ENG-1966 — Page 73

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FINANCIAL STRUCTURE

capital. Each bank must also maintain a minimum level of specified liquid assets and there are certain restrictions on the classes of other assets it may hold. Provisions are included for the annual auditing of banks' accounts and the publication of certain in- formation. Monthly returns are required from all banks. The Banking Ordinance became fully effective on 1st December 1966, at the end of a two-year transitional period to allow certain banks to adjust their positions.

At the end of 1966 there were 72 incorporated banks in the Colony, compared with 74 at the end of 1965. A total of 318 banking offices existed at the end of 1966, representing an increase of 17 during the year. A total of 51-banks were authorized to deal in foreign exchange. Many of these banks have branches and cor- respondents throughout the world and the Colony can offer a comprehensive banking service of the highest order. Monthly clearings during the year averaged $4,134,380,000. The table at Appendix XIV illustrates the expansion of banking activities in the Colony over the past 12 years.

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