“I have a 1913 bond certificate that I keep around for perspective. The bond was issued by the Government of the Chinese Republic: the 5 percent gold loan of 1913 for the Lung-Tsing-U-Hai Railway. The financing was remarkably international for the day. The bond certificate is printed in both French and English. The loan is denominated in British pound sterling. And the bonds were issued in Brussels.
I purchased the bond certificate complete with some associated coupons, payable every six months on January 1 and July 1, from January 1943 to January 1961. No one had ever tried to collect these coupons, because there was no point to the attempt. The loan had been rescheduled to 1/2 percent in 1936, with interest payments rising gradually to 4 percent in 1941 and thereafter. But then the war intervened, and payments ceased altogether. And there was a revolution in China. And somewhere, some small investor who had expectations of an easy life of clipping coupons until the Year 1961 was forced to abandon his vision and return to the drawing boards.
Foreigners who put their faith in China are apt to be disappointed.” – J. Orlin Grabbe