Evening star. [volume] (Washington, D.C.) 1854-1972, 1890-12-27
MONEY THAT CHINA NEEDS.
Foreign Capitalist I'm the Country-Deiays
and Ecasons Why.

shanrai Dispatch to the London standard
The latest news from Pekin is that the thirty
million tael railway loan still hangs fire. The
Chinese government. according 20 it's usual
custom, snll hesitates about closing the matter
with the agents Of the German syndioates. in
the hope that some of the representatives Of
European or American fnanciors NAV. at the
last moment, come forward with better terms.
But the cond.uo"s upon which the loan is
offered by the German capitalists being so low
81 per cent with an understanding that
some u:specifed sum be spent on railway ma
terials from German manufacturers--and the
imperial government being unwilling that the
loan should bear the imprimatur of an imperial
decree, other financial agents are not tempted
TO step in and underbid their German rivals.
The situation in Pekin is peculiar. On the
one side are the represo ntatives of half dozen
powerful syndicates of capitalists representing
two London combinations of financiers. one
American, one French and one or two German.
all pressing their millions upon the Chinese
government which PLAYS of the one against The
other. On the other hand are the Chinese Off
Gals who conduct the negotiations on behalf of
the government, all equally anxious TO see tho
sadly def!eted treasury replenished by the
loan. which means such an opportunity for
plumber "a they have long waited for in vain.
The foreign capitalists, however. will not part
with their cash without an imperial decree.
while the Chinese officials pretend that TO hand
down 10 their posterity decree signed by the
sacred seal OF the emperor of China for paltry
3O.Go.GJ0 taels Just to relieve n temporary en-
bIrrass:nent would b. 20 incur a stigma too
great to be coun terbalanced by any immediate
benefit. Then the stipulation that a large por-
ton Of the loan "a 20 lind Its way back again TO
the foreign lenders in payment for railway
material Is awkward. when one Of the chief OBJ
jects which the Chinese government has in
view IN accepting financial aid from abroad IL
TO relieve some OF its internal necessities.
Never has money been so scarce in the
Pekin treasury. or nadly required. since
the great rebellion. The imperial household
is in state of bankruptcy and il can raise no
money for its immediate requirements without
the decree which the officials are unwilling 20
give. The wretchcd members of the imperial
clan-the brigands and roval ''loafers" who
sport the red and yellow girdle and drag out q
miserable existence upon the small pittance
annually doled ont TO them from the treasury
are reduced TO even a more desperate state OF
poverty than usual, aud being too proud to
work they have ample time TO plot mischief
and clamor for money from the department.
known the imperial clan court. which II in
the same impecunious state the imperial
household department. Ii is the same every
where throughout the great departments II
state. The exchequer is invariably empty.
The boards of war and admiralty have the
keep their truculent soldiers and sailors In
good humor.
But much as the Pekin court is in want %
money the overweening vanity of the officials
is too strong for their good sense. though many
people are inclined 10 believe that tins vanity rs
not the only cause for the Withholding of the
imperial decree. The old conservative element
have. since the death of the Marquis Tseng and
the present serious illness OF Prince Chun. exer-
cised all their powers Of argument and in
"a lua md
though the money would be welcome the pur-
pose for which ii is proposed to borrow 1t calls
forth their fiercest opposition. Unfortunately,
the father of the emperor is not likely 20 take
part in any affairs of state again. Had he not
been removed from the political arena there
is no doubt that the imperial decree would
have long ago been obtained. for Prince Chun
is the strongest advocate of the great railway
scheme az a means Of defense or, at least as .
necessary measure of precaution along Chinas
weakest frontier.
Prince kung, the sixth prince, who was de-
posed some years ago when Prince Chun and
his party were brought into power has been
asked to take the part OF his brother in support
ing the loan. The prospect OF thirty millions
in ready money almost oSercame the poor sixth
prince, who has been shelved and kept in the
background so long. But the moment he heard
the mention of the hated invention Of railways,
which he had always strenuOusly opposed, the
old intolerance asserted itself and he refused TO
take part in any further negotiations In the
matter. SO that, though protracted pour
parlers have taken place between the agents Of
the European financiers and the Chinese gov
eminent in reference 10 the loan, up to the time
L write nothing has actually been settled, and
the foreigners are beginning 20 think that,
after all tine negotiations and the vast sums
expended in travelling and telegrsphing back
ward and forward 70 Europe and Amerlca, =
nothing may come Of the business for the pres
ent. 1t is obvious, however, that necessity and
the force of circumstances will compel China
ere long to 60 into the market for financial
assistance.