§ Mr. Parkerasked the Chancellor of the Exchequer whether he is aware that India is redeeming the whole of her outstanding sterling loans which were only redeemable at their option and the interest on which was paid quarterly, and whether he will reduce the outstanding British Government Debt by similar provisions with a view to eliminating altogether Government Debt bearing no fixed date of redemption?
§ Sir K. WoodMy hon. Friend will appreciate that there has been no variation in the contractual relations between the Government of India and holders of Indian sterling loans. Holdings of these loans have been acquired from persons resident in this country by the Treasury at the market price in accordance with the powers conferred on the Treasury by the Defence (Finance) Regulations. The similar acquisition by the Treasury of British Government Securities bearing no fixed date of redemption would serve no national interest and be quite impracticable.