§ Mr. Stanleyasked the Chancellor of the Exchequer whether it is Treasury practice to provide free forward exchange cover from foreign borrowing by the nationalised industries; and, if so, for how long the cover is provided.
§ Mr. DellAn exchange cover guarantee is available to the nationalised industries in respect of their borrowing in an appropriate foreign currency provided that the terms of the borrowing are acceptable. This guarantee would extend over the life of the loan. If a nationalised industry decides to take exchange cover on a foreign borrowing, it surrenders to the Exchange Equalisation Account part of the difference between the cost of that borrowing and the cost of a comparable borrowing from the National Loans Fund.