As a result of Japanese occupation of salt-producing areas and routes of communication and the seizure of salt revenue offices, particularly in Hopei and Shantung, China felt com-peelled "last September to' suspend temporarily the amortization payments then due on the Crisp and Anglo-French loans. Moreover, View of the forcible detention by the Japanese of the customs revenue in the war zones despite their assurances and despite all efforts to induce them to allow remittances in respect of all China's obligations that were secured thereon at the time of the outbreak of hostilities, the Chinese Government was very reluctantly forced on January 15 of this year to take remedial action. As irom that date, the Ministry of Finance declined io make furiller advances to the Inspector-General of Customs and instructed him to open special accounts in the Central Bank of China in which periodically are deposited a share" of the long-term debt service proportionate to the' collections in areas not subject Japanese interference. For similar reasons, the Government on March 2 took action in relation to the salt loans similar to the arrangement concerning customs loans.
The former, by its arrange.
iis for silver purchases from China and for the U.S.$25,000,000 credit from the Export Import Bank last December, and the latter by extending export evedits to China and bby co.operating with Chinese banks the creation of a joint currency stabilize fund of 10,000,000 pounds have both vendered material,
Text read from the printed page and cleaned; old type leaves the occasional error.