CO129-369 - Acting Governor May Governor Sir Lugard - 1910 [10-11] — Page 282

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at Haieday

24th October, 1010.

XXX

With reference to Your Excellency's despatch of the 3rd

of June to Sir E. Grey in which you stated that "the inting of all

coins now in circulation was to cuase from the publication of the

Regulations" for the reform of the currency recently issued by the

Board of Finance, I have the honour to bring to your xcellency's

notice that it is reported to me by Hie Britannic Majesty's Consul

General at Canton, in reply to my enquiries on the subject, that

the Canton Mint has temporarily resumed the coinage of 20 cent

pieces on the 18th instant. it is stated in the public Press that

this step is in relief of the money market in which there is much

stringency owing to the financial orisis in Canton.

From the enclosed translation of what purports to be u

notification by the Provincial Treasurer it would appear that the

true reason probably is that the reserves of the Ta ch'ing („overn-

ment Bank) are not deemed sufficient to meet & possible run upon

it.

But whatever the trus reason is I would ask you to be

good enough to move the Chinese Government to suspend the persiss-

ion at the earliest possible moment in the interest of the already

depreciated silver coinage of the Province which will be further

depreciated by any fresh issuer of coin.

2. The financial crisis at present sziating is, as

1 Your Excellency is no doubt aware, largely due to the issue of

bank notes by private Chinese Janks without proper security for

His Britannic Majesty's Chargé d'affaires,

PEKING.

their

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