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Hokitika Guardian, 24 October 1930, Page 4

Very large amounts of British capita] arc invested in Argentina, and the recent revolution there naturally created sonic concern on this side says a London commercial journal. The Stock Exchange regarded the event as a hull point, (especially as the exchange value of the Argentina peso which had previously fallen to the lowest point recorded for several years

past, became quite firm when -'it was found that the change o<? : Government had been accomplished witlmm undue disturbance. Further, aim statement issued by the new President was regarded as reassuring. Argentina, in common with other countries, is experiencing a phase of economic adversity, and it is thought that trade depression, a poor harvest and the heavy fall in prices of staple products created a feeling; of discontent among tlm people which led to a demand for a .change of Government. The British owned railways operating in the country have naturally suffered from the unfavourable conditions (prevalent, and have had to reduce their dividends. - The Central Argentine Company, for example, experienced a decrease in gross receipts for the year ended June 3.9 last of £2,621,609. hut it was able to announce a dividend which meant a reduction of only £oPO,OOO in the amount received by the stockholders. This result would seem to point to a great's saving in working expenses, for in addition to the drop in gross receipts the railway companies were badlv hit by the adverse exchange, which involves a heavy loss on re- I mittances effected from Buenos Aires to London. During the fiscal year the value of the Argentine peso fell from 47Jd to about 40d, and since then it has touched 38 13-16 d. That the outlook is regarded favourably by important financial institutions is indicated by the statement that two of ([.he British banks- operating in the country and an important Canadian

institution have extended loans to the Argentine Government in order to tide over a difficult period. In about six months time a British Trade Exhibition is to be held at Buenos Aires, and naturally concern was felt about its opening. The news received in London was that there was no occasion for fear in connection with recent events, and all arrangements are going forward satisfactorily, the new Government supporting. The Prince of Wales is to visit the Exhibition during its progress, so that the event will be on the world map very definitely. As British firms maintain a large trading intercourse with Argentina the event has some overshadowing effect on the Imperial Conference j now sitting where the Dominions are asking for preference. On the other hand Argentina has a slogan: “Buy from those who buy from us.”