The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1898-12-03
FINANCES IN PHILIPPINES
Silver Is the Basis Of All the Money Which
Is In Circulation.
VERY LITTLE MONEY USED IN BUSINESS
Credit system Keeps the Volume Of
Money unccrtnin-A special silver
Currency IL Needed.

Washington. December e.--Mr. Edward
Hardin, who was Appointed in august last
an honorary commissioner OF the United
States 10 make an investigation of the H.
narcial and Industrial coifiitions In the
Philippines, has made his report TO the
secretary OF the treasury, in che course OF
whioh ne says
SILVER is the basis or tie currency In
the Philippines. There is no gold in gca-
efal circulation aud has been hone for more
than twenty years. The Mexican dollar
Of date previous TO 1877 Is curren, in The
Islands and 1T is practically rAe only money
III general circulation. The Spanish gov
ernment, in the summer of 1897, coined
SS,O0o0eo OF silver IN a local currc,iSy,
which was sent TO the Islands. These dol
lars are lighter in weight than the Mexican
collars, but the scarcity OF money III tae
philippines caused them TO be quickly alb
sorped. Tho amount or money needed Tor
the trade and commerce OF the Philipsius
isiands Illustrated IN The different seasons.
IN ihe height OF the sugar season. say nom
February 10 June, when large amounts OF
sugar are exported, ahere Is q sharp ia
crease In the demand Tor money. For the
Is used, as the crciit system is On vogue
Throughout the Islands, and there is, there.
lore, no great amount of money needed for
the payment OF wages 10 che lahoring
classes. ln the off season, when exports are
hg1t. the demand for money would become
SO small that the circulating medium would
be found to be much more than sufscent
for the needs OF the country. The iluc-
ouation In demand for money in the differ
ent seasons of the year resulted In widely
Luctuatgng rates of exchange and In the
continued flow OF money either 10 or from
the islands, but after the occupation OF Ma
Mia by the American troops permission
was given The banks % import silver freely.
and the result has boon TO keep exchange
rates on most stable basis.
The Spanish government kept no STATS
tics of currency or finance and the BANKERS
can only give estimates of the most general |
character A rough estimate OF Che currency
of tho Islands places the total nj from $io.- |
OO0,000 to $i5.0000G0 or approximately So !
per capita for tho total population OF the !
islands. II must not be overlooked that
these figures are given on a silver bass (
ard that therefore In figuring on our own /
standard these figures must be- cut in two. |
Three banking Institutions do the bank |
ing business Of the Philippine ISLANDS ABIDE
from that done by the large commercial
houses which buy ard sell exchange and 10
which belongs to banking institutions. or
the three banks the two most important |
are branch concerns, the third being "A /
local Institution controlled BY Span.ards
and natives.
The question Of the future currency Of
the islands is one which Is of vital inn
portance to business men In the island.
The pest informed men in Marhla ARE
unanimous In their opinion that under
present conditions the silver currency ia
he only one suited to the islands. A great
deal of trade OF the Philippines is with
China and Japan, the Strait settlements,
india and Australia. In China and Japan
and India the trade is wholly on silver
basis, though Japan has adopted the god
stanaara, having, however as the basis
VI it's currency gold dollar which is APP
3roximately worth only so cents and it's
therefore Ia effect is on a silver
PASS, the same as China and Japan
The natives OF the Philippines are con-
sentative to degree In the matter of their
currency and IT would be a long and
edlous task TO educate them to dollar
which would be worth twice that now in
circulation
Notwithstanding the fact that the Amer
cans have 10 900 soldiers in ~ianila who
ire paid in gold. the people OF the island
VIII have nothing but silver. All the SOL
Tiers when they ara paid in gold take their
I for local currency. The native viii take
he Mexican dollar. worth 100 cents.
II the United States retain the Phil
primes a spaaial coinage OF silver dollars
night be minted for circulation In the
the same rs the British dollar
las been put in circulation In the Strait
settlements, in Hong Kong and in other
Iorts where British inteS-ets predOminate.
n time the gold standard might be put
IL force in the Islands. but in the opinion
II the business men generally II would have
o be accomplished slowly and consideration
yould have TO be given TO the conservative
lttItude of the people, and the fact that
hey would have TO be educated TO the value
II the new currency.
Practically all the export and import
rade Of ths islands Ia in the hands of the
oreigners There are for Spaniards en- .
ragged In trading but the bulk OF the busi- 4
less, in commercial way. is done by Brit
sh. German, Belgian and American cti-
ems.
The four principal industries OF the
sland In tha order named are hemp. sugar.
opra and tobacco.