Nanking's approval of the scheme of the Postal Remittances and Savings Bank to supply credit to the impoverished rural districts of China bears the stamp of sound statesmanship. Under this scheme, the Bank authorized to set aside a sum of '$5,000,000 for the purpose and. this will be utilized to assist farmers towards agricultural recovery which is impossible under the iniquitous system of rural financing at present prevailing, and which has produced more Communists among the farmers than "any propaganda efforts Moscow. Living so close to the soil Jand possessing such a slender fof reserve against the calamities which overwhelm China with such disastrous regularity, the Chinese farmer is easy prey to the system of loans at interest which amounts to usury and behind which is generally fan evil form of "landlordism" leading to eventual dispossession of the tiny strip. of land cultivated by. the farmer. General Chiang Kai-shek, in his efforts to rehabilitate the Central China provinces. devastated by the Communists, early realized this stu lon and" set to work to remove Sources of rural discontent a> the basis "for the satisfied" peasantry which would not be driven to despair and Communism immediately misfortune darkened the horizon, As 1 pation of farmers, most of China's unrest has arisen' from agricultural troubles, but little organized effort has been done to remedy.—In. this instance, the Bank's scheme has been restricted to Kiangsu and Chekiang, [This is a wise move because the pro-Yonged droveht has created un Parelleled distress throughout these provinces and the need for financial assistance to help the farmers. (0 survive this black year is dally becoming more apparent. 1f the drought continues, the whole system of rural Jeconomy' in this area will be put seriously to the test and the possi Dillty of violent outbursts is not to be ignored.
Text read from the printed page and cleaned; old type leaves the occasional error.