§ 2. Sir FREDRIC WISEasked the Under-Secretary of State for India whether in spite of the amount of deflation in the Indian currency of approximately £10,000,000 from 31st March to 15th June 1927, he can state the estimated amount it will still be necessary to deflate in the next three months so that the market rate of exchange will be nearer the official rate?
§ The UNDER-SECRETARY of STATE for INDIA (Earl Winterton)No, Sir. The action of the currency authority in regard to expansion or contraction of the currency depends in India, as elsewhere, on developments that cannot be predicted. It cannot, therefore, be assumed that there will necessarily be any further contraction of currency in India during the next three months.
§ Sir F. WISEDoes my Noble Friend realise that the market rate has not reached the official rate up to the present time?
§ Earl WINTERTONYes, Sir.