Viceroys: Lord Linlithgow, Lord Wavell

The Age Of Stars

Two wars, a central bank, and the sterling balances.

Vol. LXIXThe edition of 1943 · War and Depression18 records
Viceroys
Lord Linlithgow · Lord Wavell
Secretary of State
Leo Amery
Finance Member
Sir Abraham Jeremy Raisman
RBI Governors
Sir James Braid Taylor · C. D. Deshmukh

Sterling balances

£383m

No figure for 1942

Reserve Bank of India · 25 January 1943

Reserve Bank of India: The Governor (Sir James Taylor) circulated a memorandum, Sterling Balances and Inflation in India, to the…

The Governor (Sir James Taylor) circulated a memorandum, Sterling Balances and Inflation in India, to the Central Board

VerifiedOfficial record. Source: RBIH1

Banking

5 items

Government of India · 1 January 1943

Government of India: Governor-General's Executive Council demanded, as the price of funding the sterling pensionary liabilities…

£200m contemplated fund

Governor-General's Executive Council demanded, as the price of funding the sterling pensionary liabilities, that the British Government accept in principle a Reconstruction Fund and guarantee delivery of goods ordered against it

ReportedOfficial record. Source: RBIH1

Reserve Bank of India · 1 August 1943

Appointment of the first Indian Governor of the Reserve Bank (C. D. Deshmukh), on the death of the British…

Appointment of the first Indian Governor of the Reserve Bank (C. D. Deshmukh), on the death of the British Governor

ReportedOfficial record. Source: RBIH1

Banks

Further piecemeal regulation

Following the December 1942 review, further piecemeal measures of regulation followed in 1943 on the Bank's initiative

VerifiedOfficial record. Source: RBIH1 ch. 15

sterling balances

Proposed Reconstruction Fund

An Anglo-Indian Reconstruction Fund of about £200m, drawn at not more than £20m a year, to be credited from India's sterling balances for post-war capital equipment purchases; agreed in principle by the UK in November 1943 for civilian raw-material proceeds only, and never funded as proposed

ReportedOfficial record. Source: RBIH1

pensions

Sterling pensionary liability funding proposal

A proposal to fund the Government of India's sterling pensionary liabilities out of the sterling balances came before the Governor-General's Executive Council in January 1943; dropped after British Government opposition, and later superseded by the 1948 annuity

ReportedOfficial record. Source: RBIH1; HAN4807

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