But these receipts are far from being any criterion of the actual amount of work done. They exclude all that was done on Government account. Up till 1903 all passengers, goods, and messages on behalf of Government were carried free of charge. But it was found that this system tended to extravagance. A department, for example, wishing to buy dhurra for Khartoum, was apt to buy it at Dongola, possibly at a cheaper rate, and have it brought by rail for nothing, rather than buy it locally and disburse something for the cost of local camel or mule transport. This was good business for the department, which had only a certain credit allotted to it, but waste from the point of view of the railway, by which the cost of transport was borne. Now each department is charged in the books of the railway or post-office for all services actually rendered. The change is, of course, only one of book-keeping, but it is a good instance of the way in which good book-keeping works towards economy. With this alteration the working of the profit-earning departments makes a much better appearance. The estimates for 1903 are: _Receipts._ _Expenditure._ £E. £E. Railways 143,970 143,777 Post and telegraphs 24,428 34,800 Steamers and boats 69,028 86,223 The maintenance of the army in the Soudan is the item most affected by this alteration. The sum to be paid to the Egyptian War Department is set down at £E193,658 for 1903 as against £E122,548 for 1902. The Steamers and Boats Department has been too recently organized for an opinion to be formed upon its working, but the Railways are soundly and economically managed. The increase of traffic has made it possible to reduce the ratio of working expenses, though the high price of fuel is still a great obstacle. Besides the ordinary expenditure there has also been a good deal of capital expenditure, which was very necessary considering the haste with which the line was laid down as a purely military railway. These sums are: In 1899, a special credit of £E390,000 for the completion of the line from the Atbara to Khartoum; in 1900, a special credit of £E15,000 for culverts and bridges on the same portion of the line, and a loan of £E55,000 for general development and purchase of rolling-stock; and in 1902-1903, a loan of £E528,000 (spread over five years) for the same purposes; and a special advance of £10,000 for the survey of the proposed Suakin-Berber line. All these sums, together with an advance of £E31,000 for the improvement of the harbour at Suakin, have been found by Egypt. The Soudan pays 2½ per cent. on the loans.