_Rupee Reserves_ are held partly in the Currency Reserve, partly in the Gold Standard Reserve. In December 1912 the amounts were approximately as follows:— Currency Reserve(a) £10,000,000 Gold Standard Reserve 3,750,000 ─────—————– £13,750,000 (a) Including silver bullion in India or in transit. _Sterling Reserves_ are held partly in the Currency Reserve, partly in the Gold Standard Reserve, and partly in the London Cash Balances. The forms in which they are held are gold (in the Currency Reserve, both in India and London, and to a small extent in the Gold Standard Reserve), money lent at short notice (in the Gold Standard Reserve and in the Cash Balances), and sterling securities (in the Currency Reserve and in the Gold Standard Reserve). In December 1912 the amounts were approximately as follows:— _Gold_— Currency Reserve in India £17,500,000 Currency Reserve in London 7,250,000 Gold Standard Reserve in London 250,000 ─────—————– £25,000,000 ═══════════ _Money at Short Notice_— Gold Standard Reserve in London £1,000,000 Cash Balances in London 7,500,000 ─────—————– £8,500,000 ═══════════ _Sterling Securities_— Currency Reserve £2,500,000 Gold Standard Reserve 16,000,000 ─────—————– £18,500,000 ═══════════ _Aggregate Sterling Resources_— Gold £25,000,000 Money at Short Notice 8,500,000 Securities 18,500,000 ─────—————– £52,000,000 ═══════════ 6. Before we consider the adequacy of these reserves for their purposes, it will be useful to recall the circumstances of the two recent occasions on which their resources were severely taxed. The Government were hard pressed to supply sufficient rupees in 1906, and hard pressed to supply sufficient sterling in 1908. We can deal with both these occasions in a continuous narrative.