RESERVE BANK RETURN

Poverty Bay Herald, Volume LXVI, Issue 19886, 13 March 1939, Page 4

RESERVE BANK RETURN

STERLING £133,600 LOWER HIGHER STATE DEPOSITS INCREASE OF £1,957,000 The reserve Bank return for the week ended Monday, March 6, has been gazetted. The statement is balanced at £31,683,096, or £399,416 more thr.'.i the figure in the return for the previous week. A decrease of £ 133,658 is shown in the value of the sterling exchange reserve compared with the level on the previous Monday. The ratio of the reserve to demand liabilities has fallen to 25.017. Government deposits are £1,986,793 higher, and those of the trading banks £1,907,066 lower. Both movements can be associated with the fact that March 1 was the last date for the payment of income tax without penalty. The note issue has decreased by £95,534. Advances to the Primary Produce Marketing 'Department are £429,124 higher, and those for other purposes have fallen by £75,000. Discounting business has been resumed, there being an item of £150,000 for bills in hand. The principal items in last week's return are compared with those at tha corresponding date last year in the following table:— (000's omitted)

1939 1938 Variation £ +1,216 Notes £ 14,810 £ 13,594 Deposits— State .. Banks .. Exchange . 6,005 8,560 4,706 8,726 5,383 '15,617 —2,721 +3,177 —10.911 Advances — Produce. Other .. Ratio (pc.) 7,300 12,725 25.017 6,178 1.300 66.019 +1,122 +11,425 —41.002