the" Chinese Snewspapers which An interesting story appeared in
ated that a "report. was current in government circles in Nan-King to, the effect that the League of Nations {s contemplating the ut of '@ Joan of £10,000,000 in order to assist this coun. try in adopting the gold. standard and in developing her domestic industries, It was' mentioned. that} the Customs and railway revenues would be required as. security.
Inquiry was made in local fina cial circles by "the "North-China Daily News" bat it was. stated that" nothing had reached. the fears of local financiers or. bankers regarding the alleged loan and that, therefore, the report should be' accepted, with reserve.
Nanking officials, interviewed by the Chinese press, are quoted saying that the Prospects cancer ing this Toan are even more. distant than the rumoured American. silver Toan because the League of Nations! country, enunciating at the same time the Government's policies in these respects.
Minister Kung declared that of the Three People's Principles Yoeated by the Into Leadrr, the! Principle of Tivelihood was by far The mest important; and that, in order to realize this principle, it was necessary to develop industries and exploit the natural resources of the country. According to Dr. Kung, it-was primarily for the purpose of facilitating this task that the 4th Plenary Session decided. vpan the amalgamation of the "Ministry of Agriculture and. Mining with the Ministry of Industry, Commerce and Labour.
Whole-hearted ce-operation on the part of the people was indispensable for the successful earryir- out of the Government. programmes and Party members should exert themselves, in bringing about this mud needed cooperation, he continued.
Deploring the fact that although China was rich in natural resources, her industries were still in a bache ward stage, he pointed out that the Customs report for 1929 showed an excess of imports over exports. by the appalling figure of over million taels.
Tegurd to agriculture and afforestation, Minister "Kung. said that inasmuch as the recent famines in the North-West were largely due to the lack of adequate afforestation and since nearly 1,600 million mow the above effect. for rigid observance." Strict vigilance shall also try's Supervisor, Brokers found guilty of violating not an. international financial deprived of their. the preceding shall and it cannot take the initia-business "licence th tive in making such a loan to China Ministry. officials point out that it is nevertheless, the report. says, the "exchanges engaged in not Rig bar, fra vi will. not be over-emphasized. It was for the purpose of ensuring the carry-he me out of these projects th separate Colonization and Afforestation Bureau was being established in the Ministry of Industry.
Continuing, he said that it, was lextremay deplorable that China although' an "agricultural country, still to import large quantities of wheat and rice from. foreign countries, "He cited the example of the 600,000 tons of wheat annually purchased by the Foh Sing flour mill of Shanghai. Only about one-third of this quantity was native: grown wheat. © "Measures. such as the improvement of wheat cultiva tion, the introduction "of modern [farm implements and the holding of periodical exhibitions of agricultural products would therefore out by the Ministry for the increase fof agricultural produce, The country's industries also lagged far behind those of foreign countries, The cotton mill industry would suffice to illustrate this point. Of the 4 million spindles in the coun try, a8 many as 18 million were owned by nese" mills, "In Shanghai, as against the total num-
[China had only 900,000." In the ca ber of 4 milieu Japaneye spindles, Jof other industries such ax cement fand matches, China also failed to '20 [hold her own even in her own country, Regarding foreign trade, Minister Kung declared that the export trade have been generally regard ch rapidly ded The balance of trade had become more ani more unfavourable to China, As regards mi 4 De. Kuny ich as oval "esources as coal, aver, iron, copper and gold riy' a very' small portion had been exploited, Tt_was obvious therefore, Dr, Kung concluded, that, conditions such as were described called for immediate remedy. The Ministry of Industry was determined to. adopt Known whether the loan has been such suggested by the League by any of the Powers. upon detection, shall likewise be dealt with.
Tu this connection, a Peking tele-7 ie, "margin" money to be de-scram to the native Press says that} posited by the buyer and sell the merchants and bankers of the shall not be less than 10 per cent, former capital. feel that 'China of the amount mutually" agre should show accept the League loan! upon. In the event, however, of! in preference to the American silver the "fluctuations in' the market Joan if she decides to negotiate a quotation having exceeded "50 per Joan from foreign scureess Should cent. of the "margin" money, ad-China decide on the American silver Joan, she will suffer greatly. betional deposit should, imrediataly cause, although repayment, will be! shall'be dealt with. severely. paid. rule solation of thi
ide in raw silver, the loan, will be During times of violent' market made t® China for the development fuetuations, the Ministry may is: of her industries and this can only sue special orders requiring an intle brought about by the purchase the legal percentage of of foreign. machinery "and other margin" money and' the payne materials in gold. "With gold at its of additional deposit by the part Present rate, the acceptance of a concerned.
Directors as well as other star eign machinery, payment for, whic iver lan fo the purchase of for. must be made tu old, will result in rmambers of the changes shall be Meletiy prohibited from engaging in fan increase of China's. foreign obgold bar transactions in. collusion ligations. Furthermore, they" the American silver loan will result Sith the brokers. Persone violating "stipulation, upon discovery, in a further drop in the value of shall, besides being ordered 10. be the white metal to China's dismissed, be severely Punished. ment. Therefore, should "Brokers shall confine' their: deal-decide on a foreign loan, ings with their clients strictly. to be preferable to borrow. from the the Exchange, and may not-under-League of Nations which has, dur-_ take any transactions outside of the ing the past ten years, assisted nanetalaftairs on s bass inh ¥arious nations in readjusting the justice the value of gold and silver, and fair-play. when it is discovered that certain unscrupulous brokers are wilfully boosting or depressing quotations
Text read from the printed page and cleaned; old type leaves the occasional error.