Deposit and current accounts of Caisse des dpts, &c., including savings banks 15,328,840
In 1821 he entered a banking-house newly established at St Petersburg, but returned two years later to Paris, where he was appointed cashier to the Caisse Hypothecaire.
Lastly, in matters of finance he showed his wisdom: he attacked Necker's "caisse d'escompte," which was to have the whole control of the taxes, as absorbing the Assembly's power of the purse; and he heartily approved of the system of assignats, but with the reservation that they should not be issued to the extent of more than one-half the value of the lands to be sold.
Caisse, a box or chest; cf.
In October 1785 he recoined the gold coinage, and he developed the caisse d'escompte.
This security was the establishment of a Treasury of the Public Debt, known by its French title of Caisse de la Dette, and commonly spoken of simply as the Caisse.
The principle of dividing the revenue of the country between the Caisse, as representing the bondholders, and the government was maintained by the London Convention.
The Caisse was authorized, after payment of the coupons on the debt, to make good out of their balance in hand the difference between the authorized expenditure and the non-assigned revenue.
If a surplus remained to the Caisse after making good such deficit the surplus was to be divided equally between the Caisse and the government; the government to be free to spend its share as it pleased, while the Caisse had to devote its share to the reduction of the debt.
The revenue assigned to the debt charges was paid direct to the Caisse without passing through the ministry of finance.
The assent of the Caisse (as well as that of the sultan) was necessary before any new loan could be issued, and in the course of a few years from its creation this body acquired very extensive powers.
Besides the Caisse there was the Railway Board, which administered the railways, telegraphs and port of Alexandria for the benefit of the bondholders, and the DaIra and Domains commissions, which administered the estates mortgaged to the holders of those loans.
The fund could not be used for any purpose without the consent of the powers, and the money paid into it was invested by the Caisse in Egyptian stock.
Then there was the glaring anomaly of allowing the Conversion Economies to accumulate at compound interest in the hands of the commissioners of the Caisse, instead of using the money for remunerative purposes.
The consent of the Caisse to the raising of a new loan was no longer required.
The Caisse itself remained, but shorn of all political and administrative powers, its functions being strictly limited to receiving the assigned revenues and to ensuring the due payment of the coupon.
Moreover, it was provided that when the Caisse had received from the land tax the amount needed for the service of the debt, the balance of the tax was to be paid direct to the Egyptian treasury.
The Conversion Economies Fund was also placed at the free disposal of the Egyptian government- The General Reserve Fund ceased to exist, but for the better security of the bondholders a reserve fund of Li,8oo,ooo was constituted and left in the hands of the Caisse to be used in the highly improbable event of the land tax being insufficient to meet the debt charges.
Moreover, the Caisse started under the new arrangement with a cash balance of 1,250,000.
The interest of the money lying in the hands of the Caisse goes towards meeting the debt charges and thus reduces the amount needed from the land tax.
These figures do not, however, indicate fully the prosperity of the country, for although the nominal amount of the capital was practically identical in 1883 and 1905, in the latter year the Egyptian government or the Caisse held stock (bought with surplus revenue) to the value of 8,770,000.
The Caisse de la Dette, instituted in May 1876 as a result of the Cave mission, led to international control over a large portion of the revenue.
But though Dual Control was at an end, the Caisse de la Dette remained, and this body was to prove a constant clog on the financial measures of the Egyptian government.
On the advice of Lord Northbrook, who was sent out to Cairo in September 1884 to examine the financial situation, certain revenues which should have been paid into the Caisse for the benefit of the bondholders were paid into the treasury for the ordinary needs of the administration.
Immediately the powers protested against this infraction of the law of liquidation, and the Caisse applied for a writ to the Mixed Tribunals.
The power of the Caisse de la Dette, which had virtually controlled the execution of the international agreements concerning the finances, was swept away, together with almost all the other financial fetters binding Egypt.
The functions of the Caisse were restricted to the receipt of the funds necessary for this service.
Moreover, some 10,000,000, being accumulated surpluses in the hands of the Caisse after meeting the charges of the debt, were handed over to the Egyptian tceasury.
Attached in this same year to the caisse d'escompte, he presented the report of its operations to the national assembly in 1789, and as commissary of the treasury in 1791 he established a system of accounts of unexampled punctuality.