The_Open_Door_deel1

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He also wanted the general education of the people, through the
creation of a school system which was to reach "beyond our
settlements and embrace the numerous aboriginal population under
our jurisdiction" (58), Another of his ambitious plans was the
establishment of a National Bank.
As Liberia lacked the financial means to finance the expansion
into the interior and the economic development aimed at, the
Roye Administration looked abroad for the necessary means.
Roye's predecessor, President Payne had attempted the same, after
succeeding Warner in 1868 and discovering that the Treasury was
nearly empty. President Roye inherited an empty Treasury. He is
even reported to have loaned money to the Liberian Treasury to
enable the financing of some essential Government services (59).
In these years the effects of the economic recession were clearly
felt by the Liberian Government. The trading activities had
declined as a result of the Ports of Entry Law which had resulted
in substantial losses for the Liberian Treasury - the Government
being dependent on international trade for most of its revenue.
In 1871 a £ 100,000 loan (approximately $ 500,000) was obtained
by Liberia from a British bank of which the Consul-General for
Liberia in Great-Britain, David Chinery, was an agent. The
negotiations were conducted by two Liberian representatives of
President Roye, his Secretary of the Interior and the Speaker of
the House of Representatives. President Roye was in London at the
same time to settle the boundary dispute with the British over
the Galinhas territory. He agreed with the severe terms of the
loan. Thus, he pledged'Liberia's future customs revenues to
guarantee the repayment of the loan. He also accepted that large
deductions were made from the loan before it was given to
Liberia. The loan was placed at a rate of 70 per cent, had to be
repaid within 15 years, and carried an interest rate of 7 per
cent per year. Further, an advancement consisting of three years
interest payment was withheld by the British.
The deductions and unfavourable loan conditions were among the
chief reasons why not more than £ 20,000 (f 100,000) of this
loan eventually reached Liberia. According to some authors only
an amount of £ 8,000 ($ 40,000) found its way into the Liberian
Treasury (60).
When the terms of the loan became known in Monrovia a wave of
protests emerged. At the same time another issue had upset the
Americo-Liberian community in Liberia. President Roye interpreted
a proposed amendment of the Constitution in such a way that he
was allowed to stay in office for another two years. In October
1871 the dispute over this issue and the dissatisfaction with his
handling of the financial affairs of the country resulted in
riots, street fights between supporters of the two rival
political parties, the Republican Party and the True Whig Party,
and the shelling of the President's residence (61). Reportedly,
President Roye himself started the actual fighting by flinging"'
hand grenades to the crowds in the streets of Monrovia (62).
In fact, the underlying cause of the fighting was the "colour-