30 JANUARY 1932, Page 34

BRITAIN REPAYS.

The repayment by the Bank of England of the maturing franc and dollar credits on February 1st must undoubtedly be regarded as a favourable factor in the general situation. It will be remembered that originally, some six months ago, the amount raised in France was the equivalent of £25,000,000, with a corresponding amount raised m the United States, the credits running for three months. When this period of three months expired the credits were renewed for a further three months by France and America in equal portions as to a total of £30,000,000, and to repay the balance of £20,000,000 the Bank of England had to send abroad £15,000,000 in gold. This time, however, the whole of the £80,000,000 is being repaid without any further draft on the Bank of England's gold reserve, and that this should have been accomplished through the medium of the exchanges is a most satisfactory circum- stance. Meanwhile, of course, it must be remembered that the credit of the equivalent of £40,000,000 by France and a similar amount by the United States to the British Government for a period of one year is still outstanding, repayment being due somewhere about next August.