THE AUSTRO-HUNGARIAN BANKS.

Gisborne Times, Volume XLIX, Issue 4900, 20 June 1918, Page 6

THE AUSTRO-HUNGARIAN BANKS.

LIGHT ON ITS ACTIVITIES

In the February issue of the Czech Review, of Prague, .K. Karesek throws interesting light upon the activities of the Austro-Hungarian State Bank during the war. In the introduction, he says that “since the beginning of the war Austria lias not been allowed to write about the exchange, bullion and money market, except in the case of war loans. Only to-day, after three and a half years of war, the curtain has been lifted and the secrets revealed, thanks to tlie pressure of Parliament.” He reveals that by the Imperial decree of August 4, 1914, several articles of the statutes of the bank were either altered or abolished. The worst was the prohibition to reveal the statemerit of the bank’s affairs in publicj including the suspension of weekly bulletins and the holding of general meetings. , . . . . In the bank report, which lias only just been published, the circulation of bank notes and the stock of bills of exchange was as follows Cm millions of kronen): Circulation of bank notes: 2494; 1914, 5,137; 1915, 7,162; 1916, 10,889; 1917, 18,439. - Stocks of bills of exchange: 1913, 926; 1914, 826; 1915, 1 u \ 191 b, 57; 1917, 22. ' , , . , Besides this, lombard loans against securities amounted at the end oi 1917 to 622 million, so that the total of private loans amounts to b 44 millions. The State loan to -both Governments amounted at the end of the year to 19.3 milliards. Tins means that the amount of private loans has fallen to 3 per cent of the estate loans This is the most unfavourable relation of all State banks, and it cannot be excused by the needs of private credits or by the regulation of the money circulation No wonder, that the confidence of the Austnai nublic in the stability off the State Lance has been shaken, *emoio 8_ since the stock of gold m the Austin Hungarian Bank has been reduced from 1241 mililon kronen before t war to 265 million to-day.