AUSTRIA’S RELIEF

Dominion, Volume 24, Issue 226, 20 June 1931, Page 7

AUSTRIA’S RELIEF

Bank of England Praised COURAGEOUS POLICY New Confidence in Europe EFFECT OF BIG ADVANCE (Rec. June 19, 5.5 p-m.) Official Wlielesa. Rugby, June 18. The news that the Bank of England has made an .interim advance of 150,000,000 shillings (nearly £4,500,000) to the Austrian National Bank pending the completion of negotiations for an international loan to the Austrian Government to provide the necessary funds to guarantee the liabilities of the Credit Anstelt was received in Vienna with an expression of keen satisfaction. The promptitude of the Bank ■ of England’s action is warmly approved in British financial circles. The City Editor of the “Evening News” says that since the war the Bank of England consistently has pursued a policy designed to promote general world stability, under the conviction that world monetary conditions are now so bound up together that every Industrial country depends for Its prosperity on the measure of general stability. Answer to Appeals. The bank’s entry into the present Austrian complication after appeals by the Austrian authorities is actuated by this motive. The City Editor of the “Evening Standard,” commenting on the more assured feeling in the markets, says 1 Is reported from German financial circles that some money already has returned to Germany. He adds: “The most Important factor leading to greater confidence In Germany is the help which the Bank of England Is giving Austria. "Credit granted to Austria should bo a means of restoring stability in that country, and. increasing confidence throughout Central Europe.”

A feature of the foreign money market in London to-day was a sharp recovery in German bonds.