Domestic
The Price of a Royal Government's Debt
A copy of Kingdon's letter to Le Myre de Vilers (property of Alfred Grandidier). Among all the adventurers who tried to profit from the multiple difficulties faced by Prime Minister Rainilaiarivony after the Franco-Malagasy War of 1883-1885, few were as well-known as the Englishman Kingdon, who repeatedly attempted to bring the country under his control, using every opportunity—honest or otherwise—that presented itself. This is how archivist-paleographer Jean Valette introduces "a letter from Kingdon to Le Myre de Vilers" dated January 23, 1895. By the treaty of December 17, 1885, the Prime Minister agreed to pay France a war indemnity of 10 million. Yet he did not know how to raise this sum, "far exceeding the possibilities of the Malagasy Treasury." Kingdon, who arrived in Antananarivo in June 1886, came to his aid. He secured a loan of 20 million francs at 7% interest for Rainilaiarivony. In exchange, he obtained authorization to collect customs duties in six Madagascar ports, the creation of a state bank with power to issue banknotes and mint currency, and the exploitation of gold mines. "This exorbitant agreement effectively handed Malagasy finances to the English and prompted the intervention of Le Myre de Vilers, French resident general, who believed, contrary to the Prime Minister, that this was not purely an internal administrative matter." The resident general thus declared to Rainilaiarivony that he opposed the execution of Kingdon's contract and urged him to take out a loan in France. This was ultimately done through the Comptoir national d'escompte de Paris by an agreement of December 5, 1886. Meanwhile, Kingdon left for England to try to establish a company to implement his contract. However, the French government published a note warning the public that "the conclusion of such a loan would violate the 1885 treaty that had been notified to the powers and that consequently it would not recognize any value in it." Immediately, English financiers withdrew their support from Kingdon. At the same time, Rainilaiarivony nonetheless granted Kingdon a concession of nearly 8,000 km²—almost all of northwestern Madagascar—for sixty years. In doing so, he believed he could thwart French claims to this part of the island by granting it to an Englishman. The concession deed assured great immunities: no taxes or customs duties, and complete freedom to take wood from forests at no cost. Moreover, the concessionaire had "authorization to raise a small military force to maintain order and tranquility in the conceded region." A true "small autonomous state." However, this initially raised no objections from the French, who only reacted in 1890 when Kingdon established his "Madagascar Syndicate," which could not raise capital. "All of Kingdon's Malagasy projects thus collapsed due to French government hostility toward him." He did not cease his interest in the island, however. Thus, in 1891, he introduced a large quantity of Mexican piastres, whose silver content and weight were far inferior to those already circulating in the country. It was difficult to circulate whole coins. But "cut into pieces to serve as divisional currency, they were initially accepted, yielding substantial profits for the author of this scheme, and much discontent later among his victims." Kingdon then wanted to meddle in politics. In early 1892, Rainilaiarivony, having fallen ill, designated his grandson Ralitera to succeed him, thus provoking the resentment of all those he sidelined. His son, Rajoelina, aided by Dr Rajaona, son of Rainandriamampandry, and Ralaikizo, who was close to the queen, hatched a plot to overthrow the new Prime Minister and secured Kingdon's help. By a contract of May 28, 1892, Kingdon agreed to help Rajoelina in exchange for the promise of lands he desired and the exploitation of mining deposits. But Rainilaiarivony did not die. Worse, he learned of the plot. The three Malagasies, arrested on August 9, 1893, were sentenced to death and then exiled to Ambositra. Kingdon, as a foreigner, was simply expelled, "his Malagasy dreams vanished." Pela Ravalitera
Source: L'Express de Madagascar