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more simple the transfer of land on the principle of the Torrens Act. But in view of the minute sub-division of many of the most valuable lots, and of the frequent uncertainty as to area and boundaries, I find to my regret that any such measure, in order to be satisfactorily effective, must be preceded by a trigonometrical survey, for which accordingly I have asked Your Lordship's approval.

EDUCATION.

37. On this important subject I can scarcely do better than quote some remarks in a report, written just before his death by the late Mr. STEWART, Colonial Secretary, whose deep interest in the cause of education was evinced by the valuable aid which he rendered to it during the whole course of the long period of his public service, now unhappily come to an end.

"The advance in Education is one of the most gratifying features in the progress of the Colony. There is yet much to be done and female Education is only in its infancy; but the lines on which the system is moving seem to be correct, "and time alone is required to reclaim those portions of the field which remain untouched. We have now four highly efficient Public Schools, not including the "Convents, which do so much for the education of girls. Government Schools are "penetrating into the outlying villages. The Education code is working most "smoothly, and seldom gives rise to any question which cannot be easily settled."

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38. It is gratifying to note that since the above was written Your Lordship has approved a scheme for the establishment by way of experiment, of a Governinent Central School for Girls similar to the Boys School, now called the "Victoria College," which has already proved so successful. The various objections to the establishment of such a School, which I have heard urged in the Colony or which have been suggested by my own experience, were, in my opinion, entirely overcome by an able report of Dr. EITEL, the Inspector of Schools (dated the 5th of July, 1889) which has been already forwarded to Your Lordship. There appear to be strong grounds for believing that the Institution, now to be established, will meet a very urgent need; and that its success; by giving a general impetus to female education, will considerably reduce the unhappily large number of children in the Colony (8,000, the great majority girls) who are still without education.

39. The completion of the New Building for "Victoria College," as providing greatly increased accommodation for pupils, together with the additional strength given to the Teaching Staff, may be expected to assist largely in the good work,, which this Institution has already effected--not only for the higher education of the youth of the Colony, but in introducing a leaven of European acquirements in knowledge among the people of the neighbouring Empire. I should not, however, omit to state that this latter object, as well as the higher education of the Colony, is being largely served by several other Institutions which supported mainly by private subscription are assisted by Government contributions, under the Grant- in-aid system established by Governor Sir JOHN POPE HENNESSY.

SHIPPING.

40. With regard to the tonnage statistics contained in the Colonial Secretary's Report, it may be noted that the aggregate tonnage of vessels entering the Port of Victoria during 1888-6,400,410 tons-shows a slightly falling off from the returns for 1887-6,401,837 tons. In view (1) of the diminished export of tea from China in consequence of the competition of India and Ceylon; and (2) of the serious checks given to Chinese Emigration in the United States and the Australian Colonies, with the contraction of trade thereby occasioned, it might have been expected that the shipping returns would have been much more seriously affected. But though, probably as the result of these causes, the tonnage of European vessels fell from 4,607,914 to 4,536,442 tons it will be seen that that of junks rose from 1,793,923 to 1,863,968 tons, so that the decrease of trade in one direction was almost entirely compensated by increase in another. It should be noted that the shipping returns of this Colony are very far from merely indicating the entry of steamers for the purpose of coal-supply, as is probably the case with the greater portion of the large tonnage returned by some of the Mediterranean Ports. For Hongkong is the terminus not only of the whole of the junk trade (in 1888 1,863,968 tons) and of nearly all of the European and American sailing ships entering, but also of many lines of Ocean steamers including 3 trading to America, 2 to Australia, 1 to Calcutta, 2 to Europe (the Austrian Lloyds and Florio Rubattino) and others