Kentucky Gazette

TENNESSEE.

The following extract from Gov. McMinn's speech, delivered to the legislature convened at Murfreesborough, on the 17th inst., affords the most flattering prospects of the New Bank of Tennessee. We were, in some degree, encouraged to adopt our bank from what that state had done; if we succeed as well, of which there can be no doubt, all parties in this state will be pleased—East Tennessee has never been a commercial country—the distresses were confined to the west end of the state, so that the amount issued in bank notes has not been as great as that of Kentucky!

"The actual cash capital of the bank of the state of Tennessee, is at present, two hundred thousand dollars and there is due to it from the purchasers of public lands, four hundred and fifty thousand dollars, including an item of eighty-five thousand dollars, which has been due for some years, and has been drawing an interest of six per cent. To these may be added the sum of twenty thousand dollars paid into the Knoxville bank for stock owned by the state;—making an aggregate of six hundred and seventy thousand dollars, which admits of a regular and certain increase from ordinary revenue, and from the sale of public lands yet to be made in the Hiwassee district. Independent of the vacant land still unsold in that section of country, an unappropriated residuum of twelve millions of acres, in other parts of the state, east of the Congressional reservation line remains virtually pledged to a redemption of all the issues of the bank, in such manner as you may from time to time, direct.

"Aided by all these means of substantial capital, and under the operation a wise and cautious policy in the management of its affairs, the beneficial influence of the bank has, to a limited extent, been already seen and acknowledged in every part of the state, and the credit of its paper been sustained, upon a scale equalling the expectations of its earliest supporters, and calculated to quiet the apprehensions of many who were honestly fearful of the result, in any application of principles, which in their view wanted all that force and authority which can seldom be acquired but by the test of practical experiment. 'Tis true that the paper of this bank does, in common with the paper of every other bank in the western states, hold an estimated value below the standard of gold and silver, or the paper of banks in the eastern cities, and this difference will never be found to exist in some degree amongst those who deal in foreign fabrics. But happily for the growing prosperity of the country the influence of these dealers is passing away, the demand for foreign goods is daily diminishing: the difference in exchange has within a few weeks fallen more than one third even among the money dealers and its effects are sensibly felt by none but those who purchase articles of fancy which are generally of no substantial value. whilst the economical planter who lives as he ought upon the product of his own farm and limits his purchases to the legitimate objects of domestic expenditure, will find in the paper of this bank a medium of exchange suited to the nature of all his wants."