CANADIAN BANK DEPOSITS
INCREASE SIGNIFICANT OF TRENDS Deposits with Canadian chartered banks to-day are at a new high peak, more than twice what they were as recently as 1942, according to the New York "Herald-Tribune.” There are other siginficant changes in the chartered banks’ position in the first full year of peace as contrasted with 1939. Total assets of the bank group have more than doubled; loans are slightly higher; investments almost three times as great and note circulation has declined 78 per cent. The prediction was made that the first post-war year would bring reduced industrial activity, large scale unemployment and general economic dislocation. This was expected to involve a decline in savings deposits as the Canadian people withdrew savings for their many deferred needs. But continued prosperity and the shortage of goods upset the calculations of the prophets and savings accounts have tended to be higher while Canadians also were subscribing 470,000,000 dollars to the new Canada savings bonds. • The drop in bank note circulation is caused by the action of the Bank of Canada in taking over the note issue which began on a graduated scale in 1935. By 1950 the issue will have disappeared. RESERVE BANK RETURN (P.A.) WELLINGTON, January 21. The Reserve Bank of New Zealand’s return as at the close of business on January 15, 1947 (with the previous week’s figures in parenthesis), is:— Liabilities.—General reserve fund, £1.500.000 (same); bank notes, £48.555.076 (£49.227,313). Demand liabilities: State, £13,704,241 (£12,812,038); banks. £61,683,588 (£58,573,184); other, £507,029 (£377,467); liabilities in currencies other than New Zealand currency, £10,116 (£14,863); other liabilities. £3.364,672 (£3.364,672). Total, £ (N.Z.) 129,324,721 (£125,869,697). Assets.—Gold reserve, £2,801,878 (same); sterling exchange (New Zealand currency), £92.755.086 (£91.674.983); subsidiary coin, £77,759 (£78,037). Advances: to State Marketing organisations, £1,830,169 (nil); for other purposes, £26,535,814 (£26,829,160); investments. £3,948,017 (same); other assets, £1,321,000 (£537,624). Total, £ (N.Z. >129.324.721 (£125,869,697). Proportion of reserve to notes and other demand liabilities, 76.775 per cent. (78.074 per cent.).
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Bibliographic details
Press, Volume LXXXIII, Issue 25089, 22 January 1947, Page 8
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321CANADIAN BANK DEPOSITS Press, Volume LXXXIII, Issue 25089, 22 January 1947, Page 8
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