CHINESE LOANS.

Press, Volume LI, Issue 8965, 1 December 1894, Page 7

CHINESE LOANS.

Odd notions are current about Chinese loans and the "credit" of the Chinese Government. All the loans issued in I*ndon on behalf of Cniua have been provincial, not Imperial, loans, although the contracts for them have been countersigned »y the Emperor. The "credit" of the Government of Pekin has nothing to do with making these loans good or bad **curity, because it is provincial revenues aione which are pledged to them, and ID # ore especially the Customs receipts of the Treaty porta. That is to say, J* a real security for the loans of UUna is the £4,000,000 or so of revenue collected at the Treaty ports by Europeans,

and uuder the control and protection of th c European Powers to whom: the ports hav° been thrown open by Trea%vwith China. That being so, the dismemberment eveu of the Chinese Empire need not necessarily affect the payment of the interest aud principal of a Chinese loan floated in London, provided it has a valid mortgage over the Customs of the great trading ports. Presumably, the couutry behind the porta would still be peopled, and the people would still import goods on which Customs duties would be collected, uuder the protection of European ships of war.