TNAG-2471-FCO40-3595-Confidential-talks-between-the-UK-and-China-regarding-financ-1992 — Page 156

Q.4

CONFIDENTIAL

Other Liabilities contingency reserves been provided for bank rescue operations.

the fall in the level of Other Liabilities

since 1987 indicate what the cost to the Fund

of these operations has been?

The notes on the accounts reveal that under

have

Does

A. 4

These contingency provisions are a reflection of prudent accounting. They may or may not be utilized. If they are not utilized, they are

written back to: the Accumulated Investment

Surplus. The cost of bank rescue operations will be disclosed when the final figures are to

hand. As stated in the notes on the accounts, Other Liabilities include not only contingency

reserves but also expenses accrued at the year and any other borrowings. The most significant of the accrued expenses is interest due on transferred fiscal reserves. Prior to

1990, such interest was paid half-yearly on 31

March and 30 September. It is now settled on a

quarterly basis on 31 March, 30 June, 30 September and 31 December. Thus since 1990 no

provision for this expenditure has been

end

necessary.

Q.5

HOW

are

the

distributed?

foreign currency assets

CONFIDENTIAL

P20