One of these Banks has included in its operations coach–building and medical attendance. If the Government of India hold in London a penny more than is required to establish the stability of their financial system, they are certainly diverting resources from India, where they are greatly required, to the detriment of India’s own trade. The banks had, therefore, no special difficulty in putting their hands on rupees and notes, and the only problem was for the Government to turn these into sterling. That Act separates the Bank of England into two halves. The detail of the business of a small private bank was moderate enough to be superintended effectually by the partners. But we have no concern now with these differences of detail. 500.
The line of thought underlying this criticism appears to me to be entirely reasonable. A day might come when his favour might mean prosperity, and his distrust might mean ruin. It has at the head of the executive a general manager who was tried in the detail of banking, who is devoted to it, and who is content to live almost wholly in it. ‘ This article was much disliked by many of the Bank directors, and especially by some whose opinion is of great authority. When we say that the Indian Bank Rate is apt to be high, we mean, not that the _average_ effective rate over the whole year is high, but that the _maximum_ rate in each year, effective for periods of shorter or longer duration, is generally high. The Government were very slow to buy more silver and, in fact, do not seem to have taken steps to do so until, in December 1905, their bullion reserve was quite exhausted. ; but when exchange is low, the reverse is the case and it is cheaper to get as much gold as the Treasury will let you have at 1s. Fleetwood Wilson explained in the Legislative Council in 1911— A number of technical and other difficulties were raised by the Royal Mint, which ultimately wore out the patience of Lord Curzon’s Government. │Treasuries. The Fowler Committee, then appointed, recommended a gold currency as the ultimate objective.