The report for 1894 shows the colony still progressing rapidly, the trade of it amounting in value to £1,663,173 19s. 9d., of which £812,830 8s. 10d. represented the imports, and £850,343 10s. 11d. the exports. The expenditure showed a large increase as compared with previous years. It amounted to £226,931 19s. 4d., being £8,670 13s. 7d. in excess of the revenue for the year, and £47,997 7s. 11d. more than in 1893. The principal items of increase were public works, upon which the sum of £54,163 0s. 3d. was spent, and the expedition in defence of the protected district of Attabubu against an Ashanti invasion, which cost £10,778 11s. The Gold Coast assets on 31st of December, 1894, stood at £166,944 8s. 7d.[68] Then came the last Ashanti war, regarding which I beg to refer you to Dr. Freeman’s book.[69] No one can deny that he has both experience and intelligence enough to justify him in offering his opinion on the matter. I entirely accept his statements from my knowledge of native affairs elsewhere in West Africa. Anyhow, the last Ashanti war absorbed a good deal of the assets of the Gold Coast. There is no published authority to cite, but I do not think there is an asset now standing to the credit of the Gold Coast Colony, unless it be a loan.

The income for the Gold Coast Colony in 1896 was £237,460 6s. 7d., the expenditure £282,277 15s. 9d. The exports £792,111, against £877,804 in 1895; but the imports were £910,000, against £981,537. Since 1896 the Customs dues have risen; but, per contra, the expenditure has also risen, in consequence of the expenses arising from the occupation of Ashanti, and the Gold Coast railway. The occupation of Ashanti and the railway must be looked on in the light of investments—investments that will be profitable or unprofitable, according to their administration, which one must trust will be careful, for they are both things you cannot just dump your money down on and be done with, for the up-keep expenses of both are necessarily large.

The subject of West African railways is one that all who are interested in the future of our possessions there should study most carefully, for two main reasons. Firstly, that there is possibly no other way in which money can be spent so unprofitably and extensively as on railways in such a region. Secondly, because railways are in several districts there—districts with no water carriage possibilities—simply essential to the expansion of trade. In other words, if you make your railway through the right district, in the right way, it is a thing worth having, a sound investment. If you do not, it is a thing you are better without; not an investment, but an extravagance. The cost of its construction must fall on the colony, alike in money and the distraction, from ordinary trade, of the local labour supply. In both countries the cost of a railway out there is necessarily great. I hastily beg to observe I am not aiming at a rivalry with Martin Tupper in saying this, but am only driven to it by so many people in their haste saying “Oh, for goodness gracious sake! let the Government make a railway anywhere; it’s done little enough for us, and any railway is better than none.”

There has been considerable difficulty over the Gold Coast Railway already, though it is only just now entering on the phase of actual existence. Surveys have been made for it in all directions. Surveys are expensive things out there. But the general idea the Government gave the Chambers of Commerce was that, at any rate, this railway was to run up into Ashanti, and be a great general trade artery for the Colony. The other day Manchester found out, quite unexpected like, that the Government whose affections Commerce had regarded as safely and properly set on the hinterland trade was off, if you please, flirting round the corner with a group of gold mines at Tarquah, and intended, nay, was even then proceeding with the undertaking of running the one and only Gold Coast railway just up to Tarquah, and no further, until this section paid. Manchester, very properly shocked at this fickleness in the Government and its heartless abandonment of the hinterland trade, said things, interesting and excited things, in its Guardian; but, beyond illustrating the truth of the old adage that it’s “well to be off with the old love before you are on with the new,” things of no avail.

This Tarquah railway is estimated to cost £5,000 per mile. It is to be financed by a loan, raised by the Crown Colony Agents, of £250,000. We have ample reason to believe that this £5,000 per mile will not represent one-third of its final cost from demonstrations by the Uganda, Congo Belge, and Senegal railways; more particularly are we so assured from the knowledge that the railway’s construction will be in the hands of nominees of the Crown Agents, whose method of arranging for the construction of these railways is curious. They do not invite tenders for material or freight in the open market, and they do not give the taxed people in the country itself any opportunity for contracting for the supply of as much local material as possible—things it would be alike fair and business-like to do. Exceedingly curious, moreover, is the fact that the nominees of the Crown Agents’ employers are not subject to the control of the local governmental authorities on the Coast, their sole connection with the affair apparently being confined to the passing of ordinances, as per instruction from the Colonial Office, authorising loans for the payment of the debt incurred by making the railway.

There is no doubt that any Gold Coast railway which is ever to pay even for its coal must run through a rich bit of the local gold reefs. Similarly, there is no doubt that the gold mines of the Gold Coast have been terribly kept back by lack of transport facilities for the machinery necessary to work them; but there is, nevertheless, evidently much that is unsound in the present railway scheme. If the charge for it, as some suggest, were to be thrown on the gold mines, it would be as heavy a charge as the old bad transport was, and they would be no less hampered. If, as is most likely, the charge for the railway be thrown on the general finance of the colony, it will be a drain on other forms of trade, without in any way improving them; in fact, during its construction, it will absorb labour from the general trade—oil, rubber, and timber—and, if it extensively increases the gold-mining industry, it will keep the labour tied to it chronically, to the disadvantage of other trades.

Lagos, our next Crown Colony, is a very rich possession, and under Sir Alfred Moloney, who discovered the use of the Kicksia Africana as a rubber tree, and Sir Gilbert Carter, who fostered the industry and opened the trade roads, sprang in a few years into a phenomenal prosperity. Then came the French aggression on its hinterland, the seizing of Nikki, which was one of those foci of trade routes, though possibly, as many have said, a non-fertile bit of country in itself. To give you some idea of the bound up in prosperity made by Lagos, the exports in 1892 were £577,083; in 1895, £985,595. The main advance has been in rubber, which in 1896 was exported from Lagos to the value of £347,721. Early in this year, however, the state of the Lagos trade was considered so unsatisfactory that a local commission to inquire into the causes of this state of affairs was appointed.

The publication of the Government Trade Returns for 1897 supported the long grumble that had been going on about the bad state of trade in Lagos, the imports for 1897 showing a decrease on those of 1895 by £67,474. The Board of Trade Journal, quoting from the Lagos Weekly Record of February 28th, 1898, says, “An examination of the export returns affords a clue to the direction of such decrease. It is to be noted that notwithstanding that the export of rubber in 1897 shows an excess of £13,367 above that exported in 1895, yet in the aggregate of the total exports of the two years that of 1897 shows a decrease of £193,745; this is due to the great falling off which is perceptible in the palm oil and kernel trade, which together show a decrease in 1897 of £162,580 as compared with the quantities exported in 1895; while as compared with the exports in 1896 the decrease amounts to £114,773. The returns show a steady and increasing decline in the exports of these products, for while the decrease in 1896 as compared with 1895 was only £47,807, the decrease had risen in 1897 as compared with the previous year to £114,773, as already intimated, which implies that there has been a further falling off of the trade to the extent of nearly £67,000. This manifest excessive diminution in what must be regarded as the staple commodities of the trade is undoubtedly a serious indication, for though these commodities come under the classification of jungle products they are not liable to exhaustion as are the rubber or timber industries, and hence they form the only reliable commodities upon which the trade must expand. The dislocation of the labour system in the hinterland is no doubt responsible in a large measure for the falling off in the yield of these products, while in many instances they have been abandoned for the more remunerative rubber business. But, be the circumstances what they may, it is evident that there has been an actual decrease of trade to the extent of over £114,000.”

This was the state of affairs the local committee was appointed to deal with. Its discussions were long and careful. I will not attempt to drag you through its final report, which a grossly ungrateful public in Lagos sniffed at because it merely seemed carefully to reproduce every one’s opinion on the causes of the falling off of trade and to agree with it solemnly; but, like the rest of the local world, it made no sweeping suggestion of means whereby things could be altered. Since the committee, however, was formed, there has been a greater interest taken in expenditure, healthy in its way, but too often ignoring the fact, that it is not so much the amount of money that is spent governmentally that constitutes waste, but the things on which it is expended. Large sums have been spent in Lagos, I am informed, on building a Government House that every valuable Governor ought to be paid to keep out of, so unhealthy is its situation, and again on bridging a lagoon that has no particular sound bottom to it worth mentioning.