BRITAIN'S BUOYANT FINANCE.

Gisborne Times, Volume XLVIII, Issue 4459, 29 January 1917, Page 5

BRITAIN'S BUOYANT FINANCE.

OVER-FLOWING WITH MONET,

REMARKABLE FIGURES QUOTED

United Press Association—Copyright. (Australian and N.Z. Cable Assn.)” / (Received Jan. 28. 5.5 p.m.) < LONDON. Jan. 28. Speaking at a meeting'of the London City and Midland Bank Sir Edward Holden (Chau man c-f the Bank), said the country was over-flow-ing with money. The credit of the Bank of England bet 're the war was £4J,00j,000, and tins hod increased to £115,000,000 by the end or 1016. It was essential that all holders of Treasury Bills should convert at least half into the war loan. Tins would mean -that £500.000.000' of Treasury Bjils would rot became payable and wa; oquivd-nt to subscribing new money. Large profits Kero being made in consequence of the high price of commodities and much of these profit?: could bo used in the purchase or 1 roasurv Bub. 'i hese largo sums would not be "C-quired after tho war. when it- would be impossible to find _ remunerative 'rnployment for the hanks’ large holdings and deposit?:. 'Chen the money would flow rut of the hanks and go into sc-euritif.c, which would rise in price. He said the German note issue totalled £BO3, 000,000, and the British had issued £165,000,000. Germany’s percentage of gold was 15.7 and ours was 22. During the war we had sent to America £215.000,000 in gold. The American banking sy-tc-rn required a fixed reserve cf 15 per cent to cover jeans and on Hint basis- we were entitled to a loan of £1.400,000,UK- or which tho Allies had received £4.50.000.000.