RESERVE BANK RETURN

Press, Volume XCVII, Issue 28573, 30 April 1958, Page 17

RESERVE BANK RETURN

Fall In Sterling Exchange The sterling exchange holdings of the Reserve Bank have varied considerably over the last three weeks, according to the latest returns issued by the bank. The bank has this week issued its last three returns, those for the weeks ended April 2,9, and 16. In the week to April 2 the holdings of sterling exchange fell more than £0.92m to £ 13.92 m. In the following week, the figure recovered to £ 14.04 m, then lapsed back to £ 13.57 m in the week ended April 16, making a total fall of £ 1.28 m in the three weeks under review. The bank’s sterling investments remained at £ 13.57 m, at which figure.they have been steady since January 29. The Reserve Bank’s liability to the State was decreased considerably in the three weeks period, from £ 44.69 m to £ 15.94 m. Most of this £ 28.75 m fall came in the first week, that ending April .2, when a reduction of £ 25.20 m was effected. The bank’s investments in New Zealand dropped nearly £l6m in the week ended April 2, but have remained stable since then. In the same period, advances to the State have fallen nearly £sm. Main items from the latest week’s return, with the April 16 figures, are:—

Liabilitie s Apr. 16 £000 Mar. 26 £000 Bank notes 77,311 77,020 Demand Liabilities — 15,943 44,685 State Marketing 910 784 Trading banks 41.354 38,369 Other 1,356 748 Assets Reserves— 6,162 Gold 6,162 Sterling exchange 13,569 14,845 Other exchange .. 646 865 Investments— 13.569 13.569 Overseas .. In N.Z 14,658 30,455 Advances— 50.041 55,000 State Market, org’ns. .. 47,731 49,618 Other .. — — Other assets .. 1,057 1,464