Colonial Despatches

I have had the honor of receiving Your Grace's Despatch No 137 of the 16th August last, alluding to the circumstances under which I had been compelled to resort to the expedient of issuing promissory notes, andtrusting trusting that with the aid of the authorized loan I should be enabled to withdraw such notes from circulation.

2. I have much pleasure in informing Your Grace that by the issue of these Notes no inconvenience or embarrassment was occasioned to this Government. The temporary purpose they were designed to answer was attained. The notes were taken freely in the upper Country, and indeed were sought after by Traders and others who desired to remit; and as inno no single instance was there a failure in prompt payment upon presentation, the public credit was inviolably sustained.

3. I have managed to withdraw nearly the whole of the notes from circulation; about One Hundred Pounds worth only now remaining unpaid, and these I hope to redeem before the close of the year.

4. I trust, therefore, notwithstanding that upon general principles the expedient of the issue of these notes may be deemed questionable, that Your Grace will feel satisfied that by the proceedingno no injury has been done to the credit of the Colony, and that I did not resort to the measure without guarding it in every way that the means at my command would permit against evil consequences.