additional revenue put forward in paragraph 2 of my
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 1947/48 that
would probably improve the prospects.
4.
As to the second point, I note from paragraph 13
of your despatch No.48 that you are advised that it
would not be possible to float a local loan at a rate
of interest lower than 31% and that it seems improbable
that more than $25,000,000 would be subscribed.
Should
be glad to learn what would be the other terms of such
a loan, namely price of issue and period. In any case
I should be glad to have your acceptance of the
principle proposed in (2) of paragraph 2 of this telegram.
It is considered here that 31% for a long term local
loan of say 20 25 years would not be unduly high
-
in present circumstances of Hong Kong.
5.
Grateful for your reply to this telegram as
Meantime further consideration is
soon as possible.
being given here to the items of special expenditure
included in the estimates amounting to some $77,000,000
which, if approved, will fall to be financed under the
arrangements discussed above. You will no doubt be
considering what other projects, if any, should be
provided for and submit details.
202
No comments yet.
Private notes are available after approval.