European Currency Unit (Hansard, 20 February 1991)

§ Mr. Teddy Taylor
To ask the Chancellor of the Exchequer why he has issued a public loan based on the European currency unit; how much has been raised; and what is the interest rate.

§ Mr. Maples
The issue of a bond denominated in ecu shows the importance the Government attach to the strengthening of London's leading position in this growing market and demonstrates our commitment to the development of the ecu. The offer is for 2.5 billion ecu. The bonds carry a coupon of 9⅛ per cent. priced at par.

§ Mr. Teddy Taylor
To ask the Chancellor of the Exchequer what consultation he has had with the institutions of the EC about his decision to raise a loan in European currency units.

§ Mr. Maples
None.

§ Mr. Teddy Taylor
To ask the Chancellor of the Exchequer for what purposes his new European currency unit loan will be used.

§ Mr. Maples
The United Kingdom Government's 2½ billion ecu issue shows the importance we attach to strengthening London's leading position in this growing market and demonstrates our commitment to the development of the ecu. The proceeds will be added to our gold and foreign currency reserves.