DEVALUATION OF THE GUILDER BY DUTCH PARLIAMENT

Greymouth Evening Star, 21 September 1949, Page 5

DEVALUATION OF THE GUILDER BY DUTCH PARLIAMENT

LONDON, Sept 21 (Rec 11 a.m.) —Holland has. devalued the guilder to 3.65 to the dollar. Anouncing the devaluation to the Dutch. Parliament in The Hague today, the Finance Minister, Mr Pieter Lieftinck, said that the new exchange rate would operate from midnight. The Government was convinced of the necessity for the change. The shock caused by the devaluation of the pound sterling, and its reaction on both the external and internal economic structures, gave cause for anxiety. Mr Lieftinck added that the Indonesian guilder would be devalued by the pre-federal government to the ! same extent as the Dutch guilder. I Australian Farmers Rush To Buy Petrol SYDNEY, .This Day (Rec. 1 p.m.). are rushing country depots to buy kerosene, petrol and oil following the devaluation announcements. Oil company officials say there is no need for panic buying. The secretary of the Service Station Association of New South Wales, Mr C. A. Gregory, said that the retail price of petrol in Sydney of 2s B’d per gallon included the landed cost, 11.7 d duty, 10.9 d gross margin of the oil companies, 6.17 d and resellers’ margin 3.75 d. Devaluation would mean an increase in the land- : ed cost, but the effect on the public could be cushioned if the Government reduced its tariff. Melbourne reports state that Australian wheat farmers will gain about 3,s a bushel from the devaluation of the pound and ’the Canadian dollar. I The general manager of the Australian Wheat Board, Mr C. J. Per- ' ret, said that Australian wheat; would ' now sell under the terms of the International Wheat Agreement at a maximum price of ...14s 6d per bushc>, i instead of Us 2d per bushel. 'french explanation i PARIS, Sept. 20 (Rec.tl p.rn.lA- ' The French Minister of Finance said tonight that revaluation of the French franc was decided on to meet British export competition in foreign markets. There was no valid reason for changing the free market irate of 330 francs to the dollar, except that the maintenance of that I rate would have handicapped E rance I in her dealings with the sterling zone : : and in areas where, she competed i with sterling goods. _