asked the Chancellor of the Exchequer what has been the weighted average exchange rate for the pound sterling against currencies other than the United States dollar each quarter since the beginning of 1979 and each month in the current year.

The information requested is in the table.

asked the Chancellor of the Exchequer what assessment he has made of the effect on international trade caused by sharp fluctuations in exchange rate movements.

There is little empirical evidence that short-term volatility in exchange rates has any significant effect on the volume of international trade. Larger and more persistent movements, however, may lead to changes in the patterns of international trade which are unlikely to be sustainable, and to a dangerous build-up of protectionist pressures.