The Indian Loan Bill for 210,000,000 has passed both Houses
after debates which we have adequately characterised elsewhere. We must mention here, however, that the money was urgently required to meet the demands of January, and that if the India Office cannot sell its bills, another loan will be required before the close of next Session. The Office, as represented by Lord Kimberley and Mr. George Russell, hopes that the demands for its bills will revive ; but there is not as yet one particle of evidence that it will. On the contrary, the remittance of silver to India instead of Government bills is increasing, and so is the export of textile fabrics. We are usually optimists about Indian finance ; but it is pretty evident that the Government is just now stumbling along blindfold, and risking a very serious situation. Another loan would gravely affect Indian credit on this side; and yet, if the India Office sells its bills for what they will it may send down the rupee for ex- change purposes to little above a shilling. Mr. Courtney says the rate cannot sink below is. 24d., because the Government in India must take gold at 15 Rs. to the pound ; but has he allowed for the effect of panic P
Previous page
