THE TREASURY 77 Federal Reserve Banks by an issue of ninety days, two per cent, certificates of indebtedness. In the first weeks of our actual participation in the war, the operations of the Treasury presented no unusual features. Disbursements — peace and war — mounted slowly, and the revenue trickling from war taxation showed signs of appreciable in crease. The immediate problem loomed up from another quarter — credit advances to the Allies. The First Liberty Loan act had appropriated the huge sum of $3,000,000,000 nominally “ out of any money in the Treasury not otherwise appropriated,” but in reality from out of the proceeds of bonds and certificates therein authorized to be expended in so far as necessary in the purchase of the obligations of foreign governments. The requirements of Great Britain as to “ dollar credits ” were in par ticular urgent, and the necessities of France and Italy were only a degree less pressing. On April 21, 1917, the Treasury offered the initial issue of certificates of indebtedness in an ticipation of the First Liberty Loan, and immedi ately upon the passage of the Loan act three days later made allotments to the amount of $268,205,- 000. Of the proceeds $200,000,000 was at once advanced to the British Government and ten days later $125,000,000 to the French and Italian Gov ernments, practically exhausting the certificate pro ceeds. In reflection, the Treasury balance moved from $83,617,332 on April 24 to $165,791,262 on May 2, dropping back thereafter to $54,757,198 on May 9 — the lowest point touched since the begin ning of the calendar year.