London, Aug. 25.
"Really China is growing almost too respectable," stnilingly said. the Chinese Ambassador, Mr. Quo Tai-chi, when interviewed by" Reuter to-day apropos the recent Loan settle ments and the popularity of Chinese Toans as compared with a few years jo. Financial editors to-day gave Prominence to the latest settlements.
The "Financial Times" has an article by Dr. F. K, Pan, chief seeretary of the Chinese Ministry Railways, emphasizing the importanen the Chinese Government attaches to liquidating debts and restoring na~ tonal credit, especially with a view to obtaining fresh capital for" the construction. of new railways, The Chinese Government, Dr. Pan sayr, is perfectly sincere with iis creditors: and it only asks that they" show similar spirit in negotiation and recognize the changed conditions Both China and the world.
There have been many indications in recent months of an increasing, tendency to take a favourable vi of conditions in China. Nankinj success in handling the Southern ro" volt has created a good impression, while many observers remark on th? Jess disturbing character of Japan's policy towards China since the Tokyo mutiny of February 26, Some observ-lers regret the cancellation of a portion of the railway debts, as condone Ing the principle of repudiation, bu' generally the agreements between the Chinese Government and bondholders are welcomed, as China's difficulties and desire to make good are recogn ned, The Chinese Government announcements regarding resumption of Interest payments on Lung Tsing U-hal and Canton-Kowloon Railway bonds have been variously received fon the London Stock Exchange. Rumours that service on the Lunghai loans soon would be resumed have been so Jong rife that the immediate elect of the announcement was. 2 fractional fall in the price of the bonds.
Some quarters have expressed disappointment that "the interest rate Jdoes not start at better than 116 per cent, The market attributes the trend of Lunghai bonds to an overbought position which has resulted in Uiquidation by tired bulls. On the other hand, other quarters point out that the interest on Lunghals will be, within two years, at least equal tothe payments of the Canton-Kow-Joon bonds, for which reason Lung-haig are a better buy than Kowloons.
The spectacular jump in the price Jof Kowloons within the last few days from about £33 to £42—surprised many people, who were not expect-jing an immediate payment of more than 1% or 2 per cent, but the Jmarket realizes that the discrepancy in the price movements between Lunghais and Kowloons largely. is Jattributable to the difference in' the Jamounts outstanding. Kowloon outstandings at presents are only £171,- 000 in interest, plus drawings of £040,000, whereas the amount outstanding' in respect of Lunghals is £4,009,000. At present Lunghais are quoted £32 sellers, and—Kowloons £42 bid—Reuter, British Papers' Tribute London, Aug. 26.
'A tribute to the Chinese Government for the steps "it is taking to resume the service of railway bonds paid by the financial newspapers Pull' recognition, says the "Financial Times," must be given to the evident desire of the Chinese authorities to secure the rehabilitation of national credit. The journal acknowledges the sincerity of the Chinese authorities in this matter. The Minister of Railways (Mr. Chang Kia-ngaw), it says, evidently takes a very broad view of his responsibilities. On his shoulders. will fall the task of improvement and extension of the Chinese railway system {o conform with modern standards of efficiency and meet the
Text read from the printed page and cleaned; old type leaves the occasional error.