CO129-605-4 Government loans 12-7-1946 - 6-1-1948 — Page 33

19602

B fd.

0.0

1578.

الشيف سال

22/8

во

Dragt interni ok to bo

ak

33

Bu

drest

Scarl

그거임 47

To Govt. Hong Kong

tel No.1358

2024/8.

63. D. R. Serpell. (Jay) — 1.8.16/10/02

2-9-47.

Mr. Butters

Sir Sidney Caine

I have prepared a revised draft telegram to the Governor of Hong Kong, on the assumption that we shall accept the Treasury view in No. 63 that the proposal to permit the Hong Kong Government to borrow from the Exchange Fund must be turned down. I think we must do this in view of paragraphs 2 and 3 of Mr. Serpell's letter, which, I gather from him, represents the unanimous opinion of all the divisions in the Treasury concerned in this matter.

I handed a copy of the revised draft telegram, which I now submit, to Mr. Serpell this morning, and asked him to let me know as soon as possible whether the Treasury agreed with it. I therefore submit the revised draft for approval, subject to Treasury concurrence (which I hope to have notified to me shortly).

Kraylen

5.9.47.