As to the proportion of these deposits which were held for long periods
there is no accurate information. The Chartered and Eastern Banks
are alone in distinguishing in their balance sheets between fixed
deposits and current accounts. In 1912 the Chartered Bank held £m10½
on current account, etc., and £m7½ on fixed deposit; the Eastern
Bank £m½ on current account and £m1½ on fixed deposit.[109]
More than half of the deposits of the Banks as a whole are probably
held on current account or at short notice. If we are to make a
guess, the Banks may have held in 1910 about £13,000,000 on current
account outside India; but by no means all of this (in the case of the
Chartered and National Banks especially) would be held in London. The
question of the amount of the London assets of the Banks does not lend
itself to statistical summary. But I do not think that there is the
least reason for supposing that the position is not a strong one.
19. The principles which underlie the preceding analysis may be
illustrated by reference to a hypothetical balance sheet, simplified,
but less simplified than those commonly published.
£m. │ £m.
(i.) Capital and │ (vii.) Loans and Advances
Reserve Fund 1½ │ in London 3
│
(ii.) Fixed Deposits │ (viii.) Loans and Advances
in London 3½ │ in India 3
│
(iii.) Current Accounts │ (ix.) Trade Bills on London
in London 2½ │ negotiated in India 6½
│
(iv.) Fixed Deposits │ (x.) Trade Bills on India
in India 2 │ negotiated in London 1½
│
(v.) Current Accounts │ (xi.) Cash, etc., in London 1½
in India 2½ │
│ (xii.) Cash, etc., in India ½
(vi.) Trade Bills on │
London negotiated │ (xiii.) Securities 1
in India │
and rediscounted │ (xiv.) Miscellaneous assets
in London 5½ │ including silver
│ bullion ½
│
—————— │ ————
17½ │ 17½
══════ │ ════
This would probably be published as follows:—
Public-domain text, read in full here on John Shaqi.
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