The Express.
London, England, 1860-01-26 00:00:00

THE FRENCH BUDGET.

The Moniteur of yesterday contains the financial
report of M. Magne to the Emperor.
The Minister congratulates himself that the state
of the treasury is flourishing. The arrears, which
were 886 millions of franc, do not now exceed
660 millions.

The Minister says that he has communicated to
the Council of State the documents necessary for the
preparation of the budget of 1881.
The following are his remarks on this part of the
report:
Mass doonanats would lead us to anticipate an wows of
revenue equal to about three millions.
Your Majany, wishing to encourage national production
and to place industry in a state more advantageous for com-
petition, hail usoeived a vast programme of internal reforms,
among which figures the rename of raw materials an 4
certain articles of great consumption from duty. The
redueraca of the dudes might entail a disturbance
to the balance of the budget; but your Majesty, so rightly
desiring to neaten our finances from all injury and to main-
tain good order in the budgets, propose* to compensate the
momentary low that the treasury will experience by the re-
source of the sinking fund. As I said to your Majesty in
my report of 1867, "to produce its full effect, the sinking
fund oughtto molt) from a positive emus of income. If it
be otherwise the money It absorbs will °nation a deficit in
the budget. This deficit Increases the floating debt, which
latter soda wooer or Wier in the creation of °Quoit," that is
to say, the sinking fund in this one, instead of extinguishing
the public den, tend. to increase it at a loss to the treasury.
Consequintly, however good is itself—however just and
wise the sinking fund may be, as a measure of foresight
especially, se a check upon and obstacle against the buena
of the expenditure, It to intelligible that in action may be
suspended in the presence of an inevitable deficit. But, since
the sinking fend is of itself a guarantee of order, your Ma.
testy would not resign yourself to this sardine, though only
temporary, save in a eased absolute necessity. I we con-
vinced that you will be happy to maintain it in ectivity,
' should the low to the treasury be capable of being compen-
sated, wholly or is part, either by the progressive amount
derived feet the tans, or by savings effected in the public
expenditure.

nothing, in hot, is Impossible with the lasting pesos of
which your Majesty beide out the hope in your propamme.
Economy keeps in reserve ebundant resources, and in ■
country like Francs, prepared u it now is, it would be
difficult to estimate too highly what may be produced by
confidseos in the future.

To suer up, Sire—Tbe era of pesos inaugurated by the pro-
gramme traced oat fa yoar Majesty's letter to the Minister
of State ogre =dor the followiag financial candidate:
The tzars ea the debit side of the old Maple is reduced
from 886 to 660 millions.

The bodgeta of 1866, 1866, 1857 are balahcod without
deficit.

The budget of 1868, though deprived of all extraneous eld
and charged with the expenses of the Chinese war and of the
public work', ends, nevertheless, in an axaese of Mown by
more than 12 millions.

The denting debt, which threatened to go beyond a mil-
Herd, is already reduced to 750 millions, and placed in pre-
mos of disposable resources, which within a very brief
period will make it sink below 700 millions.
The Treasury bonds, which in 1868 bad reached the sum
of 346 millions, now hardly amount to 136 millions, and the
interest lowered from 4 to 21 per Gent.
The treasury, notwithstanding the coneiderable reimburse-
meets ft bee elleady effected on the Meiling debt, is in a
state now for miserieg all the ordinary and extraordinary
current demands, ter the office was closed yesterday at Paris
with 261 million. in cash, and 150 millions in notes.
The hum and Indirect revenues advance so steadily that
the gravest akearmeemes have aearoely been able to prodeo