CO129-331 - Public Offices - 1905 — Page 315

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once to the Banks, and that they be asked if they wish

to enter into a new agreement on the terms above indi-

cated, with the option of termination by either party

on three months' notice.

5.

We have put forward this suggestion solely

in the interests of India, but it has at the same time

occurred to us that the Government of the Straits Set-

tlements may desire revision of the present, arrange-

ments for the coinage of dollars in connection with

the proposal to introduce a gold standard into that

colony. Tenders for dollars were very active in the

latter half of last year, and it seems possible that

impending changes in the currency of the Straits Set-

tlements may have led speculators to force on the

coinage of dollars in anticipation of the value of the

Some speculation coin being enhanced by legislation.

of this kind took place in tenders for rupees just be-

fore the closure of the Indian mints, and it would, we

think, be well to be prepared for such a contingency

in case it is decided to limit the dollar currency in

We shall be glad to co-operate with the

future.

Colonial