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■uitablo agrcomont bo made with somo roliablo firm of contractors, and that the money should
bo paid direct to the firm in adjustment of their accounts. This, we infer from Mona. Naua's
noto of the 19th August, would bo acceptable to tho Persian Government.
8. Wo assumo that His Majesty's Government will bo prepared to 6haro equally with
tho Indian Government tho liability on account of tho capital and intoreat on tho loan, and
our agreement to provido a portion of the funds is subject to that condition. Wbothor or
not it should form a part of the loan of £500,000 which has formed the subject of negotiation
botween tho British and Porsian Governments during tho past eighteen montlis, and of which
a sum of £300,000 has already been advanced, docs not appear to us to bo a matter of groat
importance. We think, however, that, as tho purpose for which the loan is to bo mado is
different, and as tho security on whioh it will be granted is distinct, it will be preferable that
the present advance should bo regarded as a separate transaction from that rotating to tbe loan
required for general purposes.”