TRADING BANKS

New Zealand Herald, Volume LXXIV, Issue 22866, 22 October 1937, Page 14

TRADING BANKS

SEPTEMBER RETURNS HIGH ADVANCES LEVEL TOTAL PASSES £50,000,000 \ LONDON ASSETS DOWN £1,100,000 [bv telegraph—OWN correspondent] WELLINGTON, Thursday The monthly statement of assets and liabilities of the six trading banks at the close of business on Monday, September 27, was gazetted to-night. A comparison of the principal items, with the corresponding figures in the return at August 30, is as follows: —■ Sept. Aug. Circulation .. £0,20'>320 £9,119,970 Free deposits .. 32.890,247 33,098,.71*2 Fixed deposits . . ;i:},0.">1,072 33,301,10K Advances . . 50,095,729 49,475,817 London assets .. 8,147,270 9,209,550 Free deposits are some £808,265 lower in level than they were a month previously, while in the same period advances have risen by £1,219,912. A further fall of £1,122,274 has occurred in the value of assets held in London on account of New Zealand business. Notes in Circulation . Notes of the Reserve Bank held as till money at September 27 were valued at £3,732,066. The issue at that date was £12,994,386, making the active circulation £9,262,320. The issue and circulation at the end of September in the past two years have been as follows: — Sept. Issue Circulation 1 !>*{<; .. £11,174,758 ±'7,771,942 :i<):i7 .. 12,994,380 o, 202, 320 Free deposits this year are some £7,220.000 greater than they were in the September return in 1934. The excess ov«r the total in 1935 is £1.000.000 greater. In the throe years since 1934 fixed deposits have decreased by £6.500,000. The levels of the two classes and their totals in the September returns since 1934 are as follows: — Free Fixed Total Sept. £ ± ± 1934 25,771,320 39,580,720 65,358,040 1935 24,035,039 30,750,037 01,385,070 1930 28,934,057 34,485,842 03,420,1!)9 1937 32,890,247 33,051,072 05,941,319 Steep Rise ol Advances Total deposits were not greatly different at the end of September from those in tho corresponding return of 1934, but advances are approxi-| inately £9,000,000 higher this year than they were then. The total, £50,695,729, is substantially the highest in any September return since the figures have been issued in the present form. Actuallv no return for any month since July, 1934, has shown a level of advances equal to that just revealed. Tho total includes discounts amounting to £748,693. The marked increase in September during the past three years is shown by the following table:— Excess of Deposits Advances Deposits CAnf. 1) . .(> 1934* 65,358,010 41,003,073 23,754,907 1 n-> O1 385 070 47,711,493 13,071,183 1930 03.420,499 45.999,813 17,420,080 1<)37 05,041,319 50,G90,729 10,240,090 Fluctuations in the value of assets held in London and elsewhere on account of New Zealand business in the | September returns since 1934 have been I as follows: — London Elsewhere Total 7 751,171 9.129,041 10,880,812 1 35 10 200,520 5 072,475 '->1,879,001 ]:,30 12,890.571 5!785,499 18,070,070 1937 8,147,270 4,225.05).) 12,3<2,3<1 Subsidiary coin in the ha"ks at September 27 was valued at £698,47 D, compared' with £740,063 in the August return. The banks also held gold valued at £lOl2.