§ 27. Sir C. Osborneasked the Chancellor of the Exchequer what are the total sterling balances he guaranteed to repay in dollars and which would automatically increase in the case of further devaluation; and in which countries they are mainly held.
§ Mr. Harold LeverI assume the hon. Gentleman's Question refers to the balances guaranteed under the sterling agreements concluded last summer, although these do not include any obligation to repay in dollars. The amount of sterling guaranteed varies, but at end-December it was of the order of £1,750 million. The largest holders of sterling are Australia, Brunei, Hong Kong, Ireland, Kuwait, Malaysia, New Zealand and Singapore.
§ Sir C. OsborneIf the sterling balances were guaranteed last year and the hon. Gentleman says that they were not guaranteed in terms of dollars, in what currency were they guaranteed?
§ Mr. LeverI did not say that they were not guaranteed in dollars. I was saying that they were guaranteed as to value in relation to dollars. The guarantee was not an obligation to repay in dollars. That has always existed in terms of sterling balances.