Frs. 6 Milliard Rentes Fund from Gold Revaluation is, July 22.
By terms of a new convention signed yesterday between the French Government and the Banque de France. the gold stocks of the Bank are to be revaluated on the basis of the lower limit prescribed in the Monetary Laws of October 1. 19: and a fund thereby created to defend Re The communique from the Finance Minist li appear as a decree in the official gazette on Friday According to the Monetary Law. the frane must have a minimum gold content of 43 milligrammes and can have a maximum content of 49 milligrammes. By pinning it to the lower figure, a fund of approximately Frs. 6,000,000,000 will be created for operations in behalf of, Rentes.
As soon as the fund to' support Rentes and the Exchange Equali tion Fund are liquidated, any residue the Frs, 6000,000,000 will be med to the Banque to repay its ces to the state. This is in accord with the convention between bank and state of September 25. 1936. whereby revaluation profits were to amortize the public debt Curtailment of Treasury expenditure in €937 and 1938 contemplated by the new Finance Minister. M Georges Bonnet, will approximate Frs. 23,000,000.000, according to a reliable informant. Of this sum, Frs.
16,000.000,000 will be pared from the ordinary Budget. and Frs. 5,000,000,- 000 from the railway budget.—The remaining two milliards represent reductions in the deficit of Paris' municipal budget and cuts in the budget for the The ordinary budget for nat defence amounts to [7.000.000.000. an iner liard över that of last year—Havas
Text read from the printed page and cleaned; old type leaves the occasional error.