FRENCH FINANCES

Grey River Argus, 6 March 1937, Page 9

FRENCH FINANCES

CRISIS ACUTE A Fresh Devaluation ? BRITAIN NOT RISKING ANYTHING. (Aus & NZ Cable Assn.) ■ ' LONDON, March 4. The Australian Associated Press political correspondent understands that the British Government, while expressing active interest and strong sympathy to M. Blum in his financial difficulties, has firmly intimated that neither thc Treasury nor th e Bank of England is at present able, to extend further financial support. (Received March 5, 10 p.m.) LONDON, March 5. Tho "Daily Telegraph’s’’ Paris correspondent says: 'The Prime Minister of Franco, M. Blum, unexpectedly summoned the Cabinet at 10 a.m. today. It is persistently reported that the Cabinet meeting is to take far-reach-ing decisions to relieve thc financial situation. These are expected to include the stabilisation of the franc at 112 to tho pound. It is at present 105 .to the pound. It is expected, that there will be also concessions to secure the return of hoarded gold and capital to France from abroad, and also changes, in the financial policy. The anticipation of thc decisions has caused Government bonds and other securities to appreciate sharply. WHAT WILD BE DONE ? LONDON, March 5. The Paris correspondent of "The Times’’ states he does not believe that, either stabilisation of the franc bi;it devaluation will occur; He expects that the Government’s measure will be limited to a policy of dealing with personnel withdrawal of capital from France, also to taxes on transactions in gold and. in foreign currencies, with a view of reassuring the capitalists!.