INDIAN LOAN

Hokitika Guardian, 27 April 1932, Page 5

INDIAN LOAN

OF TEN MILLION'S

gold Exports from country

(British Official Wireless.)

RUGBY, April 25

The prospectus is being issued on Tuesday, and subscriptions closing on Wednesday, for £10,000,000 Government of India 5 per cent, stock, 1942 1967, the price of issue being £95. The money is being raised to provide funds towards the repayment of the £6,000,GOG 6 per cent, bonds falling due in June, and for railway capital expenditure in India and general purposes. This is the first issue of Indian sterling s-.ocU since May, 1931. Since that date, the whole Indian financial' position has shown a radical improvement Unlike .several loatis issued twelve or eighteen months ago this is in no sense a loan of necessity, but is one issued for consolidating the position. Since the gold standard crisis, over £40,000,000 of gold hn.s been remitted from India, and this export has gr’-'at-'v helped to strengthen the rupee exchange and the position of Indian credit. Evidence of improvement P; afforded in the quotations of Government 0 f India stocks in London Notable examples are 4* per cent, sterling stuck 1959/55, which in September was £6l, is now £B9, and 51- per cent. 1936/38 which have risen in the sn. ,ne interval from £BO to above par.