Directory_and_Chronicle_1906 — Page 551

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JAPAN

conditionally upon their loyalty to the Shogun; but their rank and power disappeared with the Shogunate. On the 7th July, 1884, however, His Majesty issued an Imperial Notification and Rescript rehabilitating the nobility, and admitting to its ranks the most distinguished civil and military officials who took part in the work of the Restoration The old titles were abolished, and have been replaced by those of Prince (Ko), Marquis (Ko), Count (Haku) Viscount' (Shi), and Baron (Dan).

REVENUE AND EXPENDITURE

The annual State revenue pertaining to the general account (with a supple- mentary budget made necessary by the enactment or revision of certain laws) is estimated in the Budget for 19 5-1936 at yen 305,667,190, while the expenditure is estimated at yen 211,973,848, leaving a surplus of 93,693,342 yen. The outbreak of war necessitated the provision of a War Fund. A “Reserve Fund for Emergencies" which amounted to 40,000,000 yen was appropriated for this purpose, and Imperial sanction was obtained for a sum of yen 156,000,000 to be raised by loans and bonds and by borrowing from the special accounts. The extraordinary surplus is partly accounted for by paying out of this fund the ordinary naval and military expenditure included in the general budget. The total war expenditure is put at 700,000,000 yen; but there is no finality to these figures, as the cost of returning the army, &c., is expected to be enormous. During the last six years Japan has been spending largely on military and paval expansion schemes, which were formulated after her war with China. These schemes involved a total expenditure of yen 342,384.750 covering the period down to March, 1906, and in addition the ordinary expenditure on the Army and Navy has steadily increased in correspondence with the increments in the growth of the Imperial forces.

The national debts outstanding at the end of the last financial year (1904-5) amounted to yen 994,437,340, which is an increase in one year of nearly 430 millions, making the debt per capita Y.19.548 instead of Y.11.241. This debt includes the three sterling loans obtained abroad for purposes of the late war, viz.:-May 1904, £10,000,000, six per cent, £933 per £100, seven years redemption, security Customs; November 1901, £12,000,000, six per cent, £90 per £100, the same; and March 1905, £31,000,000, 13 per cent. £90 per £100, twenty years redemption. security Tobacco monoply net profits. It also includes five domestic loans, the terms of which were very similar. All were eagerly subscribed for. Since the publication of the official statement from which these figures were extracted, a further foreign loan of £50,000,000 was issued (November, 1905). Of this amount £25,000,000 is to be applied to the redemption of internal loans; and remaining the half reserved for the conversion later of the six per cent. Bonds issued in London and New York in 1904, and other purposes. The issue price was £90 and the interest 1 per cent.

ARMY AND NAVY

Until the war with China the Army consisted of six divisions and the Imperial Guards, with a peace footing strength of 70,000 in round numbers and a war footing of 268,000, exclusive of the Gendarmerie and the Yezo Militia; but on the conclusion of the war a large scheme of expansion was adopted, under which the number of divisions was raised to twelve, exclusive of the Guards. The peace footing is now 160,100, and the normal war footing 633,600. Two new permanent corps are talked of, consisting of the special levies raised during the war.

At the conclusion of the war with China, Japan found herself in possession of a fighting fleet of forty-three serviceable vessels-independent of twenty-six torpedo- boats-their aggregate displacement being 78,774 tons. Of these, ten, with an aggregate displacement of 15,055 tons, had been captured from China namely, an armour-clad turret-ship of 7,335 tons, two steel cruisers, six steel gunboats, and one wooden gunboat. (Prior to the capture of the Chen-yuen, now called the Chin-yen, Japan did not possess a line-of-battle ship. Her fleet consisted entirely of compara tively small vessels). There were also on the stocks two steel cruisers and a steel despatch vessel. An expansion scheme, extending from 1st April, 1896, to 31st March, 1906, was then adopted and orders were subsequently placed for ships in Great Britain, the United States, France, and Germany, as well as in the home yards. The building programme was as follows:- 4 first-class battle-ships of 15,210 tons each, 6 first-class cruisers of 9,200 tons each, 3 second-class cruisers of 4,850 tons each, 2 third-class cruisers of 3,200 tons each, 3 torpedo-gunboats of 1,200 tons cach, 1 torpedo depot-ship, 11 torpedo-boat destroyers, 89 torpedo-boats. It was calculated that with these additions the total force in 1906 would be 6 first-class battle-ships from 12,510 to 15,240 tons, 1 second-class battle-ship of 7,335 tons, 6 first class armoured cruisers of over 9,200 tons each, 7 second-class cruisers of over 4,000 tons ench, 6 third class cruisers of over 3,000 tons each, 12 fourth-class cruisers of over 1,500 tons each, 3 torpedo gun-