Mr. R. Murray Smith, Agent-General for Victoria, has made an
able attempt to "draw" Lord Derby upon the annexation of New Guinea and the Western Pacific Islands, but has not quite succeeded. Mr. Murray Smith asked to be informed on what conditions the Queen's Government would permit annex- ation ; whether, if the Australian Colonies became federated, annexation would be allowed; and whether an estimate Wald
be made of the cost of strengthening the hands of the High Commissioner in the Western Pacific. Lord Derby declines to estimate the cost of that measure, and for the rest, his reply is summed up in the following statement :—" lithe colonies should decide either upon confederation or upon united action, in regard to this particular question, there would undoubtedly be much less difficulty than at present in arranging for the transfer to them of the obligations of this country in respect of neighbour- ing native communities ; but itis not possible to say, without fall consideration of the manner in which the confederated colonies would propose to discharge their obligations, whether annexation could be agreed to." Australia may, we think, rely upon it that if she becomes a Dominion, she may pursue any foreign policy she pleases, subject only to the rider that it shall not involve a certainty of war with a European Power.
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