TRADING BANKS

New Zealand Herald, Volume LXXVII, Issue 23718, 26 July 1940, Page 10

TRADING BANKS

JUNE STATEMENTS HIGH LEVEL OF DEPOSITS [by telegraph'—OWN correspondent] WELLINGTON, Thursday Tho monthly statement of assets and liabilities of the six trading banks at the close of business on Monday, June 24, was gazetted to-night. A comparison of the principal items, with the corresponding figures in the return at May 27 is as follows: June May £ £ Circulation .. 14,000,115 14,100,206 Free deposits .. 40,112,506 48,071,258 Fixed doposits .. 31,387,481 31,815,477 Advances . .. 47,450,600 40,550,304 London assets .. 13,845,320 12,843,205 The principal movements since the last return are a further rise of £'532,909 in note circulation and of £1,002,124 in London assets. Free deposits are higher by £1,041,338, but there has been a reductioii of £427,996 in fixed deposits. Advances, which have shown a slight rising tendency during the past few months, have fallen by £2,099,704. . Notes In Circulation Notes of the Reserve Bank held as till money on June 24 wore valued at £3,917,758, compared with £3,785,052 a month before. The issue at the end of June was £18,616,873, making the active circulation £14,699,115. The issue and circulation at the end of June in the past four years have been: — Issue Circulation June £ 1(137 .. .. 12,030,838 8,058,b.>0 1038 ' .. 13,774,724 9,524,720 1930 . .. 15,467,281 11,031,480 1910 .. .. 18.016,873 14,009,115 Free deposits, or current account balances, at £49,112,596, compare with £37,276,032 at the corresponding date last year, an increase of £11,836,564. Fixed deposits also are higher at £31,387,481, an increase of £1,961,097 over the total of £29,52(3,384 at the end of June, 1939. The total of the two, £80,500,077, is a further advance on last month's figure which itself was a record since returns in the present l'onn were first issued. Advances, totalling £47,456,600, are smaller than in any June since 1936. The excess of deposits, £33,043,477, is the largest for the month since the present returns began. Advances and Deposits The position at the end of June' in the past five years is shown in the following table: — Excess of Deposits Advances Deposits June £ £ 1030 . . 00,872,114 45,077,010 21,705,425 1937 .. 09,000,502 47.710,899 21,289,003 103S .. 00,170,710 54,885,803 11,284,007 1039 .. 00,702,410 55,090,252 11,012,104 1910 .. 50,500,077 47,450,000 33,013,4/7 Fluctuations in the value of assets held abroad on account of New Zealand business in the June returns since 1936 have bpen as follows: — London Elsewhere Total June -L' 1030 .. 17,310,050 5,000,334 23,216,003 1937 .. 12,174,139 5,027,435 17,201,574 1038 .. 8,308,709 3,051,151 11,302,950 1039 .. 4,008,955 1,407,107 0,130,062 1040 .. 13,815,320 1,710,005 15,556,324

Overseas liabilities on New Zealand account totalled £2.983,918, against £3,021,531 at the end of May. Subsidiary coin in the banks at June 24 was valued at £710,409, compared with £722,757 in the May return. The banks also held gold valued at £3lo at the end of June.