File No. 893.51/2022
The Chargé in China ( MacMurray) to the Secretary of State
Your September 27, 3 p.m.1 The reply of Minister of Finance to the protest of the four interested Legations reported in my telegram of September 6, 6 p.m. [9 p.m.], transmitted to the Minister for Foreign Affairs on September 26 [was] to the effect that currency reform is a matter of domestic administration and that the measures taken thus far constitute no violation of prior obligations and that auxiliary currency and reorganization loan agreements are unimpaired.
It is the intention of the consortium bankers to undertake a discussion with the Chinese of the scheme of currency reform proposed by the Ministry of Finance, to request an extension of the option expiring October 14, meanwhile asking their Legations to address notes to the Foreign Office expressing satisfaction that the rights of the banks are recognized without prejudice and stating that the several group representatives have therefore been authorized to discuss the recent Chinese proposal. …
I fear we can hopefully take no initiative in the matter but must reserve our protest either to force the renewal of the option or eventually to strengthen the bankers of other nationalities in their opposition to the ultimate adoption of currency proposals which they consider worthless and even dangerous.
Unless otherwise instructed I shall act in accordance with this view.
- Not printed.↩