QUASI-GOVERNMENT SECURITIES

in only three years, from the end of 1969 till 1972,commercial banks more than doubled their holdings of "other securities," which are primarily notes and bonds of government agencies and government-sponsored credit agencies. At the end of 1969 such bank holdings of "other securities," totaled only $12.1 billion, whereas by the end of 1972 this category of bank-held securities reached a total of $27.6 billion. Furthermore, the percentage of such "other securities" rose from only 9 per cent of total securities held by all banks to more than 16 per cent in the same period. This category of bank investments includes such miscellaneous items as loan to farmers directly guaranteed by the CCC,Export-Import Bank Portfolio Fund Participation, and corporate stock. But For the most part this category of investments consists of bonds and debentures issued by various instrumentalities of the federal government or government-sponsored credit agencies.