1922, to Kr. 372,600,000, whilst liabilities amounted to Kr. 105,500,000 revealing a credit balance of Kr. 267,100,000. The credit surplus in 1921 was Kr. 386,400,000, the assets amounting to Kr. 488,800,000 and liabilities to Kr. 102,400,000. Much of this reduction in the value of the assets held is obviously due to the depreciation of Swedish foreign currency accounts. The end of 1922 saw the Swedish krona quoted as the highest currency in the world. For a few days it was actually above the gold parity value, and in order to counter this state of affairs the Riksbank resorted to large purchases of U.S.A. dollar currency, which transactions during the latter half of December attained considerable dimensions. As the London quotations for dollars increased, however, these purchases ceased at the end of the year, and during January the Swedish Riksbank was able to dispose of a large proportion of its dollar holdings. New Issues. More new companies were formed in 1922 than in 1921, viz., 1,074, representing a capital of Kr. 187,930,000, of which Kr. 154,950,000 was paid in, against 955, with Kr. 164,530,000, of which Kr. 143,290,000 was paid in, in 1921. The business interests involved were as follows: Many of the above are reconstructed old companies. Of the three banks referred to, two are reconstructions of the "Mälareprovinsernas Bank" and " Sydsvenska Kreditaktiebolaget." During the year 1922, 216 companies increased their share capital by a total of Kr. 140,080,000 and 113 companies issued free shares amounting to Kr. 14,800,000. In the autumn of 1922 the Stockholms Enskilda Bank and the Skandinaviska Kredit A/B jointly invited subscriptions for a Finnish State loan amounting to 200 million Finnish marks, bearing 7 per cent. interest, the bonds, which were issued at 98 per cent., being repaid in Finnish currency. The loan, which was arranged by a syndicate including Norwegian and Finnish. banks, was to be utilised largely for the development of the Finnish State Railways. Post Office Savings Bank.-A reflection of the improvement which manifested itself generally in 1922 is shown by the fact that the total sum on deposit at the Post Office Savings Bank at the end of 1922 amounted to Kr. 118,578,199, compared with Kr. 100,276,454 a year earlier. During 1922, 635,494 deposits were made, totalling Kr. 44,762,537, compared with 683,220 deposits aggregating Kr. 38,492,672 in 1921; withdrawals for the same periods amounted to 250,941, aggregating Kr. 30,449,445, and 218,869 aggregating Kr. 26,900,127, respectively. Bonds and Debentures-The issue in 1922 is estimated to have reached a total of Kr. 198,000,000, compared with Kr. 410,000,000 in 1921 and Kr. 186,000,000 in 1920. The figure for 1922 is underestimated, as only the larger loans are accounted for. The distribution for last year was approximately among the following groups :-Swedish State, Kr. 37,700,000; mortgage banks, Kr. 60,540,000; investment trust companies (figures not available, but the amounts in 1920 and 1921 were Kr. 5,080,000 and Kr. 4,860,000 respectively); municipal, Kr. 31,110,000; shipping, railway and carrying companies, Kr. 20,000,000; industrial investments, Kr. 45,200,000; associations, Kr. 3,500,000. On the Stockholm Stock Exchange the turnover in bonds and debentures was increased during 1922 from Kr. 17,200,000 to Kr. 49,800,000, and the percentage proportion of debentures and bonds in the total turnover on the Exchange is estimated to have increased from 10 to 25 per cent. average rate of interest on new debenture loans was 6 per cent. during the first half of 1922, compared with 6 per cent. during the second half of 1921, and the rates tended to decline still further during the latter part of 1922. The Riksbank (Swedish State Bank). The net profits of the Riksbank for 1920, 1921 and 1922 were: Kr. 7,508,000, Kr. 15,404,000, and Kr. 18,430,000 respectively. Rates of Exchange.—As will be seen from Appendix XIII, the principal fluctuations have occurred in the case of the German mark which fell from Kr. 2.13 (parity Kr. 88-89) per 100 marks in January, 1922, to Kr. 0.053 in December; for the same dates the French franc fell from Kr. 32.71 (parity Kr. 72.00) per 100 francs to Kr. 27.02; the American dollar from Kr. 4.02 (parity Kr. 3.73) to Kr. 3.72, whilst the sterling appreciated from Kr. 16.94 (parity Kr. 18.16) to Kr. 17.10. At the end of February, 1923, the sterling stood at Kr. 17.71. It is noteworthy that the monetary Union, which has subsisted between the three Scandinavian countries since 1873, has not been sufficient to prevent the rates of exchange for Swedish, Norwegian and Danish currency varying considerably. The different rates of exchange however, do not apply to silver coin, which is still converted at par in all the three countries. Insurance. In comparison with other branches of business, Swedish life insurance yielded very satisfactory returns in 1922. The new life insurance effected by the 23 Swedish companies amounts to approximately Kr. 385,000,000 compared with Kr. 425,811,848 in 1921, representing a reduction of about 10 per cent. Fire insurance was chiefly characterised by an allround reduction in premium incomes, owing to the extraordinary decline in values in 1921, and also to the necessity for the exercise of greater thrift by all classes of the community. Furthermore, insurance companies have adopted the principle of reducing premium rates in order to attract business and at the same time are doing everything possible to curtail overhead costs. Serious fires occurred during the year, so that the anticipations that fewer losses would be registered owing to the great depletion of accumulated stocks were not realised. Marine Insurance.-The outstanding feature last year was the failure of the three companies, viz., Svenska Lloyd, Vega and Svenska Minerva, all of Stockholm. It is expected in insurance circles that, in spite of the difficulties which have confronted marine undertakings, the majority of the remaining concerns will emerge successfully from the economic landslide of two years ago, although this may entail making further heavy drafts on reserve funds. Premium incomes fell off considerably at the beginning of the year, but improved later in view of the increased exports of timber, pulp and paper and of the greater shipping activity generally. Losses during the year were considerable, but not exceptionally severe. On the whole the Swedish marine insurance situation may be regarded with confidence. The somewhat sharp competition by rate-cutting which prevails will no doubt eventually give way to more stable methods. One of the most encouraging guarantees for the future, however, is the vigilant control which the Royal Swedish Insurance Inspectorate exercises over insurance companies' activities. To this institution may be attributed the satisfactory state of insurance in Sweden, compared with that which prevails in many other countries. III.-INDUSTRY AND TRADE. Standardisation. As a result of powerful representations submitted by the Federation of Swedish Industries, in agreement with important technical, scientific and industrial associations, the Swedish Government approved towards the end of the year the scheme for the establishment of a standardisation committee for Swedish industries. The inaugural meeting was held on 17th December, 1922. The name and address of the Committee are "Svenska Industriens Standardiseringskommission," 10, Malmtorgsgatan, Stockholm. It is the intention of the committee to work in co-operation with similar institutions in other countries. through the medium of the International Chamber of Commerce. In order to allay any apprehensions regarding any tendency to over-stereotype industry it is pointed out that standardisation carried out on proper lines, will have the effect of preventing large number of useless variations in similar branches of industry; but that it will, for example, not include the field covered by "modes," patterns, styles, colours, etc. Wines and Spirits.-The Aktiebolaget Vin och Spritcentralen (Central Wine and Spirit Company) comprises, inter alia, the following daughter concerns; Carlshamns Punschfabriksaktiebolag, A/B J. D. Grönstedt & Co., A/B Skatteri Sprit, Porterbryggeriaktiebolaget D. Carnegie & Co., A/B Nya Grand Hotel, Gösta Lindberg & Co. A/B. In 1922 the company disposed of 789 different marks of wine (641 in 1921), including 61 port wine, 55 sherry and 45 madeira. Of the 247 brands of spirits (244 in 1921) 36 belonged to whiskey. The sale in Sweden of wines and alcoholic beverages in 1922 reached a total of 2,364,514 litres as compared with 2,842,346 litres in 1921. It will be observed that the consumption in 1922 was considerably less than that for 1921, a result which is attributed principally to the severe economic depression. This appears to be also borne out by the preference which has increased for the cheaper kinds of wines. Owing to the growing power of the temperance reformers in Sweden, more particularly in the country districts, an Act of Parliament was introduced last year sanctioning a referendum of the people on this question. This so-called " Liquor prohibition plebiscite" took place in August, 1922, and of the 1,808,354 persons who cast their vote, 922,122 or 50.9 per cent. voted against prohibition and 886,232 or 49.1 per cent. in favour. Notwithstanding this small majority it was generally recognised that the prohibitionists had definitely lost their cause, especially as, in any event, the referendum was only devised as a means of ascertaining the wishes of the people, and Parliament retained the right of a final decision in the matter. There is little doubt that the result of the voting is to be attributed to the general scepticism in Sweden regarding the results of prohibition measures in Norway and Finland. Coal. As Sweden is not a large coal producing country the question of the supply and price of this essential commodity is of primary importance in industrial development, and in shipping and railway transport. The imports from the U.S.A. which were a prominent feature in 1920 have now practically ceased, Great Britain's share of the 2,635,845 metric tons imported in 1922 being no less than 95 per cent. Complaints are still current on the score of high prices, especially for bunker coal. The principal grades of steam coal imported into Sweden are Yorkshire, Northumberland, Durham and Scotch. In addition to the home production of 400,000 to 500,000 tons from the Högenäs mines, a supply of about 72,000 tons was shipped in 1922 from the Swedish Coal Company's property at Spitzbergen. Of this amount 51,000 tons were taken by the State railways at the price of Kr. 28.87 per ton c.i.f. Gothenburg. This company's operations have been conducted at a loss ever since its inauguration, the deficit for the working year 1921-1922 amounting to Kr. 337,726. About 650 metres of new tunnelling were opened up during the same period, and the wharf and railway sidings were extended. Ice conditions permitted shipments being carried on during 92 days. The capital of the company amounts to some Kr. 5,000,000, of which about Kr. 2,000,000 has been contributed by the State. It is hardly surprising, in the circumstances, that considerable diversity of opinion subsists on the State's policy of continuing to subsidise a non-paying venture. On the other hand, it is alleged that the profit-yielding point would be reached if the output aggregated 200,000 tons per annum, of which the State railways alone could take 80,000 tons. No doubt the Spitsbergen proposition provided. a welcome relief for the tension which prevailed during the years when the uncertainty of coal supplies and prices was something of a nightmare; but it remains to be seen how far the retention of a non-profitable industry is justified as a policy of national insurance. The choice now appears to lie between allowing the enterprise to become the property of a foreign concern and providing a further substantial State loan in order to keep the coal field working for Swedish interests. Timber and Wood Goods.-Timber may be regarded as the corner stone of Swedish industry and as the most vital factor in the economic life of the country. Since 1850, when the exports amounted to 100,000 standards, the industry has steadily developed and may be said to have reached the summit with 1,099,000 standards (exports) in 1913, although, owing to abnormal conditions 1,173,000 standards were exported in 1916. As 1,027,000 standards were shipped in 1922 (of which 38 per cent. went to Great Britain and 21 per cent. to France) compared with 540,000 standards in 1921, the results may be considered as satisfactory, although, in spite of reasonably good prices, no excessive profits have accrued to manufacturers owing to high costs of production, the payment of large sums by way of interest on loans, and the evil effects of fluctuating exchanges. It is curious that although Russia is practically out of the market for sawn wood goods, of which she exported a very large quantity annually before the war, neither the Scandinavian nor Finnish manufacturers have been able to exercise a dominant control of the markets, as might have been supposed, mainly by reason of the loss of markets and of the general economic depression which has curtailed national expenditure in former lucrative markets. The opening prices for 1922 were very much influenced by the low terms accepted by Finnish producers, principally owing to the rate of exchange, which was in their favour for export trade at the beginning of the year. Another contributory factor. was the stocks of wood goods in Sweden on the 1st January, 1922, which were larger than usual owing to the small shipments in 1921, and it was, therefore, anticipated that if the production during 1922 was normal, there would be a larger quantity available than could probably be disposed of. Swedish shippers were, therefore, somewhat nervous. Owing, however, to strikes and other causes, the quantity available for 1922 was ultimately considerably less than that expected, and this had the effect in the latter part of the year of steadying prices. The revenue obtained during 1922 would have been fairly satisfactory were it not for the decline in the franc exchange, which represented a very considerable loss to exporters. An important item in the |