Ka Leo o ka Lahui, Volume II, Number 397, 25 February 1892 — FINANCIAL. [ARTICLE]

FINANCIAL.

<Xo. 5.)

I<i onler to cnoourage the inveētiij«'itt «>f loeal capitol iu governnu nt IkīiieU, to further inoroaBeour currencv aml l>anking facilities, th«.-r€* should be a national hank ♦Hjtablīahed under a governnient charter. This bank ehould bave perm iwion to iisue notes based upon Hawaiian Government Bonds depoaited in the Treasury aa eeeuritv and up to ninety per cent of their face value, sirailar to tbe National Hank currency of tbe United Btates. Thia wou!d relieve the money atrin«ency and render available a large c»pital for permar.ent inve<stment in varioue indo»tri<Mi that would thus have an opportu* nlty to develop. The capital th«c created would be greedlly sought and easily loaned bere on as good securities as our dssloyal eat»talists now flnd in California« Oregon, Wasbington or e)se«rb#e.

Money coald undoubiedly be obtained by the government at 5 per ceat intere«t, and we would sugge«t tbat the fir§t use to whieh it should be put to, be the funding of the present 6, 7 and 9 per oeni bonds, whereby thew oould be made an annuai eaving of about $700,000 interest.

It i* a dangerous and onpopular feature of our present finandal ooe* dition tbat the numM men ean dominate and control the administration. It renders' popolar government impoesible, as long as the public flnaoces are dependent upon the favor and good wiU of t>rivate capitalists who as a mleare always opposed to the mssses ihai lorm tbe politieal maj<mty. It must be humihatiog to the Queen and the people to feel thai no eabinei Oan BueoeesfuUy hoid office wbo are not approved or is «übservient to the monied plutocrats. It is deroga* tory to the digaity and indep*odenoe of government aeiion thatsiK& should be the case t and we Btrongly urgb the oomkknallou oC tbe fiuanoiai scbeme whieh we have suggested, or sotnethiag similar, for the benefit of tbe goveni* meiii and the people. It is neoeasary to rcvolutiontte the financial system that exists in this eountry and we are convinoed of the acoepi> ability of such a move Ui tbe agrieuhuinl am) industrlal cla«sfs. and of iu iliiaiH'iAl «smndiiees. , Tīi«* g«»vertnm'nt i»e<*ds *i»>ney to aid tk*» dtveiopment of the rsliy ricb resouroes of thi»countr^;

| to give it proBperitjr. cftmoaercial an'd indastrial activitr, and to» act justly to all classes and intsrests of the nation, the cabin*t must heun- | trftnjuieied by the dotain&tiop Ofauy | niofiied ooterie. They | troi r«ther thaa be eohlāaM hf I tbe, Hwineial aflairs oI the kiog'dosi. I Honejr invested by the govetn- ! ment for the purposes abo?t men- ; ti<med would beoDeofiUlegiti»ate IwieUoi!*. would prove vmUt re- | muiwrative and huUd up a lieh and |>rosperous iiule natioa. It I nuM be almoei pvoved in e*aet C|pu«t that tbe inersāsed r«ventteB aeertting to the government as a result oftheproposedoutlays, wouid holh, fr©m direct and indirent i JoBrces, hring a large interest bnd JmA period aetu&liy reimburse the go*fcrnment, from personal tax» 88« hsereased taxes on improved property, and the many indirect taaes levied on an increased popu* lation and commerce.

Will we ever have an adminis- j tration wiih iiae>ligence, energy, abiiity, and in<lopendcnt |iatriot!Bm suffi£ient to do somcthing in thls liue fir this countrv? \Ve hear the pcsmniiflt siy that it will bciinposriblc for thi« government to ntgotiate a lor< ign loan. Judging froni paei cxpericnces this might appear to be true, but at this present moment the governinent h'oldsin tfieir hands, the power (though their finaneial aeunieo will probably not disc3ver it) to obtain a lōan with01H a difficulty and at a reasonably low rate of interest. If the present naen eannoi do it let them give plaoe to their betters. The prmnt laisaezfmire policy meana etagnation, retrogression and ruin. The times demand intelligent and energetic action.