CREDIT MENACED.

Ashburton Guardian, Volume XLV, Issue 10350, 14 March 1925, Page 5

CREDIT MENACED.

RUSSIAN TRADE.

STATE BUSINESSES HIT.

PEASANTS' SERIOUS PLIGHT

(Per Press Association—Copyright.) (Received This Day, 9.40 a.m.) LONDON, March 13. Apropos of reports current in the Baltic exchange that Russia is negotiating to buy Australian wheat, interest attaches to the "Daily Telegraph's" statement of a sharp shrinkage in the trading turnover, menacing the whole Russian credit, due to the exhaustion of the buying capacity of the peasants, who no longer have corn or other products to exchange for goods. The Soviet's co-operative societies and State trading organisations are badly hit, as during the autumn they bought largely on credit, chiefly against bills. According to one authority, 180,000 bills, valued at 475,000,000 roubles, are protected to the middle of December, and an even greater number in January. . The chairman of the Soviet State Bank says only 33 per cent, of th© cooperative bills have been paid. Probably in order to avoid discredit abroad, the Soviet will arrange assistance.