CO129-605-4 Government loans 12-7-1946 - 6-1-1948 — Page 194

CO129 Colonial Office Hong Kong Records 理藩院香港檔案 All

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RAVIS:2 TaLaQRAM (CODE)

TO GOVERNOR, HONG KOM!,

BECEIVED

3SEP 1946

LOFFICE!

Immediate

→ No

Coded Vent 18.45 hrs 2.9.46

No 8.11

My telegram Ro.500 paragraph 4.

ors.

#

199

Crom Agents for the Colonies are prepared to finance

advance special expenditure temporarily by advancos

from Joint Colonial Fund at bank rate varying on

security of appropriate loan ordinance.

They would also

require assurance that in the event of the advance

from Joint Colonial Fund having to be repaid and

in London.

prospects of market loan, being unfavourable, Treasury will undertake to provide necessary funds.

2.

This of course involves assistance from U.A.

funds and Treasury will not feel able to agree to any

assurance on above lines unless they are satisfied

(1) that every effort is being made to raise maxiMM

additional revenue whether from new taxation or

increase of existing taxos; (2) that before recourse is

bilitie

had to London, possibilities of a local loan should

be exhausted on basic mentialed in paragraph 4 of my

telegram No.600, Haicly that the tarms should not be

appreciably less favourable tha. those obtainable

in London.

3.

1 should accordingly be glad of a

information and assurances you can give me on the first

point, particularly with reference to the suggestions

for raising additional revenue put forward in

paragraph 2 of in, telegram No.600. The raising of

such revenue is, of course, also most important from

the point of view of the Colony's prospects of raising

a loan. If it were possible to say with reasonable certainty that there would be a balanced budget in Owen (Treasy) 1947/48 that would probably improve the prospects.

Comics to

Ashe

Miss Famer

Goldon

ठीक

4.

As to the second point, I mote from paragraph 13

of your despatch 10.48 that you are advised that it

would not be possible to float a local low at a rate

of

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