PrRopPOsAL dated the 18th day of June, 1923, by His 
Britannic Majesty’s Government (hereinafter called 
Great Britain) to the Government of the United 
States of America (hereinafter called the United 
States) regarding the funding of the debt of Great 
Britain to the United States. 
WHEREAS Great Britain is indebted to the United States as 
of 15th December, 1922, upon demand obligations in the princi- 
pal amount of $4,074,818,358.44, not including obligations in the 
principal amount of $61,000,000, representing advances deemed 
to have been made to cover purchases of silver under the Act 
of Congress approved 23rd April, 1918, of which $30,500,000 has 
been repaid in April and May, 1923, and the balance is to be repaid 
in 1924 pursuant to an agreement already made between 
the parties, and Great Britain is further indebted to the United 
States as of 15th December, 1922, on account of interest accrued 
from 15th April and 15th May, 1919, on said $4.074.818.358.44, 
principal amount of demand obligations. 
AND WHEREAS Great Britain has power under the War Loan 
Act, 1919 (2 and 10 Geo. 5, cap. 37) to issue securities in exchange 
for maturing securities issued under the War Loan Acts. 1914 to 
1918 : 
AND WHEREAS the demand obligations now held by the 
United States Treasury were so issued, and will become payable 
npon the request of the United States Treasury for their payment : 
Now THEREFORE Great Britain proposes, in the exercise of the 
powers above recited and in consideration and in faith of the 
statements, conditions, premises and mutual covenants herein 
contained, to issue to the United States in exchange for the 
demand obligations now held by the United States Treasury 
securities which shall be in their terms and conditions in 
accordance with the following provisions -— 
1. Amount of Indebtedness. 
The total amount of indebtedness to be funded is 
$4,600,000,000 which has been computed as follows :— 
Principal amount of de- 
mand obligations to be 
funded L 
Interest accrued thereon 
from April 15 and 
May 15, 1919, respec- 
tively to December 15, 
1922, at the rate of 
42 per cent. per 
INH 
£629 836.106.99