CO129-591-7 Estimates for 1946-1947 12-12-1945 - 14-3-1947 — Page 152

10 12.

149

In view of the assistance which will be required

from U.K. funds to meet the budget deficits until such time as revenue has been sufficiently increased to

benefit under such assistancej-also the possibility

that some form of Treasury guarantee may be required

for any loans raised; and thesedky that, the

Treasury may wish that

the sums advanced from U.K. funds,

£250,000 (1945/4) £600,000 (1444/5)

to meet Hong Kong expenditure during the war amounting

to A

will have to be treated as a loan;

Treasury will require to maintain some degree of control

over Hong Kong finances. The exact form has not yet been decided upon but this could suitably form the subject of discussion with the Treasury after . Follows' arrival. In this connection I would refer to the correspondence

mentioned in the C.-in-C's telegram CA.2210 of 22nd February

the Colonial offal

Vrensiy Achiees

Gavel

the

and subsequent correspondence, copies of which are enclosed;- Treasury letter 2nd March, Colonial Office letter 5th March,

and Treasury letter 7th March.

I should

Home

the

various

the Treasury

letter

SECER.

grateful for four comments,

pornto

raised

of 7= March 1946.

£1,650,000

6

(1915%)

54126/1/45

89011 54126/1/05

}