Partly from this cause, and partly from others, there are whole districts in England which cannot and do not employ their own money. The maintenance of the Indian system depends on their ability to fulfil this double obligation to whatever extent may be required of them. But the details given on p.
To put it more simply–credit is a set of promises to pay; will those promises be kept? Especially in banking, where the ‘liabilities,’ or promises to pay, are so large, and the time at which to pay them, if exacted, is so short, an instant capacity to meet engagements is the cardinal excellence. The ‘fund-holder’ is always considered in the books of that time as opposed to his ‘legitimate’ sovereign, because it was to be feared that this sovereign would repudiate the debt which was raised by those who dethroned him, and which was spent in resisting him and his allies. A country dependent mainly on great ‘merchant princes’ will never be so prompt; their commerce perpetually slips more and more into a commerce of routine.