CO129-557-5 Estimates 1937 19-8-1936 - 7-8-1937 — Page 13

13

money in order to liquidate a part of these advances.

A detailed account of the revised Estimate

of several items will be found in paragraph 37 of

enclosure 5 to 3 on the file.

The Central Market is the only new loan work.

It is necessitated by the collapse of part of the old

buildings which were so decayed and so inadequate that

it was felt to be a waste of money to repair them. In

paragraph 4 of his despatch No.4 on the file the

Governor regrets that it was found impossible to spare

funds for the construction of a new Mental Hospital

which is "most urgently required".

? we should telegraph, approving the Estimates

generally and then send a despatch saying:

(1) That His Majesty will not be advised to

exercise his power of disallowance in respect of

Ordinance No.42 of 1936.

(2) That the Secretary of State views with some mis-

giving the budgeting for a deficit for the second

successive year and the reduction of the surplus balances

below the normal minimum of $10,000,000, particularly in

адам

view of the fact that $500,000 has been taken from the

Trade Loan Account. In view of the position, however,

he agrees that this is the best policy.

(3) Observing that expenditure has already been cut

as low as possible, both on social services and on

retrenchment of staff, and that any further reduction.

would not be in the public interest, Accordingly, the

Secretary of State agrees that a continuance of the

levy on salaries may be necessary, though its removal

is desired at the first opportunity.

(4)