But we don't need to worry about B-29s in 1938. That a problem for a later day.
That was fighters sold to Thailand, and were successful against the French in the short war they fought.
A Hawk 75N would be ideal against those ugly Farman and Amiot Bombers
Thai used Hawk 75N as light bombers/ground support and bomber escort rather than interceptor. Actually, the selection of heavy armament in detriment of speed&climb performance make logical sense for Thai, because they expected to fight against enemies with small or no aviation, therefore dual use fighter-(ground attack) aircraft was preferable to interceptor. They did not even ordered retractable undercarriage option - because speed needed to be just matched with their fleet of O2U, Ki-21 and Ki-30 bombers.
The OP for Ruralia (fictional country) has different constrains - for Ruralian airforce the best may be nearly mythical Curtiss Hawk 75 Q with retractable undercarriage (2nd Chinese P-36 demonstrator) - it fits to 1000 HP engine (at the OP limit), and was fitted with unspecified cannon pods in wings. It was considered the flagthip of their fighter fleet.
I do not know which cannons Chinese used. Chinese had 20mm Madsens, but may be they even installed their Solothurn T-6-200 8mm machine guns in pods (no known records and photos)
Also, i also find the following text in Japanese, here the translation:
"Two Type 96 fighters (A5M) were fitted with Oerlikon FF cannons at wing, but the problems with both the gun itself and yawing at takeoff lead to the experiment termination"
Overall, mounting powerful guns in wings of light aircraft is solution asking for problems. Random dispersion increases, aim point shifts, roll-induced and acceleration-induced dispersion and finally yaw instability happens, which is aggravated in tail-wheel configuration - because tail-wheelers already taking off with significant sideslip. For WWII and afterward, basic rule was "accurate air-to-air cannon is fuselage-mounted cannon".
Therefore, may be better not to seriously consider 20mm cannons as interceptor weapon in 1938. Even very successful P-47 fought until end of WWII with 12.7mm machine guns. If some 20mm cannons will fit in cowling, fine. If not, just drop the idea.
More practical pathway of "panic fighter" upgrades may be to gradually add 12.7guns as more sturdy enemy bombers appear, and use unguided rockets at the very end of war. Rockets would be as bad for performance as 20mm guns, but at least rockets can be jettisoned.