Commonwealth Rehabilitation

Manawatu Times, Volume LV, Issue 6835, 16 April 1932, Page 6

Commonwealth Rehabilitation

Interest Must Come Down BRIDGING OF EXCHANGE GAP United Press Association. —By Electric Telegraph.—Copyright. MELBOURNE, April 15. Mr Lyons (Prime Minister and Treasurer) has made it plain, in his speech at the Premiers’ Conference, that the £10,000,000 unemployment relief loan will be subject to all the States giving a definite guarantee that the terms of the Premiers’ Plan and the expert committee’s ■-'t-'ils will be carried out. The Prime Minister said the Government approved of the recommendation of the committee that State Governments should compel a reduction in the rates of interest paid by private individuals, as contemplated in the Premiers’ Plan. Cabinet had approved of a proposal to set up an honorary Federal Employment. Council and six similar council! in the States. The Federal Government had agreed with the recommendation that exchange should be increased to bridge paid of the gap between costs and prices. It had also agreed that the exchange rate be controlled by the Commonwealth Bank, free from political control. The Premiers’ Plan had stipulated that tho Government deficits for 193132 bo £13,000,000. They actually would amount t« 8.000,000. Mr Lang listened attentively to the Prime Minister’s speech. He asked no question °"d took no part in the debate. Later, Mr Lang stated that he would oppose the proposal to reduce wages.

VICTORIAN DISSOLUTION MELBOURNE, April 15. The decision of tho Lieutenant-Gov-ernor (Sir William Irvine) to dissolve the Victorian Assembly had the approval of the Leader of the Opposition. (Sir Stain,ley Argyle) and the Leader of the United Country Party (Mr J. Allan). However, few people expected a. dissolution, which eourse was recommended by the aetir.g-Premier (Mr T. Tunnicliffe) owing to failure to win b'ack certain members of the Labour Party who were determined not to repudiate the financial rehabilitation plan