§ 27. Mr. F. M. Bennett
asked the Chancellor of the Exchequer whether he will consider amending the restrictions on bank bills now limiting their tenor to three months, since finance of longer duration is required for some international trade and is being widely obtained in London by other methods.
§ The Economic Secretary to the Treasury (Mr. R. Maudling)
I am advised that a maximum usance of 90 days is adequate for most cases; longer periods are exceptionally allowed if the circumstances justify.
§ Mr. Bennett
In view of that reply, will my hon. Friend agree to consider some specific cases of which I know, where 90 days have in fact not proved long enough because of, among other causes, local transport conditions, for example, in West Africa and Tanganyika, and does he appreciate that in such cases, since the necessary finance has to be found, it is borrowed on overdraft, even from local banks, some of which are not British, with a consequent loss of invisible earnings to this country?
§ Mr. Maudling
My impression is that the general arrangements are satisfactory, but I shall be glad to consider anything which the hon. Member has to say.