DEFAULT MUST COME.

Auckland Star, Volume LXIV, Issue 206, 1 September 1933, Page 4

DEFAULT MUST COME.

WITH FIRST BAD SEASON. Addressing members of the Constitutional Club at their luncheon meeting in Melbourne, Mr. A. C. Davidson, manager of the Bank of New South Wales, Sydney, [ declared that with the shrinkage in AusI tralia's commodity balance of £11,000,000— £22,000,000 in 1932-33, as compared witli J £33.000.000 in 1031-32—she was faded with a difficult position to-day in meeting, her external interest bill, although, she was likely to get remissions that would help to some extent. In spite of her sacrifices she might find that default would be forced, upon her even now. reports the " Mel-! bourne Age." . He would put if more ! strongly than that. She would certainly j have to.default if she got a had season, and there did not seem to I.? a prospect of hcrj fretting such a good season as she had last' . season. Only by an abnormal run of good] seasons had she "been able to keep' up ore:-! scvi loan interest payments. I Since the above address was delivered; the Australian wool season has opened soi auspiciously that Mr. Davidson may feed, justified in revising his pessimistic.forccast.'