GIPE-PUNE-OIIOI2 - DSpace@GIPE

52 THE RE-MAKING OF THE REICHSBANK
Bank of England published the following' weekly state­
. ment about its notes and cover: 8
Notes (Liabilities) :
1. In. circulation
2. In the Banking Department ...
Total
Cover (Assets):
I. Fiduciary (i.e., not gold)
1. Government Debt
2. Other Government Securities
3. Other Securities
4. Silver Coin
II. Gold
1. Coins
2. Bullion
£367,001,148
£52,087,797
£419,088,945
£260,000,000
£11,015,100
£233,568,550
£ 10,176,193
£5,240,157
£159,088,945
8 Leduc: La Reforme Monetaire Anglaise in Revue d'Economic
Politique (Paris) for Nov.-Dec.;. 1928.
That" greater elasticity" has hardly
been introduced by the new Act is m.aintained by Keynes in his article
on "The. Amalgamation of the aritish Note-Issues" in the Econo":'ic
journal. London. for June, 1928.
On April 29, 1931 the Bank of England
returns gave the following figures: Notes (in circulation and Banking Dept.).
£406,279,564; Gold-cover, £146.179,564. The proportion of cover to issue
·was therefore 35.9 per cent.
Since the suspension of the . Gold Standard in
September 1931 the proportion has been coming down. Thus on April 27.
1931 the corresponding figures were £395,815,666. £120,815,666. and 30.5
per cent ..
c
Since ~ugust 1. 1931 an inc~ease of £15;000,000 in the fiduciary issue
has been authorized fo; the legally maximum period of two years (in
accordance with sect. 8 of the Act of
May 1932 (Washington 1932). p. 323.
1928).-Federal Reaerve Bulletin,