Feb, 25.
Tue chairman's speech at the annual meeting of the Hongkong. & Shanghai Bank is always awaited with engemes. It is probably the weightiest express sion of British business thought and policy that we hear during the year, and it is one to which no Government can afford not to listen. No disparagement any other organization or financial institution need be looked for in this statement: for mot only are the Hongkong & Shonghai Bank's interests in Chioa in excess of other establishments' but it is alone among banks in having, its policy wholly directert ju the Par East, inspired by the acntest péivéption of the! ingoparable nature of British and Chinese interests, by the know-to. benest the one which does edge that nothing can be done
not consider the welfare of the The speech delivered by Mr. Long on Saturday is important in proportion to the deplorable conditions in China and it was more than usually plain-spoken. 'Hig summary of those conditions needs no underlining and is to be complimented on his denunciation of "the policy conceived in the artificial atmosphere, of Washington"? as having "ceased to have any relation to facts." 'The only' criticism here possible is that such a relation has not ceased; it never existed. No one will question the description of the proposed 2} per coni. surtax as "of minor importance beside the vast amd complex problem now calling for solution" "'a useless tax on trade unless accompanied by measures of fiscal and administrative reform." But the corollary to this assertion appears less acceptable. For the financial and conjoined blems, the chairman says, per cent. surtax is now utterly inadequate," and thing thor ofthe fil per out burlap proposed by. the "Mackay shor a a
Treaty will meet the case, accompanied by provisions for just apportionment of the revenue to the provinces in return for the abolition of all internal taxation on trade and their relinquishment to the Central Government of what may properly be classed as national revenues. The price to be paid may seem at first sight large, but. it is insignificant compared with the gain in foreign trade resulting from restoration of peaceful conditions and government throughout the country, which must be the indispensable guarantee demanded.
The proviso in the last sentence must vertaitily be given due weight. But how is this indi pensable guarantee to be obstained? Further, how shall the Powers secure 'a just apportionment of the revenue to the provinces," their relinquishment -of internal taxation and payment to the Government of the revenues it ought to have? On smaller scale just such an ap-Portionment was tried between
Text read from the printed page and cleaned; old type leaves the occasional error.