CO129-623-7 Japanese activities in Hong Kong- possible opening of a Japanese bank 1-10-1950 - 30-4-1952 — Page 8

Original

77283/17/54

EXTRACT FROM LETTER FROM UNITED KINGDOM TRADE COMMISSIONER DATED 3/10/1951

HONG KONG

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10. Japanese Bank for Hong Kong

According to a newspaper report, the first Japanese Bank to be opened here since the end of the war will probably commence operations late in November. Negotiations are understood to be in progress for the tenancy of suitable premises. One report states that the name of the bank has been fixed as "Yah Tung" meaning "East Asia".

11.

Financing of Japanese Trade

The following is the text of a notice issued by the Financial Secretary of the Hong Kong Government on the 2nd September :-

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As from the 3rd of September, 1951 the existing Open Account arrangement for trade between Hong Kong and Japan will be discontinued and trade will be financed in sterling Existing Letters of Authority whether for imports or exports will remain valid and will continue to be dealt with as at present.

IMPORTS

Application to import from Japan must be made henceforth to the Exchange Controller and to the import Licensing Officer on Form E 1 accompanied by import licence application.

EXPORTS

Application to export to Japan must be made to the Export Licensing Officer on Green Form 2 A in triplicate. Full proceeds from a Japanese sterling account will be required in all cases.

For the present import licences will be issued for goods for local consumption and for re-export to neighbouring territories. Essential Supplies Certificates will be required for "specified" articles for local use and may be required by the Japanese authorities for certain other articles. Export of goods purchased for sterling will be permitted.

The Supplies Division of the Commerce and Industry Department will no longer issue licences except against Open Account contracts entered into before the 3rd September."