CO129-346 - Governor Sir Lugard - 1908 [1-3] — Page 108

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Revenue amounting to some $360,000 worth per annum have been

withdrawn from circulation and retained in the Treasury. The

sale of these coins as bullion will it is estimated involve a

loss to the Revenue of about $40,000 per annum. It is clear

therefore that this Government has already taken steps for none

time past similar to those which I now ask Your Bxcellency to

urge the Chinese Government to take, in order to rehaḥilitate

its own currency which circulates in the Two Kwang Provinces,

and is at a similar discount there. I therefore only ask for

reciprocity, and I should not be unwilling (with the sanction

of the Secretary of State) to enter into an agreement with the

Viceroy of the Two Kwangs by which both Governments would pledge

themselves not to issue any more subsidiary coinage until their

respective currencies had reached par, and then limit the issue

to what would appear to be necessary for currency purposes. When

any renewed issue in these circumstances took place either

Government would inform the other of the amount it proposed to

issue.

With this object in view, I have addressed

a letter, copy of which is enclosed, to Hia Britannic Majesty's

Consul-General at Canton, and I have now to ask that Your

Excellency will move the Chinese Government to issue instruct-

-ions to the Viceroy to rive the undertaking desired by this

Government