5,000,000 WORKERS

Greymouth Evening Star, 11 February 1947, Page 8

5,000,000 WORKERS

FIVE-YEAR ECONOMIC PLAN FOR CHINA RECONSTRUCTION SCHEME NEW YORK, February 9. “A high Chinese Government source has revealed that China’s post-war five-year economic reconstruction plan will involve an outlay of 21,973,000,000 Chinese dollars and require 5,000,000 workers,” reports the correspondent of the United Press in Nanking. “The plan has been approved by Marshal Chiang Kai-shek and the Supreme Economic Council, and it will be implemented at the Government’s discretion. “The reconstruction programme includes projects to be financed by the Chinese Government and private capital, also foreign capital, thus indicating considerable relaxation, in the existing restrictions on foreign investments in China. “The programme lays the greatest emphasis on communications, especially railways and highways. National defence, industries, railways, wire communications, large power plants and other public utilities will be exclusively State financed. “Meanwhile, runaway inflation has sent black market quotations on gold and United States currency up to 50 per cent, in three days with prices simultaneously spiralling upwards. The exchange rate at the close of Saturday’s black market transactions was 11,400 Chinese dollars to the American dollar, compared with the official rate of 3350 to The correspondent of the Associated Press says that... gloomy business circles fear that Marshal Chiang Kai-shek’s regime is in imminent danger of an economic collapse, the latest blow being the United . States announced intention of levying a special tax on imports from China.. The United States Consulate m Shanghai announced yesterday that America would levy on imports from China special tax equal to the import bounty paid by China to exporters. , . J The Chinese Prime Minister (Dr. T. V. Sr/ong announced on February 5 th§t the Government was granting a 100 per cent, export bounty .to stimulate China’s faltering foreign trade. The subsidy would be financed by an ad valorem supercharge of 50 per cent, on certain imports. The Associated Press says that American action will halt United States imports to China. After Dr. Soong had announced the export scheme prices" in China rose substantially.