HC Deb 25 March 1947 vol 435 cc191-2W
Mr. Ernest Davies

asked the Secretary of State for the Colonies the estimated total saving in annual interest charges through conversion to lower rates of interest during 1946 of British Colonial loans quoted on the London Stock Exchange.

Mr. Creech Jones

Only two British Colonial loans became callable for conversion in 1946, namely £765,000 of Fiji Government 5 per cent. inscribed stock 1946–53 and £5 million of Kenya Government 6 per cent. inscribed stock 1946–56. The former was wholly repaid out of sinking funds and the proceeds of a local loan. Of the Kenya loan, £3,180,000 was repaid by the use of sinking and other funds and the balance of £1,820,000 was converted into 2¾ per cent. inscribed stock 1971–76. The annual saving in interest charges on the portion converted was £59,150.

Arrangements were also made in 1946 in regard to £4,250,000 Nigeria Government 5 per cent. Conversion Stock 1947–57, which was callable for conversion on 1st March, 1947. Of this, £3,000,000 has been repaid out of sinking funds and the balance of £1,250,000 has been replaced by Nigerian Government 2½ per cent. Inscribed Stock 1966–71. The reduction in interest charges on the portion converted was £31,250.