Sessional_Paper_1915 — Page 53

49

HONGKONG,

15

NO. 1915

FURTHER FINANCIAL PROVISION FOR THE CONSTRUCTION ACCOUNT OF THE KOWLOON-CANTON RAILWAY.

No. 187.

Laid before the Legislative Council by Command of His Excellency the Governor, September 9th, 1915.

GOVERNMENT House, HONGKONG, 2nd April, 1915.

St---With_reference to your Despatch No. 59 of the 11th March, 1915, 1 lave the honour to address you on the subject of making further financial provision for the Con- struction Account of the Railway.

As you are aware the amount available up to date is £1,350,000 consisting of repay- nents of the Loan to the Viceroy at Wachang, £1,100,000, and the further loan of £250,000 to be raised under Ordinance No. 8 of 1913.

2. Of the loan to the Chinese Authorities C290,000 have already been repaid and advanced to Railway Account the total, in local currency at various rates of exchange, coming to $10,374,216. The remaining £110,000 repayable this year together with the future loan of £250,000 taken at 1s. 107. (the rate of exchange in this year's Estimates) would come to $3,927,273. The total amount available is therefore $14,301,489.

3. Now the revised estimate which has been sanctioned up to date on Capital Account is $15,197,555 as indicated in Column VII of Sessional Paper No. 22 of 1911, which was enclosed in my Despatch No. 22 of the 15th January last. showing a deficiency of $896,066.

4. On due consideration I have arrived at the conclusion that the best method of meeting this deficiency is to provide it from the accumulated balances of the Colony, which came to a sum of $2,910,474 on the 31st December last.

At the present rate of expenditure the funds already sanctioned will be exhausted at latest by the end of June next and I therefore propose with your sauction to take the necessary steps for appropriating from Government Funds the sum that is estimated to be required for the remainder of the year. This sum is 8486,144 and is arrived at as follows:

Yield from the loans of £1,100,000 and £250,000, Expenditure to 31st December, 1914,.

Balance available,

Estimated expenditure during the year 1915,

Deficiency,

$14,301,489

14,095,661

205,828

691,972

X

486,144