Hongkong, Nov, 17, An extensive analysis of Eastern currency problems is contained \in the report of the Hongkong Currency Commission, which was released for publication this morning.
The recommendations of the Commission deal especially with the question of the desirability of chang-Ing the basis from gold to silver, It reaches the conclusion that while stabilisation would facilitate certain wwses of business with the Colony, it would gravely prejudice the im-Port and export trade of South China conducted or financed through Hongkong, and would injurious affect many other branches of busines "We, therefore, advise against immediate stabilisation. of the Hongkong dollars," the Commission declares.
The report emphasises the mesd for considering the present currency stem in relation to the currency system of China and makes. proposals. for reform 1.—The legal tender status of the dollar coin be limited to ten della—Bank-notes be made unlimited legal tender:
3—Bank-notes to be convertible iver bullion:
'—Bank-notes to be obtainable for silver bullion:
—The Government to take [charge of the silver reserves of note .—Silver bullion presented future Ju exchange for notes. to' be handed to the Government, and—A Hongkong currency board to be established.
The Commission further suggests that the existing issue of silver sidiary coins be withdrawn and placed by the issue of base-moral token coins. by recoverrd would be available a3 cover for some future expansion the note Moreover, the: pro-usation, when it comes, would be simplified, "The report details its recommenidions for the accumulation of sterling fund by the currency board, with the object of preparing for the ultimate conversion of the eurroney to a-gold basis if and when that should be desirable.
Discussing: arguments for convert ston of the Hongkong currency tone gold "basis, the "Commission sex-Presses. the opinion that during: the ast fifteen to twenty yours. the silver prices of stable commodities consumed in Hongkong have remained far more stable than their gold prices, while comparison with Reighbouting countries which -formerly were ona. silver basis shows that Hongkong has weathered the economic: blizzard far more-succest-folly than they have done, and Hongkong adopted a. gold "basis While China remained on a silver basis, it waild be likely to. lois many of the' benefits attaching" to, its special position—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.