STERLING AREA’S RESERVES

Press, Volume XCIII, Issue 27987, 6 June 1956, Page 13

STERLING AREA’S RESERVES

Fifth Successive Rise Last Month

(Rec. 8 p.m.) LONDON, June 4. The sterling area’s gold and dollar reserves, a pointer to Britain’s economic health, rose by 41 million dollars in May, the Treasury announced in London today.

It is the fifth successive month that the reserves have risen after a long series of setbacks in 1955.

The total stood at 2369 million dollars on May 31. The Treasury announcement said that provisional figures for May shewed that the United Kingdom had a surplus of £8,000.000, with the European Payments Union, clearing house for European trade.

Defence aid estimated at three mil-, lion dollars was received from the United States during the month. The May increase brought the total rise in the reserves in the first five months of this year to the “moderately satisfactory” figure of 249 million dollars, a Treasury spokesman said.

In the same period last year, the increase was 76 million dollars.

May’s surplus, however, showed a decline of 10 million dollars compared with April and the Treasury spokesman said a complete explanation for the fall could not be found.