DEVALUATION OF THE FRANC

Press, Volume LXXII, Issue 21904, 3 October 1936, Page 16

DEVALUATION OF THE FRANC

“Great Ameliorating Change”

COMMENT BY PRESIDENT OF CONGRESS

ASSOCIATION’ TBLEUBAII.) WELLINGTON. October 2. Interesting comment on the international monetary situation was made by Lord Elibank in his presidential address at the opening of the Chambers of Commerce Congress, He said:“Within the last few days there has been a very important incident. A great ameliorating change has occurred by the devaluation of the French franc, which is being followed, in the devaluation of their currencies, by both Switzerland and Holland, and other countries still oh the gold standard./ “This creates an entirely different situation, and presents real hope for international stabilisation of exchanges, for which the world has long been yearning. At the same time, we within the Empire have our special interests to safeguard in view of our trade agreements and the other measures which we have taken for Empire trade consolidation. We also presume that Other colony-owning nations will make arrangements to meet their conditions. Consequently, I cordial!,' welcome the paragraph contained in the declaration of British policy issued by the London Treasury, in which the British Government says that of course, in its policy towards international monetary relations, there must be taken 1 fully into account the requirements of the internal prosperity v of Empire countries, as corresponding concu-erations will be taken into account by the French and American governments. “There is, I am sure, no delegate to this congress who will not warmly endorse that statement. We are living in unsettled, not to say dangerous, times. The war to end war terminated in 1918, yet almost ever since war clouds have hung on the horizon. "Many nations are looking to the British Empire for leadersnip, and we must have the courage to recognise that new world conditions have arisen, and that because certain methods have served well in the past it by no means follows that they will serve in the future. “A great responsibility rests upon the British Empire. May we, as representatives of the commercial communities of the Empire, in our deliberations and actions, be worthy of our trust.”

RESULTS OF THE OTTAWA AGREEMENTS

“SOMEWHAT SHORT OF EXPECTATIONS” ' " (PKZSa AaSOCIATJOJI nusus.) WELLINGTON, October 2. “I think it is generally felt in commercial circles that while the foundations that were laid were sound, the results of the Ottawa agreements have so far fallen somewhat short • of expectations," said Lord Elibank at the opening session of the Congress of the British Empire Chambers of Commerce/ r. . iv

“They certainly have been effective Up to a point; but I might be permitted to suggest/that the various governments concerned are perhaps moving forward too cautiously. I will not pay more on this occasion,. for the whole subject is to be debated next week. "On the other side of the picture, we find ourselves faced by competition from countries having a very low standard of living, which we have helped to ©quip with the most modern machinery and transport. Unless we recognise the changed conditions and adopt new methods to meet them, unrestricted competition in price will lead to retrogression rather than progress in civilisation. The advanced nations must protect themselves against this, unless (which would be far wiser) means can be found to induce backward nations to raise their standards Of living."

A STATE LUNCHEON

WELLINGTON, October 2. A State luncheon was tendered to the delegates to the Chambers of Commerce Congress, at which the Prime Minister, the lit. Hon.'. M. J. Savage, presided. Welcoming the delegates, Mr Savage said the time would come when nations would bury- their arms, and when they would realise that the brotherhod of man was a real thing. The leader of the Opposition, the Rt. Hon. G- W. Forbes, said the holding of the congress here was a great compliment to New Zealand, and be was sure the Dominion would receive a great deal of wise guidance from the congress’s deliberations. , , . Lord ElibauK. replying on behalf of the visitors, said roost of them who had not had the privilege of visiting New Zealand previously were.for perhaps the first time recognising the importance of the Pacific, to the British races. In the United Kingdom the importance of this question was but dimly recognised, but it was 4 through assemblages of congresses sueh v as the present that information could be seminated through the Empire and brought before the right quarters. One of the questions which the congress would consider, he said, would,be that of migration within the Empire, and he belie ed the congress would decide that the time had arrived when migration could be resumed to those Dominions who were prepared to accept immigrants. , * . Lord Elibank also referred to Empire air mails, and said the delegates were particularly interested in the negotiations for the establishment of Empire air mails on a penny halfpenny rate. In conclusion, Lord Eubank said he was convinced that in the went of a future European war the Lnglish-so&king people would have to stand together.