CO129-533-13 Salaries- conversion rate of sterling 30-1-1931 - 21-1-1932 — Page 289

Enclosure to

COLONIAL SECRETARIAT HONG KONG.

416

Hong Kong, 28th January,1931.

RECO 28.JAN.1931

NO

C.53

Sir,

On behalf of the Petitioners we have the

honour to request that the enclosed Memorial may

be forwarded to the Secretary of State for the

Colonies.

2.

During the past few days the following

suggestions have been made, and with deference we

submit them for the consideration of the Government

with the request that a copy of this letter may

be forwarded to the Secretary of State together

with the Memorial:-

(a) That the existing impasse is due fundamentally

to currency rather than to budgetary difficulties;

that no remedy which does not provide for the major

problem can be other than provisional; and that a

currency expert should be obtained from England

without delay.

(b) That until the taxation of the Colony can be

reviewed and adjusted, a sterling loan should be

raised in London on the security of the sales of

Crown Land.

(c) That for the time being the drop in the value

of silver has caused the general revenue to lag behind

the Government's sterling commitments; that economic

conditions will no doubt restore equilibrium eventually

but that in the meantime the gap could be reduced by

placing certain items of revenue, such as petrol,

liquor and tobacco duties, Court fees and light dues

for Ocean going shipping, on a gold basis.