RESERVE RANK.

Manawatu Standard, Volume LX, Issue 280, 25 October 1940, Page 8

RESERVE RANK.

DECREASE IN STERLING EXCHANGE NOTE ISSUE HIGHER. A further decrease of £69,017 has .reduced the Reserve Bank’s sterling ex;cha.nge to £8,820,764. Dairy advances show a slight increase of £54,798. and now stand at £2,847,431. Advances to the State for other purposes jemain unchanged at £25,140.000. The note issue has increased by £151,833, adn now stands at £20,228,632. The statement of assets and liabi.ities of the Reserve Bank of New Zealand as at the close of business on Honda} 7 , October 21, is as follows: — LIABILITIES.

£N.Z.43,738,794 17 8

‘Expressed in N.Z. currency. Proportion of reserve (No. 7 Jess. No. 5) to notes and other demand liabilities, 27.904 per cent., compared with 29.49 per cent, on October 14. The reserve on Alonday totalled .£ll,526,575, compared with £11,672,784 on October 14, a further decrease of £146,209. A year ago the reserve was £8.395,882, and on October 24, 1938,- it totalled £11,098,327 Sterling exchange on Monday amounted to £8,820,764, compared with £8,839,780 on October 14, a decrease of £69,017. Liabilities in currencies other than New Zealand currency on Monday, were £96,041 (an increase of £77,193), thus making the bank’s net overseas assets £8,724,723, compared with £8,870,932 on October 14, a decrease of £146.209. A year ago the net overseas assets were £5,594,043, and on October 24, 1938, they totalled £8,296,536. Advances to the State Marketing Department total £2,847,431, an increase of £54,798. A year ago these advances amounted to £5,784,298. Advances to the State for other purposes than marketing remain unchanged at £25,140,000. A year ao-o those advances totalled £17,325.000, and on October 24, 1938, they amounted to only £6.450,000. _ , Investments at £3,461.329 show an increase of £335,375. Other assets total £575,082, an increase of £100,667. . The note issue totals £20,228,632, an increase of £151,833. A .year ago it was £17,334,539. ... , _ , _ , Demand liabilities to the State total £5,560,740, a decrease of £294,749. r lhe trading banks’ reserve balances at £13,658,427 show a decrease of £798, 281. Other demand liabilities total £1,859.514, an increase of £1,277,080. Other liabilities at, £835,440, show an increase of £3262.

£ s d 1. General reserve fund ... 1,500.000 0 0 2. Bank notes 20,228,632 10 0 3. Demand liabilities — (a) State 5,560,739 16 8 (b) Banks 13,658,427 9 11 (c) Other 1,859,513 'lime deposits — Liabilities in currencies 11 0 4. 5. other than N.Z. currency 96,041 6 2 6. Other liabilities 835,440 3 11 £X.Z.43,738,794 17 8 7. ASSETS. Reserve — £ s d (a) Gold 2,801.852 0 0 (b) Sterling exchange *'8,82U,7b5 18 2 8. (b) Gold exchange — Subsidiary coin 92,426 1 10 9. 10. Discounts— (a) Commercial and agricultural bills ... — (b) Treasury and local body bills — Advances — (a) To the State 'or State undertakings— (1) Marketing Dept. 2.847,431 8 11 (2) For other purposes 25,140,000 0 0 (b) To other public authorities — (c) Other — 11. Investments 3,461,239 8 7 12. 13. Bank buildings — Other assets 575,082 0 2