The Ambassador in China (Johnson) to the Secretary of State
[Received May 18—6 a.m.]
209. 1. We learn from informed officials that the Ministry of Railways signed May 12 a preliminary agreement with French banking [Page 599]interests for a loan of pounds sterling 4 million for construction of a railway from Kunming (Yunnanful) to Kweiyang. The banks at present included are the Banque Franco-Chinoise and the Banque de L’Indo-Chine; it is stated that other French banks will join in the final agreement.
2. Sent to the Department, to Peiping, Shanghai, Yunnanfu, Tokyo.