The daily herald. [volume] (Honolulu, Hawaiian Islands) 1886-1887, 1886-09-03
FRIDAY, SEPTEMBER ;, 1886.
THE BoRRcsulNc BUSINESS.

When Mr.. Gibson announced in the
Legislature that the Government had
abandoned the intention of raising a
special loan, we doubt not every sensi-
bic heart in and out of the Legislature
rejoiced. The Opposition in the As
sembly applauded, and there passed
through the community sentiment Of
appreciation. Perhaps the Ministry was
not given credit for having voluntarily
changed base, but there was no ques-
ton as to the force of the reasons given
for the new policy. By the amount to
be reasonably expected from our own
people, through the Savings Bank by
the realizations from the reclaimed land
on the Honolulu Esplanade and from
other property, and by the saving from
the adoption of common-sense scheme
for increasing the city water supply, in
addition to prospects of an enhanced
ordinary revenue, it was calculated that
the Government would have ample
means to cancel all outstanding obliga-
tions and meet the expenditures of an
unusually large Appropriation Act To
have the clear and unmistakable enun-
citation Of such policy followed, within
week or ten days, by the announce
mcnt that the Ministry never meant to
have abandoned the loan bill, and that
its being called up and made special
order Of the day was done with the
Ministerial sanction and concurrence,
must have been shock to even those
who are familiar with Gibsonian ad-
ministration.
One oi the most crafty pretexts
advanced for the sudden reversal Of
policy was that an effort would be
made to raise the loan at home. "We
desire to borrow from our own capi-
talists,' says the Premier in effect.
The Adgs, fiser, striving to keep track
ofthe sinuous policy of the Govern
ment, re-echoes the sentiment. Yet
the loan bill is rushed through and an
agent is posted off, in almost indecent
haste, to overtake the representative of
foreign capitalists and induce him to
negotiate the loan ON the London
market. In view of the facts, it is
hypocritical for the mouth-pieces of the
Ministry to keep up the talk about
borrowing at home, If the English
agent takes single bond, he will take
the whole. That is well known in this
community. 1t would be more accept
able to the capitalists represented by
Mr.. Armstrong if the loan bill was for
FIVE millions instead Of two millions.
Therefore, it is utterly absurd to dis
cuss the possibility of portion Of the
two millions Of bonds being disposed
of here, while duly authorized agent
of this Government is flying to make
terms with the foreign agent for taking
the whole.
Meantime the Government are bor-
rowing at home, but not under the Loan
Act. The news given in the HERALD
of the success Of the Savings Bank
proves that Mr.. Gibson was not over
sanguine in sizing that source of reye-
nue., From all appearances the Treas
ury will have the benefit Of at least a
million OF money from our own people,
deposited in the Postal Savings Bank
within the current period. If the i'm
provements now making in the Water
Works, at comparatively small expense,
result as well as anticipated, much
money will be saved in that branch
Then there is no doubt that any sort OF
judicious management will bring in large
realizations from Government lands
These things, together with larger taxes
figured on, ought Of themselves to place
the national finances in Ausher con
dition than they have been in for
years. On top of all comes the two
million dollars Of English gold.