HC Deb 07 November 1983 vol 48 c9W
Mr. Forman

asked the Chancellor of the Exchequer whether he has made any amendments to the terms of the public sector exchange cover scheme.

Mr. Ian Stewart

Official exchange cover will continue to be made available to public sector bodies under the modest programme of foreign currency borrowing from the Community institutions, which make loans on fixed interest rate terms. But a proportion of maturing foreign currency debt is on floating interest rate terms and it is right to provide for its re-financing on a similar basis. The terms under which exchange risk cover is available to public corporations on new floating interest rate foreign currency borrowing have been revised. In future these terms will give the same guaranteed benefit as is already available where borrowing is at fixed interest rates.