The following quotations from the reports (collected in 1911–12 by the Comptroller of Currency from districts in the Punjab), referred to above, illustrate the point that gold is preferred to silver because it is more convenient to carry, and that notes are distrusted because there is no universally spread assurance of their ready convertibility. In the pre–1899 period it was not uncommon in times of stringency for the bazaar rate to be appreciably lower than the Presidency Bank rate, and the connexion between the two money markets seems to have been very incomplete.
 Since 1906 numerous Banks have been started, amongst the most important of which in respect of paid–up capital may be mentioned the Bengal National Bank (1907), the Bombay Merchants’ Bank (1909), the Credit Bank of India (1909), the Kathiawar and Ahmedabad Banking Corporation (1910), and the Central Bank of India (1911). Bellingham_, _India Office_. The system of keeping the entire ultimate reserve at a single bank, undoubtedly diminishes the amount of reserve which is kept.