NEWS OF THE WEEK.
THE centre of interest in foreign affairs during the week has been the negotiations for a Chinese loan. While the Six-Power group have been discussing the terms of a £60,000,000 loan to China an unofficial loan of £10,000,000, with the salt tax for security, has been arranged in London. It is announced that 2500,000 has already been paid into the Chartered Bank of India, Australia, and China in London, and that of this £100,000 has been transferred to the Chartered Bank at Tientsin. The loan is issued at 89, and is to bear interest at 5 per cent. The money is earmarked partly for the service of the Boxer indemnity. The Six-Power group, backed by their various Governments, are opposing this loan. At a secret session of the Chinese Council on Wednesday (says the Times correspondent) it was decided to accept the Russian demands as to Outer Mongolia, but to resist all intervention in Inner Mongolia. As regards Tibet, it was decided to negotiate with Great Britain " on the basis of the maintenance of the status quo."
