NOTES ON BUAZIL. 



581 



Subscriber, or Actionista, was bound to advance, whenever it should be 

 required, the sum placed opposite to his name. This was done with a 

 view principally of circulating Paper payable on demand, and with the 

 capital thus raised discounting Bills payable after date* Of the profit 

 thus acquired five-sixths were to be divided among the Actionistas, at the 

 close of every year, and the remaining one-sixth to be retained, as a 

 permanent capital, upon which future dividends should be paid, in 

 proportion to the profit of the concern. The Bank ultimately became 

 the agent of Government for receiving taxes, and thus, as well as by 

 private speculation, was furnished with the means of drawing upon 

 distant places, and charged for the transaction a premium upon its bills, 

 proportioned to the demand for them. As they were payable after sight, 

 they left to the drawers a very handsome profit, even when taken at 

 par, and greatly promoted the facility of speculation, and the general 

 interests of commerce. 



In the year 1814 the number of Actions was augmented, and the 

 company was, in a great measure, secured from loss by obtaining the 

 privileges of a Royal Fazenda, which answer, in some measure, to 

 those possessed by our Exchequer, and had a preference given to it in 

 demands upon the effects of insolvent debtors. With these advantages 

 it payed, in February, 1815, to the old proprietors, 11.60 per cent, 

 beside their share of the reserve fund ; to the new proprietors, Avho 

 had no share in such fund, 11,35 per cent. In 1816, the dividends 

 amounted, upon all the shares, to 16.45 per cent, besides the reserve 

 of one-sixth part; and in 1817, it reached 22.75, under the same 

 circumstances, with every reasonable prospect of a continued advance. 

 Yet when the dividend, for 1818, was paid, it amounted to no more 

 than 17.85 per cent ; and, in consequence, the privileges of the Bank 

 were enlarged. Such instances of the value of capital and credit, as 

 they were afforded from year to year, exerted a very material influence 

 over the ideas of commercial men, and the nature of their speculations : 

 it highly stimulated every branch of commerce. Yet there were still 

 no bills drawn by the out-ports upon Rio, nor from Rio upon other 



