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HONGKONG GENERAL CHAMBER OF COMMERCE.
Minutes of a Monthly Meeting of the General Committee of the Hongkong General Chamber of Commerce held in the Chamber Room, St. George's Building, on Monday, the 28th June, 1909, at 4 p.m.
Present Hon. Mr. E. A. Hewett (Chair- man), Mr. J. R. M. Smith (Vice-hairman), Hon. Mr. W. J. Gresson, Messrs. A. Babing- ton, J. W. C. Bonnar, J. W. Pandow, D. R. Law, H. A. Siebs, E. Shellim, H. E. Tomkins, and E. A. M. Williams (Secretary).
MINUTES.
The Minutes of the last Monthly Meeting of members held on the 17th May, 1909, were confirmed.
GOVERNMENT NOTE ISSUE.
Reply from Government:-/!
THE HONGKONG WEEKLY PRESS AND
Taking the above figures :- $8,000,000 @ 1 per cent. Stamp Duty-880,000. $4,00,000 @ 3 per cent. interest-140,000.
Difference in favour of revenue, $60,000. Ex. penses are estimated at $15,000 p.a., leaving a net increase of revenue of $45,000.
It should, however, be distinctly understood that the suggestion for the issue of Govern- ment Notes was made not on account of the necessity of increasing revenue, bat almost solely on account of the fact that for some years there has been a difference between tank "Notes and legal tender amounting to as much as 34 per cent. and also that Government is responsible for the furnishing of a convenient currency.
A. M. TH MSON,
Colonial Treasurer.
The receipt of the above information was duly acknowledged by the Secretary of the
Chamber.
The following draft letter to the Govern- ment was read and approved:-
Hongkong Chamber of Commerce,
28th June, 1909.
Sir-In reply to the enquiry in your letter of
Colonial Secretary Office,
Hongkong, 11th June, 1909. SIR,-In reply to your letter of the 27th ultimo, I am directed to transmit the enclosed copies of migutes by the Colonial Treasurer dated the 18th ultimo and the 5th instant togeth-11th June, 1909 (No. 8641/1908), I am now er with copies of the printed papers in annexed schedule. These documents contain the further information asked for by your Committee.
2. am to request that the printed papers may be returned to this office in due course. – I am, &c.,
The Secretary,
Chamber of Commerce.
F. H. MAY, Colonial Secretary.
(1) 7 reports on the working of the Currency
Note Issue in the Straits Settlements. (2) Memorandum on Proposed Government
Note Issue for Southern Nigeria. (3) The Currency Note Ordinance 1899,
Straits Settlements.
Enclosures were laid on the table.
L'opy.
Hon. Colonial Secretary,
My proposals are simply that :-
directed to state that my Committee, see no objections to a Government Note Issue 'provid- ed such an issue does not mean a loss of revenue to the Colony or an increased expenditure without a consequent and equivalent increase of revenue, and provided the conditions of the issue are such as to in no way hamper the trade of the Colony.
With regard to the Memorandum of the Hon, the Colonial Treasurer dated 5th June, 1909, and enclosed in your letter above referred to, my Committee are of opinion, in the case of a Government Note Issue, that the issue and redemption of the notes should be undertaken by the Government, that Government Officials should be in charge thereof, and that the coin and or securities held against the circulation should remain in the hands and be entirely under the control of the Government. It would therefore be necessary for the Government to arrange for a Department to issue and redeem the notes and to have a treasury of its own.
1. Government should issue notesi n exchange
The Colony occupies the position of a financial for currency at par and undertake to exchange pire of China, and large amounts in hard centre for the Southern Provinces of the Em- currency for notes on presentation.
2. That one half at least of the amount deposited be kept in the Colony and that one half be sold and invested in gold securities at home.
3 That some time be allowed to elapse before investing up to the ultimate full proportion in order that such proportion may be ascertained by experience.
4 That minor details be settled when the Secretary of State has approved the principle.
A. M. THOMSON,
Colonial Treasurer.
18/5/09.
Copy.
NOTES RE PROPOSED GOVERNMENT ISSUE.
1 The issue of paper for legal tender excluding sub. coin.
2 The redemption of such paper on presenta- tion in legal tender.
3. The storage of the coin tendered for notes with the proviso that as soon as the limit of safety is ascertained by practice a portion of the coin will be invested in gold securities.
4. It is understood that the banks in the Colony will accept the notes and that therefore any one wanting notes for coin or vice versa will be accommodated at the various banks always with the proviso that the Treasury is ready to do so in case of trouble.
5. The question of the Government having its own treasury is a subsidiary one. Possibly it may be necessary to build a treasury if no one of the banks will hire a vault or undertake the issue and redemption of the notes
6. It is estimated that the revenue would be benefited to the extent of the difference of 1 per cent. note duty and 3 per cent. interest on the investment of half of the bullion deposits.
7. On present data of excess issues of notes by the Hongkong and Shanghai and the Chartered Banks it is estimated that at least $8,000,000 Government Notes would be required by the Community; leaving out of account the fact that notes are so scarce at the present day make a difference of 0 per cent. between them and the legal tender.
88
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dollars are therefore liable to be imported or exported suddenly. Shipments of several lacs of dollars at one time are of frequent occurrence, and it is on record that only some three years ago one steamer brought $24 lacs, while more recently $15 lacs were exported in one steamer. It may consequently be inferred that considerable variation will take place in the amount of notes in circulation: in fact between the highest and lowest average monthly amount of bank notes in circulation, according to the figures published in the Government Gazette, was-
the difference
In 1905
In 1906
In 1907
In 1908
In 1909 (January to May)
$6,028,415
7,739,884
4,160,429
3,140,568
6,994,747
My Committee are therefore of opinion that the Hon. the Colonial Treasurer's estimate of expenses is too low.
Regarding the proposal to invest a propor mittee consider that a reserve fund should be tion of the dollars in Gold Securities, my Com-
established to cover the exchange risk so that issue will at all times be sufficient to redeem it the coin and investments held against the
at par and that no call on the revenues of the Colony will ever be necessary.
the possibility of the adoption by China of an I am also directed to call your attention to uniform currency and to point out that in the. event of this taking place it may be found ad. visable to change the currency of this Colony which might involve the recoinage or disposal of the dollars in reserve. My Committee think that before incurring the responsibilities attach- ing to a note issue the Government should give careful consideration to this contingency.
I return herewith the enclosures as requested. -I have, &c.,
E. A. H. WILLIAMS, Secretary.
Hon. Mr. A. M. Thomson,
Colonial Secretary,
|
(July 10, 1909.
SEVENTH CONGRESS OF CHAMBERS OF COMMERCE OF THE EMPIRE. Letter from London Chamber :—-
Oxford Court, Cannon Street, London, E.C., 30th April, 1909. DEAR SIR,-I beg to remind you that the Seventh Congress of Chambers of Commerce of the Empire opens at Sydney, N.S.W., on 14th September next and is to be followed by a short tour of two or three weeks' duration, during which most of the principal centres of the Com. monwealth will be visited. As you are aware, the Governor-General of Australia, the Right Hon. the Earl of Dudley, G.C.M., G.C.V.O., has accepted the Honorary Presidency of the Congress, and the Federal Government will officially receive the delegates.
The letters already received from several of have now been supplemented by an invitation the most inportant Chambers in New Zealand
Dominion, and a semi-official visit to New from Sir Joseph Ward, Prime Minister of the
Zealand will probably follow the Australian Tour.
You will understand that it is important that the delegates from this side should be both numerous and influential. Up to the present time only a small proportion of the total number of Chambers have definitely notified me on the subject of delegates, and I would therefore urge upon all who have not done so the desira- bility of calling, if necessary, special meetings and communicating with me upon this head with- out further delay, and, if necessary, by cable. Owing to the distance involved, the final Pro- gramme of Resolutions and List of Delegates must, of course, be circulated relatively earlier than has been the case heretofore-not later, indeed, than the middle of June.
It has been found impracticable to arrange a main party to proceed to Australia, but those delegates who do not wish to travel alone should acquaint me with the itinerary they are desirous of following, and I will endeavour to place them in communication with others who propose following similar routes. I should also be glad to receive particulars where delegates will be accompanied by ladies.
You will notice that spaces have been left in the second draft programme enclosed herewith, I would ask you, should your Chamber have for the names of the movers of resolutions, ind
forwarded any resolutions, to let me hear at once in order that the names may, as far as possible, be included. I also enclose a preliminary list of Delegates.
The definite programme of entertainments to be offered to delegates immediately following the Congress has not yet reached me, but it now appears that they will terminate a week earlier than was originally anticipated, i.e., about 10th October next.
Tickets of identification will shortly be issued to delegates, and I should be glad, therefore, to be kept informed of any change of address.-I am, &c.,
KENRIC B. MURRAY, Secretary,,
The Secretary,
Chamber of Commerce.
Enclosures -
Second Draft Programme of Resolutions, List of Delegates nominated to date. Enclosures were laid on the table.
A reply was sent that the matters referred to
the Committee. in the letter will receive the early attention of
REVISION OF THE CUSTOMS TARIFF OF JAPAN. Letter from International Tariff Revision Committee of the Yokohama Foreign Board of Trade :-
Yokohama, 7th May, 1909. SIR,We have the honour to inform you that a Committee, selected from the foreign businéss firms resident in Japan, has been formed under the above title. Its object is to watch the interests of the foreign traders in general and of resident strangers, in connection with the revision of the Customs Tariff of Japan, consequent upon the expiry of the Present Treaties in August, 1911, notice of which has already been officially given by the Japanese
Authorities.
This committee has been inaugurated and formed under the auspices of the Yokohama Foreign Board of Trade, and is therefore repre- sentative of the largest business interests of the
No comments yet.
Private notes are available after approval.