GERMANY.

Hawera & Normanby Star, Volume XLII, Issue XLII, 6 August 1923, Page 5

GERMANY.

RESTRICTING CREDITS

BY CABLE—PRESS ASSOCIATION—COPYRIGHT BERIiIN, Aug. 3. The- Reichsbank has decided on a policy of severely restricting credits in future and the raising of the bank rate to thirty per cent, is intended to this end. With the previous rate* the bans acted as a sort of fairy godmother, lending at eighteen per cent, and permitting repayment on a face value, which might have depreciated to fifty per cent, or more. The bank has also decided to- introduce credits fixed on th<? value basis, which will probably be security for commercial bills.