PROVISION OF BORROWING FACILITIES. 451 



I need hardly add that any such radical legislation as the total 

 abolition of the right of mortgage save with a Government Bank is 

 quite out of the question. 



There remains, however, another remedy which is more worthy 

 of consideration. I do not say it will save the hopelessly improvident 

 cultivator, but it may afford an opportunity to those who are not hope- 

 lessly improvident of saving themselves. 



It would be desirable that some respectable banks should take up 

 the class of business now almost exclusively in the hands of the petty 

 money-lenders. I have reason to believe that they have so far 

 abstained from doing so because the business is very troublesome, and 

 more especially in view of the large staff of agents, required not over 

 lucrative. There can, I think, be no valid objection to the Government 

 acting as pioneer in an enterprise of this sort. Acting on this belief, 

 the Egyptian Government has recently decided to devote E. 10,000* 

 to advances in sums which are in no case to exceed a maximum of 

 10 in the aggregate, or of 2 per feddant. The rate of interest will 

 be 6 per cent. No advances will be made to proprietors of over 5 

 feddans. The formalities to be gone through in order to obtain an 

 advance will be of the simplest description. 



It has been notified that the Government has no intention of 

 embarking upon banking operations on a large scale. They merely 

 wish to make an experiment in a few selected districts. It will depend 

 on the results of this experiment whether at some future time an 

 endeavour is made to come to some arrangement with a private bank 

 with a view to more extended operations. It is impossible to feel 

 very sanguine of success. All that can for the present be said is that 

 the experiment seems worthy of trial. 



* E. 1 = 10s. 6(i. 

 t A Feddan is very nearl ^ = an acre, 



