§ MR. VICARY GIBBS (Herts, St. Albans)
I beg to ask the Under Secretary of State for India whether, as the India Council yesterday accepted the best price offered for telegraphic transfers in India, it is to be understood that they will continue to pursue this policy; and whether he is aware that the acceptance of tenders yesterday at 15¼d. has had the effect of sending Indian exchange down to 147/8d.?
§ *THE UNDER SECRETARY OF STATE FOR INDIA (Mr. G. RUSSELL,) North Beds.
No undertaking can be given as to the action that will be taken in the sale of bills on India, as it must depend on the amount and rates at which tenders are made. The Council of India does not fix any minimum rate below which no bills will be accepted. Usually tenders up to the advertised amount are taken, if the rate offered is not below the market rate of the day; but in a falling market tenders of very small amount are generally refused. On the last seven Wednesdays bills for 80,000 rupees above the market rate and transfers for 12 lakhs tendered at the market rate have been accepted; bills for 33,477 rupees and transfers for 4½ lakhs tendered at about the market rate have been refused owing to the smallness of the offers; and bills for 10 lakhs and transfers for 10 lakhs tendered below the market rate have been refused. Indian exchange has fallen to 14 13–16d. per rupee; but I cannot 524 undertake to specify the cause or causes by which this effect has been produced.