A 1890 deck boats (smacks) began to be introduced. The number of vessels of this kind steadily increased up to 1900, but they have since been gradually replaced by motor boats and steam trawlers. The foreign trade, too, has, in an ever increasing degree, been taken over by native merchants. In 1928 the population was 105000, two-fifths of them living in towns. The same year the revenue of the State amounted to some fourteen million krénur; the export of fish products, to sixty six million krénur; that of farm produce, to upwards of eight million krénur, while the imports did not exceed sixty million krénur. There are at present three banks in Iceland, viz. Landsbanki fslands (The National Bank of Iceland), which commenced operations in 1886; Utvegsbanki Islands (the Fishing Trade Bank of Iceland), and Buin- adarbanki Islands (The Rural Bank of Iceland), both formed this year (1930). Utvegsbanki [slands took over the assets and lizbilities of [slandsbanki (The Bank of Iceland, established in 1905). All three banks have their headquarters in Reykjavik, and the two first-men- tioned four branches each in various parts of the country. All these banks are established by special acts of ‘Allhingi under which they enjoy certain privileges. Since 1923 (law of 20th June) banks and savings banks are under the supervision of a Banks and Savings- Banks Inspector. The following table gives a concise record of the development of the banks + Year 1886 m0 -pn a Current Accounts Deposits at Savings Sundry Loans Bills Discounted Deposits Banks Interest 1000 kr 1000 kr. 1000 kr. 1000 kr. 353 562 1209 5126 30119 42 741 Landsbanki Islands (The National Bank of Iceland) was founded by law of 18th September 1885 and commenced activities on the 1st of July the following year. To this bank the government originally made a grant of 500000 krénur in treasury notes, a sum which in 1900 was increased to 750000 krénur. Pursuant to law of 1922 the National Bank has, since 1924, been issuing treasury notes to replace those withdrawn by fslandsbanki. The issue of bank notes in Iceland was regulated by an act of Al- thingi (of April 15th, 1928) granting the exclusive right of issue to The National Bank of Iceland. But at the same time there were intro-