30 SEPTEMBER 1916, Page 3

On Wednesday the Treasury made the important announcement that a

new issue will be made soon of Exchequer Bonds bearing six per cent. interest. The five per cent. Bonds maturing on October 5th, 1919, are no longer on sale. The object of the new issue, on these specially attractive terms, is to divert the flow of money from Treasury bills to the longer-dated kind of investment. The rate of discount on the nine months' and twelve months' Treasury bills has been reduced from 51 and 6 per cent. respectively to 5} per cent.