BRITAIN'S RESERVES RISE

Chronicle (Levin), 5 October 1949, Page 5

BRITAIN'S RESERVES RISE

( N.Z.P.A, -

—Reuter.

Cripps Reporis Qn Economic Situation

Convriaht.)

Received Wednesday, 10.5 a.pi. LQNDQN, Qct. 4. The Chancellor of the Exchequer, Sir .Stafford Cripps, in ari address to bankers and merchants at a dinper given by the Lord Mayor of Loridon, said that Britain's defipit for the first quarter of 1949 ' was £82,000,000 and for the second quarter £157,000,000, and on the same basis the third quarter's figure was £133,000„000. 'As against that £133,000,000 is set £7,000,000 drawn on Canadian credit and £71,000,000 Economic Co-pperation Administration reim-, bursements and other European Recovery Programme assistance. The total deficit is thus reduced to £55,000,000, the amount by which ' our reserves fell during the third quarter. That compares with £65,000,000 in the second quarter. j The resultant figures of our re- ' serves at the old parity was £251,000,000 compared to £406,000,000 at the end of June. "O'n September 18, when the exchange rate was altered, our reserves stood at £330,000,000. Then in the twelve days ta the end of the quarter they went up about £20,000,000 as a result of money ' Teaching* this country after the alteration of the exchange rate." Sir Stafford described his speech as "an interim account of the country's economic and financial position."