DEBT DISCUSSIONS

Evening Star, Issue 21292, 22 December 1932, Page 9

DEBT DISCUSSIONS

MR HOOVER AND MR ROOSEVELT NO CHANGE OF CO-OPERATION Press Association—’' ’"i-aph—Copyright. WASHING December 20. Although the communications have not been published, the New York ‘ Times’s ’ Washington correspondent to-day learned the essential points of telegrams exchanged between Mr Hoover and Mr Roosevelt in regard to co-operation in the formation of a debt commission. Mr Roosevelt’s reply today was friendly and in f £ some respects helpful in tone,” but rejected the commission idea as opposed to his own belief that the existing diplomatic agencies are sufficient for the purposes of re-examination. The reply is also unsympathetic to the suggestion of linking the debt re-examiners with the delegation to the economic and disarmament conferences, stressing the view that debts are a separate matter, but he promises “ to do nothing to retard or hamper immediate re-examina-tion.” He passively objected to Mr Hoover’s ostensible exclusion of some debtor nations, apparently wishing to leave the door open for negotiations .with France.

Mr Hoover is now faced with a decision as to whether he will proceed on his own initiative, and it is thought likely that he will be governed by Britain’s action. If she requests immediate review he could not well deny it, but if Britain prefers to await Mr Roosevelt’s inauguration Mr Hoover would probably drop the matter.

COMMENT IN ENGLAND LONDON, December 21.* It ia expected that debt talks between London and Washington will begin some time in January, but the I Telegraph’s ’ diplomatic correspondent stresses that they can only be in the nature of exploration. The feeling is growing here that it may be xiseless to call the World Economic Conference until debt settlements have been reached, at least between America and her principal debtors. Several commentators deduce from the latest Hoover message evidence of 'America’s anxiety to hasten Britain’s return to the gold standard. It is understood that Britain is in no hurry to change, but the Washington Administration is determined to use every influence to speed its restoration. ‘ The Times,’ in a leader, says: “ Mr Hoover’s apparent determination to initiate on his own responsibility, failing the co-operation of Mr Roosevelt and Congress, a discussion on the debts question will be wholeheartedly welcomed, as agreement, must be reached before June* in order to avoid a crisis. A series of defaults would be disastrous to the countries concerned. The message shows a broader and more realistic attitude than the earlier messages did. This may indicate a clearer American grasp >of economic realities, hut a striking omission is any allusion to tariffs and other measures preventing debtor countries from paying debts normally by goods and services.”

THE FRENCH POLICY PARIS, December 21. The new Ministerial declaration is not expected to diffeg in regard to either debts or general policy from the policy of M. Herriot, Parliamentary opinion is still opposed to debt payment, and this hostility is likely to continue unless unforeseen developments show that it would bo advantageous to France to reverse her attitude.

FUTURE OF THE GOLD STANDARD LONDON, December 21. (Received December 22, at 9 a.m.) The: ‘ Financial Times ’ says that the future of the gold standard must depend on the ability of the World Economic Conference to bring stabilisation to monetary and economic affairs. It cannot be decided until the debt issue is settled.