§ MR. THOMAS BAYLEY (Derbyshire, Chesterfield)
I beg to ask the Secretary of State for India whether he has had brought to his notice the memorandum by Mr. J. H. Sleigh, manager of the Bank of Bombay, showing the large economy that would be secured by taking up a sterling loan here instead of, as proposed by the Government officials, a rupee loan of four crores in India?
§ LORD GEORGE HAMILTON
My attention has been drawn to the memorandum by the manager of the Bank of Bombay, showing what would in his opinion be the economy resulting from raising a loan in sterling instead of in rupees, as indicated in the financial statement of the Government of India. I will only point out to the hon. Member that Mr. Sleigh's calculations are purely hypothetical, being based on assumptions as to the price at which a second sterling loan could now be issued as compared with a rupee loan, and as to the rate of exchange, not only in the immediate future, but also during the whole of the next 15 years.