CREDITS FOR FRANCE

Greymouth Evening Star, 2 March 1946, Page 5

CREDITS FOR FRANCE

BRITAIN REFUSES TO RENEW

AGREEMENT

TRADE AT A STANDSTILL

LONDON, March 1

Reuter’s Paris correspondent says that a spokesman of the French Foreign Office states that Britain has declined to renew the financial agreement between Britain and France, which was signed last year, and which expired to-day. The spokesman expressed surprise at the suddenness of this British decision, which, he said, was “indicated in a terse and ambiguous Note which was received by France on Sunday last.” He added that the termination of the agreement would practically end the trade between Britain and Frsnce. Reuter’s correspondent adds that the Anglo-French financial agreement opened a period of reciprocal credits for twelve months, whereby there was available £100,000,000 for French purchases in Britain and 20,000,000,000 francs for British purchases in France. Britain purchased in France last year only a fraction of the total credit provided. French purchases exceeded the stipulated amount. „ , The Government of France yesterday transferred to the account of the British Government £40,000,000 worth of gold. This represents a settlement of part of a balance due to Britain under terms of last year s financial agreement.