British Mandate: A Survey of Palestine: Supplement - Page 4

(p. 126) Loans.

The total public borrowings of the Government of Palestine in the years 1944, 1915 and 1946 amounted to .£P.5,806,06(} raised by four issues of Bearer Bonds, bearing interest at 1 % and redeemable at par in twenty years unless redeemed earlier at quarterly drawings. Prescribed premia are payable on redemption by draw. Originally the primary purpose of these loans was to enable the Palestine Government to meet budgetary deficits and, as stated in the Survey, it was necessary to draw on the proceeds of the first issue for this purpose in respect of 1944/45. It became possible, however, during the financial year 19~ 5 / 46, to allocate, and to undertake to allocate, from proceeds of Bearer Bonds for public enterprises affecting a large part of the population the sum of £P.2,458,000 in loans to local authorities to assist schemes for the housing of ex-servicemen and for post war reconstruction development, and £P.150,000 for combating 'black scale' of citrus.

Out of a total of 500,000 Bonds which formed the fourth issue of Bearer Bonds, only 80,606 were sold, the issue having been opposed on political grounds. The sales of the fourth issue were, therefore, suspended, the atmosphere being unpropitious for the raising of loans locally by Government.

Grants-in-Aid. (§ 59)

From 1924/25 to 1945/46 a total of £P.13,872,437 has been granted to this Government by His Majesty's Government.

(p. 127) Currency. (§ 61)

The total currency in circulation at 31st March, 194 7, was £P. 46,887,894. This compares with £P.46,188,141 at 31st March, 1946; £P.6,574,134 in 193\J and £P.5,326,228 in 1935.


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