The Sun.
London, England, 1854-08-23 00:00:00

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LONDON, WEDNESDAY, AUGUST 23, 1854.

We are generally strongly opposed to foreign
loans, on public as well as private grounds. We
have witnessed very untoward results following
the exportation of the precious metals, which our
absurd money laws rendered of such vital im-
portance to the internal trade and commerce of
the country. We have also seen the evil pur-
poses to which the funds thus obtained have been
applied; and also the complete disappoint-
ment of the speculators, who seldom, if
ever, found their sanguine, anticipations verified
—the idol which they worshipped having de-
ceived them, and the expected profits being
converted into serious losses. We are too well
aware that non olet mundamus is the motto of th 3
gamblers of the Stock Exchange, and that, with
rare exceptions, they are profoundly indifferent
to any one save the pecuniary consequences of
their operations. " Get money, honestly if pos-
bible, but get money," is the ruling principle

with a large proportion; and, even amongst those
who have higher aspirations, and a more strin-
gent sense of their moral responsibilities, few do
more than avoid the accursed thing, or think that
they are bound actively to promote that which does
not hold out the prospect of immediate gain.
There is, however, at present in the market a
security which differs very materially from those

which have previously been offered for public

competition. The Turkish Loan hag, indeed,
everything to recommend it as well to the mere fol-
lowers of 3lammom as to those who are desirous
of taking still higher grounds and serving their
country, while they are putting money in their own
pockets. Nothing more advantageous has been
brought out for a series of years, and we can scarcely
feel surprised that there has been an anxious desire
to obtain an investment so very promising,
whether we look to the soundness of the security,
the high rate of interest, or the beneficial pur-
poses to which the money will be applied.
On the first point we must bear in mind that
Turkey has hitherto been free from debt ; it is,
therefore, so far as Stock Exchange transactions
are concerned, a virgin soil from which great re-
turns may be anticipated. Its almost miraculous
natural resources are too well known to need
any prolonged statement in their favour ; and
its inhabitants have afforded the most conclusive
testimony that they are perfectly capable of de-
fending their own territories from the would-be
spoiler. The SULTAN is no longer " the sick
man," faint almost to death, around whose pillow
are avaricious expectants. He holds with vigo-
rous and tenacious grasp his ample possessions ;
and although the expenses of his cure have caused
a little temporary embarrassment, he can show
unexceptionable security for ten times the amount
required for existing exigencies. But it is not
merely the general revenues of Turkey that
are charged with the repayment of this loan.
The Egyptian tribute, amounting to thirty mil-
lions of piastres (or 282,0001. sterling per an-
num), is specially hypothecated for the payment
both of principal and interest, and is to be re-
mitted directly from the Pasha to the Londo❑
agents for distribution. This tribute was con-
tracted to be paid by a specific treaty, sanctioned
by all the great European Powers ; and when we
remember the well-tested probity of the parties
concerned—both SULTAN and PASHA—and the
determination of France and England .to sustain
them, we must concede that the security for
the stipulated payments is beyond the possibility
of doubt or cavil.

As to the rate of interest, it is, under the least
favourable circumstances, 71. per cent. per mi-
nia. The bonds nominally fur 1001., with cou-
pons payable on the 10th of Apia and 10th of
October in each year, are to be issued at 801., a
bonus of 25 per cent, being thus given, to the sub-
scribers, ao that the nominal 61. per cent. will ,
really be 7/. per cent, interest ; but as the amount
subscribed is to be received by instalments spread
over a term of four months, and a discount
of five per cent, allowed for prompt payment, a further bonus will practically be obtained by those
who have their funds immediately available.
These would unquestionably offer .sufficient in-
ducements to any capitalist desirous of obtaining
large returns for his money_ •, but, in addition, a
certain proportion of the bonds are to be redeemed
at
1e od
,r in each and every year. These will be
e
by lot in the usual manner, at the rate of
selected
one per cent. per annum. There will, therefore,
be not only the chance of that which cost 80,
being paid off at 100, but the value of the balance
will be materially enhanced by the amount with-
drawn from the market each thawing. The bor-
rowers reserve a rig
ht
of paying off on six months'
notice at par after
° Years ; but, as we have
of 100/. for each 801.,
shown, that is a
or 25 per cent. bonuspayin in addition
uldition to that received
by the original rate of issue and the drawings.
The third point is no less far
willingly submitted favourable. Every
true-hearted Englishman has
to the additional war burden
occasioned by our
defence of the cause of order and justice.
He has
seen his Income Tax doubled, the duties on malt,
A and the
spirits, and sugar materially enhanced,
proceeds expended in support of
expeditions
against the unco We havenscientious invader.
willingly applied more than ten millions s erling
in support of the integrity of the Ottoman Empire,
and no one /am considered the outlay) enerumv3 1