FINANCES OF AUSTRALIA.

New Zealand Herald, Volume LXVII, Issue 20668, 13 September 1930, Page 11

FINANCES OF AUSTRALIA.

RELIEVING DEPRESSION.

CABINET ABOUT TO MEET.

EXPERT ADVICE RECEIVED

By Telegraph—Press Association—Copyright, (Received September 12, 9.5 p.m.) CANBERRA. Sept- 12,

The k members of the Federal Cabinet arc assembling at Canberra in order to take practical measures to solve the problem of the Commonwealth's financial depression.

Sir Robert Gibson, chairman of (he Commonwealth' Bank, and Mr. If. W. Gapp, formerly head of tho Migration Commission, will act as advisers to the Cabinet on matters of finance and trade development. Already (hoy have submitted a report emphasising that the costs of production must bo reduced to enable Australian products to bo sold overseas at a profit. Otherwise, they say, the unemployed probably will increase to 500,000 by Christinas.

LEAN TIME ANTICIPATED

NO NEED FOR PESSIMISM.

MORE GOLD TO BE EXPORTED

SYDNEY. Sept. 12.

In a review of Australia's economic position and prospects, the directors of tho Commonwealth Bank in their halfyearly report say that at present there is no justifiable reason to believe that the world's prices for tho country's exports are likely to improve in the near future. They emphasise that the lean time ahead must bo shared by all classes of the com-

munity. Conditionally on tho necessary action being taken to correct the economic position, they anticipate that Australia will overcomo her difficulties. Tho directors announce that they expect to have to consider the shipment of more gold overseas at an early date, to build up the gold exchange reserve. The bank's gold reserve against the note issue amounted to 44.38 per cent. Under the powers conferred Inst year for the acquisition of gold held in Australia, the bank had transferred £12,000,000 worth overseas. With tho amounts shipped by the trading banks the total sent overseas was £16,650.000 during the six months, and £26,500,000 in the whole vear.