LONDON FUNDS.

Waikato Times, Volume 119, Issue 19914, 17 June 1936, Page 9

LONDON FUNDS.

| (To the Editor.) Sin—The annual report of the Board of Directors or the Reserve |Bank states, among other things, l“'l‘hat to regard these funds as lyinisr idle is obviously incorrect in its Ivarious respects.“ we will agree with this unreservedly. The London lfunds are certainly not lying idle, not by any means. They are invested by the banks as gilt-edged investments at overdraft rates. Very handy for the banks! The directors also say: “Moreover. the full equivalent in New Zealand {currency of the London funds has been made available in the form of purchasing power in the hands of the public of this country." It is also very generous of the banks to make available the “full equivalent in New Zealand current-y,” since the previous Government dem‘eciaied that currency by raising the oxrhangc. Thus while the country staggered iunder the withering blast, of the worst slump known, the people were denied the right to use the increased purchasing rpower which the exchange would ,oiherwlse have made available. An ,inJustice we do hope not to see re]peated. since the State now controls the Reserve Bankr—i am, ctc.. KIWI. Hamilton, June 16. ...—......