Directory_and_Chronicle_1917 — Page 258

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FINAL PROTOCOL BETWEEN CHINA AND ELEVEN POWERS, 1901

This sum in gold shall bear interest at 4 per cent. per annum, and the capital shall be reimbursed by China in thirty-nine years in the manner indicated in the annexed plan of amortization (Annex No. 13). Capital and interest shall be payable in gold or at the rates of exchange corresponding to the dates at which the different payments. shall fall due.

The amortization shall commence the 1st of January, 1902, and shall finish at the end of the year 1940. The amortizations are payable annually, the first payment being fixed on the first of January, 1903. Interest shall run from the first of July, 1901, but the Chinese Government shall have the right to pay off within a term of three years, beginning January, 1902, the arrears of the first six months ending the 31st of December, 1901, on condition, however, that it pays compound interest at the rate of four per cent. per annum on the sums, the payments of which shall have been thus deferred.

Interest shall be payable semi-annually, the first payment being fixed on

the 1st of July, 1902,

(b) The service of the debt shall take place in Shanghai in the following

manner:

Each Power shall be represented by a delegate on a commission of bankers authorised to receive the amount of interest and amortization which shall be paid to it by the Chinese Authorities designated for that purpose, to divide it among the interested parties and to give a receipt for the same.

This

(c) The Chinese Government shall deliver to the Doyen of the Diplomatic Corps at Peking a bond for the lump sum, which shall subsequently be converted into fractional bonds bearing the signature of the delegates · of the Chinese Government designated for that purpose. operation and all those relating to issuing of the bonds shall be performed by the above-mentioned Commission, in accordance with the instructions which the Powers shall send their delegates.

(d) The proceeds of the revenues assigned to the payment of the bonds

shall be paid monthly to the Commission.

(e) The revenues assigned as security for the bonds are the following:- (1.) The balance of the revenues of the Imperial Maritime Customs after payment of the interest and amortization of preceding loans secured on those revenues, plus the proceeds of the raising to five per cent. effective of the present tariff on maritime imports, including articles until now on the free list, but exempting rice, foreign cereals and flour, gold and silver bullion

and coin.

(2.) The revenues of the native Customs, administered in the open ports by

the Imperial Maritime Customs.

(3.) The total revenues of the salt gabelle, exclusive of the fraction previously

set aside for other foreign loans.

The raising of the present tariff on imports to five per cent. effective is agreed to on conditions mentioned below. It shall be put in force two months after the signing of the present Protocol, and no exceptions shall be made except for merchandise in transit not more than ten days after the said signing.

(1.) All duties levied on imports ud valorem shall be converted as far as

possible and as soon as may be into specific duties.

This conversion shall be made in the following manner:-The average value of merchandise at the time of their landing during the three years 1897, 1898 and 1899, that is to say, the market price less the amount of import duties and incidental expenses, shall be taken as the basis for the valuation of merchandise.

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