[Extracts from the Report of 1896.] 



"The experience gained has convinced me of the great benefit 

 that an agricultural bank would be to the smaller cultivators. The 

 experiment made this year has not only been a great boon to the 

 villages where the advances were made, but has had the effect of 



O ' 



making the money-lenders in the neighbourhood reduce their rates 

 of interest considerably, and has opened the eyes of the fellaheen 

 to the possibility of money being procured at more moderate rates." 



On the whole, I think it may be said that the experiment has 

 proved successful, but I must repeat that it is quite impossible for 

 the Government to undertake operations of this sort on a large 

 scale. It remains to be seen whether any private bank or banks 

 will take the matter up. I hardly feel sanguine that they will do so. 



I may mention in connection with this subject that during the 

 year 1896, 8,450 ardebs (an ardeb = 267 Ibs.) of specially selected 

 seed was sold to the cultivators by the Government at P.T.* 58 an 

 ardeb. The purchase-money was made payable in three equal instal- 



9 



ments spread over the last quarter of the year. Money-lenders 

 were at the same time advancing inferior seed at from P.T. 70 to 

 100 an ardeb, payable at the time of crop. 



It is worthy of consideration whether the system of Government 

 advances of seed should not receive some further extension. 



* 1 P, T 4 (Piastra Traffic) 



