The Sun.
London, England, 1857-12-15 00:00:00

TURKI2II FINANCE

CONSTANTINOPLE, Dec. s.—Whoever doubts that
" a change has come over the dream" of the Turkish
people ought to come here now, and his doubts
would soon vanish if he saw the interest with which
the descendants of the fierce warriors of Bajazet and
of Solyman the Magnificent follow the monetary
crisis in Europe, trying to fathom the intricacies of
the exchange, and sighing over the formidable rise
in the discount of paper.
Yes, they do see, indeed, that things have changed
since the time when they could lose 224 galleys in
the single battle of Lepanto, and replace them the
next year by 240, and when the Grand Tizitr
Sokolli could give the proud answer to the doubt
ing Capudan Pasha, that such were the power and
wealth of the Ottoman Porte that if could, if it
was ordered, get for this fleet anchors of silver, silk
cordage, and sails of satin. Then finance WaS easy
enough ; a now province and a new tribute EOOll
squared accounts with a large balance in hand ; now
they feel they are dependent on Europe in money
matters, and that, whatever the stress be, they
must wait with their financial measures until
matters are better there.
However difficult it may be for them to postpone
such an urgent affair, the delay has likewise its
advantages. Every day throws a new light on the
subject, which is very much required, for even in
the best minds in Turkey there is only a small
stock of financial knowledge, and that mostly of a
desultory kind. The difficulties which the Govern-
ment has encountered hitherto in all its schemes
have undoubtedly contributed to sift the matter,
and to make them adopt more and more reason-
able views. Now and then, as is natural, there is
a relapse, but after every such crisis there is always
something gained in the art of distinguishing diffi-
cult from impracticable plans.
Thus, for instance, you know that lately the
Turkish Government thought it had formed *
panacea for its chronic financial indisposition by
the consolidation of the floating debt ; and there
is no doubt that it would be a great advantage and
saving to the Exchequer to have a certain regu-
larity introduced in its passives, to know exactly
their amount, to fix the sources of revenue from
which the interest should be paid, and thus to start
as it were afresh ; but the question is, will they be
able to inspire people with the necessary confidence
in their promises—for who guaranteed that theY
would pay the interest regularly in gold, and that
they would not come forward in a few years with
a new consolidation 7 The better terms which they'
offered to the holders of the new coupons were just
the very thing to frighten them. The Govern-
ment debts are now the chief sources of revenue
for the speculators' of Galata and Stamboul,
who make large profits on!the continual fluctuation
of this paper. What else but was to bo
ex-
pected from those persons towards any me as urde
calculated to curtail their profits ? They' lieu.'
have had, indeed, no option but to take the nthe
ew
in exchange for the old ones, and, astf
Government intended to pay the full amount
or
paper now at a discount of 25 to 30 per cent., the,:
would not have refused to profit by the transaen
tion ; but the change would scarcely have taken
place when they woud have—and no doubt success-
fully—endeavoured to reduce the new
lamentable position of the old. this
The Government seems to have unedrstood
at last, and the project has assumed a new.Ll3,llB.f.Pbec;
They want to connect the consolidation with
establishment of the long talked of Bank, which is
expected to interest itself in this consolidation;
The project thus put forth sounds already more
practicable, for without the help of a powerful
paper to the
commercial body, working with European capita
and after European system, the Turkish Geverst
ment will never be capable of doing battle agall!,,
the not less powerful clique of local bankers. .ttp,.
that is required for this is that the Government
should not stretch its demands too far and not
expect to get out of the difficulty without sacrifices.
la
Up to this moment nothing is decided,
'tor
anything be attempted before a change takes plou
in the money-market in Europe.