AID FOR BRITAIN

Evening Post, Volume CXL, Issue 62, 11 September 1945, Page 8

AID FOR BRITAIN

SOUGHT BY AMERICA

LIMITED U.S. RESOURCES

(By Telegraph—Press Association—Copyright.) Rec. 11 a.m. NEW YORK, Sept. 10. The Anglo-American financial and trade negotiations are expected to have important effects on the pattern of international post-war trade, says the "New York Times" Washington correspondent. The immediate purpose is to devise ways whereby Britain can secure the goods necessary for reconstruction and the revival of peacetime industry and foreign trade, but also involved are the reconstruction of other major countries, which are seeking American aid, and the development of American foreign trade and of the peacetime economy of the United States.

The Administration accepts the principle that the revival of Britain is of considerable importance to America. Moreover, it concedes that the British, as a result of the war, are in a more hazardous economic position than they have ever. been in this century and are facing much more complex and dangerous problems than the United States, Russia, France, or any other major ally. Consequently, the Administration is willing to give all possible assistance to Britain. Yet it recognises that it is not authorised, without further legislation, to give the British all the aid required.

Moreover, the Administration has not at its disposal more than a fraction of the lending and credit facilities to meet the requests of other countries.

Some other countries are willing to take loans at the suggested rate of 2 3-8 per cent., but the British feel unable to accept an additional loan at this interest because they cannot see how they could repay it. Washington points out that it will be difficult to give one interest rate to one country and a different rate to another.

However, countries which are able to buy most American goods will probably receive a preferred position, and Britain was America's best customer before the war.

The Associated Press correspondent in Washington ■ says it has been estimated that Britain would need from 3,000,000,000 to 5,000,000,000 dollars, which she is unwilling to borrow. The British argue that America should help to share the cost of the war since the outbreak. The Americans argue that if the British would scale down the 16,000,000,000 dollars of debt which they owe to countries in the sterling area they could take an American loan with no difficulty. Moreover, the Americans contend that Britain, to qualify for a loan, must agree to modify the Empire trade restrictions and to promote international commerce.

AGREEMENT WITH GREECE * Rec. 12.45 p.m. ATHENS, Sept. 10. The Greek Minister of National Economy, Mr. Pamos Navrokis, announced that Greece and America had signed an agreement re-establishing trade relations between the two countries. Only goods which were not brought to' Greece by UNRRA would be imported at'first. .