CHINA’S LOAN PROBLEM.

Gisborne Times, Volume XXXIII, Issue 3641, 30 September 1912, Page 5

CHINA’S LOAN PROBLEM.

NO GREAT PUBLIC RUSH CHINESE GOVERNMENT EXPRESSES SATISFACTION. [UNITED PRESS ASSOCIATION—COPYRIGHT] (Received Sept. 29, 5.5 p.m.) LONDON, Sept. 29. There is no public rush for the Chinese loan, but it is expected to be covered to-day. President Yuan Shili Kai has cabled to the Chinese Legation to express the Government’s satisfaction at the successful flotation. He says the nation is deeply grateful and the Republic regards the discharge of this loan as an obligation especially binding. Tho “Statist” declares that great cleverness was shown in underwriting the loan quickly, but it will create a bad impression abroad and will give a handle to unfriendly nations to impeach Britain’s good faith. JAPANESE PRESS PESSIMISTIC. (Received Sept. 29. 5.5 p.m.) TOKIO, Sept, 29. The press is pessimistic at the failure of the six-Power -group and foreshadows a dissolution of the combination and a readoption of the individual policies of China.

OVERSUBSCRIBED!

(Received Sept. 30. 12.55 am.) LONDON, Sept. 29. The Chinese loan has been oversubscribed.

[The loan is to be a first charge on the salt gobelle (excise duty), the annual revenue from which is £7,295,000, whereof half had been previously hypothecated. The interest and sinking fund of fhe now loan will only absorb £6,504,000 annually. Tho banks supporting arc Lloyd’s Bank, tho Capital and Counties’ Bank, the London and South Western Bank, and the Chartered Bank of India. Whei Sir J. N. Jordan’s action was announced some underwriters were nervous. Messrs Birch and Crisp went to the Stock Exchange, and offered not only to relieve them of liability, but to pay them .half per cent, commission for their trouble. Pracci?. illy all decided to adhere to the original agreement. It is understood _ that China is willing to pay off the liabilities to tho Powers.]