong Kong section would be 24 miles long, and the Chinese section 101 miles.
Now it is of great importance that these two sections should be constructed and worked as a single continuous railway, without any break in the traffic, as by this means much expense would be saved to both Governments.
If China agrees to this principle of co-operation it will be necessary for her to euter into a separate agreement with the Hong Kong Government, in addition to the Loan Agreement with the British and Chinese Corporation, with a view to arranging for the joint working of the line when completed.
[2087-4-5]
Z
No comments yet.
Private notes are available after approval.