FINANCIAL PROBLEM.
<►- DEARER MONEY. Imperial News Service—Press Association (Received April ISth, 5.5 p.m.) LONDON, April IC. In connexion with the advanco in the bank rate, the. policy of dearer moneyhas been accepted in co-operation with the Treasury, which has raised the rates on Treasury Bills. It is thus hoped to curtail credit expansion and speculation, and to encourage holders of Treasury liills to renew -them as they fall due, thus generally strengthening tho country's financial position. Opinion in the City is divided as to the wisdom of this policy, but it is agreed that tho rise emphasises tho necessity for dealing with the enormous floating debt in such a way as to remove its disturbing influence on tho money market. The rise in the bank rate is also connected with the exports of goldto America for the purpose of repaying the British share of the Anglo-French loan maturing in the United States in October. Tho .stoppage of the export of snecie is not contemplated, but_ it is hoped tho rise will prevent other inroads on the bank reserves.
Permanent link to this item
https://paperspast.natlib.govt.nz/newspapers/CHP19200419.2.34
Bibliographic details
Press, Volume LVI, Issue 16812, 19 April 1920, Page 6
Word Count
178FINANCIAL PROBLEM. Press, Volume LVI, Issue 16812, 19 April 1920, Page 6
Using This Item
Stuff Ltd is the copyright owner for the Press. You can reproduce in-copyright material from this newspaper for non-commercial use under a Creative Commons BY-NC-SA 3.0 New Zealand licence. This newspaper is not available for commercial use without the consent of Stuff Ltd. For advice on reproduction of out-of-copyright material from this newspaper, please refer to the Copyright guide.
Acknowledgements
This newspaper was digitised in partnership with Christchurch City Libraries.
Log in