RESERVE BANK RETURN

Southland Times, Issue 24242, 27 September 1940, Page 2

RESERVE BANK RETURN

DROP IN STERLING EXCHANGE RISE IN NOTE ISSUE (Special to The Times) WELLINGTON, September 26. The Reserve Bank return for the week ended Monday, September 23, shows a balancing total £11,325 greater than at the close of the previous week, bringing the increase for two weeks to £1,006,161. After a rise in the sterling exchange holding last week, this week's total is £115,184 lower. Liabilities in currencies other than New Zealand were unusually high last week at £634,609, but in this week’s return they have fallen to £12,510. The note issue shows another increase of £70.751, the latest total being £20,099,248. State deposits are lower by - 496,549, but deposits by the trading banks are higher by £896,359.

The return, with variations compared with the previous week, is as follows;—

Proportion of reserve to notes and other demand liabilities. 31.651 per cent. (30.776 per cent, last week).

LIABILITIES £ Variations £ General reserve 1,500,000 same Bank notes 20,099,248 + 70,751 Demand liabilitiesstate 5,038,860 —496,549 Banks 15.412,657 4-896,359 Other 177,955 4-18,033 Other currencies 12,510 —622,099 Other liabilities 977,748 4-144,830 TOTAL 43,218,978 4-11,325 ASSETS £ Variations £ Reserve— Gold 2,801,852 same Sterling exchange 10,101,854 —115,184 Subsidiary coin 118,588 4-5,016 Advances— Marketing Dept. 3,034,082 —213,706 Other 24.040,000 same Investments 2,553,220 same Other assets ' 569,382 4-335,199 TOTAL 43,218,978 + 11,325