GRAVE OUTLOOK

New Zealand Herald, Volume LXXIV, Issue 22616, 2 January 1937, Page 9

GRAVE OUTLOOK

DISTUEBED EUEOPE MR. BALDWIN'S WARN INQ URGENCY OF REARMAMENT By ) Telegraph/—Press Association —Copyright (Received January 1, 5.5 p.m.) British "Wireless RUGBY, Dec. 31 The Prime Minister, Mr. Baldwin, as Conservative leader, sent a New Year message to the Primrose .League in which he refers to the (disturbed condition of Europe and [asserts that the Government's [foreign policy is the only possible if Britain is to be secure from Jattack and retain her influence on jthe side of peace, t Jlr. Baldwin adds: "Tn the face 'of the world situation and tho rapid 'growth of armed forces in Europe, the [rearmament programme is a necessity ,no British Government dare ignore. Britain's armed forces will never be (iised for a, purpose inconsistent with :the Covenant of the League of (Nations, and no foreign country need ttear that Britain has aggressive iq..Aentions."

GERMANY DETERMINED HITLER'S DECLARATION "GIGANTIC STRUGGLE" •t STRENGTH OF THE ARMY • fc \ (Received January l, 7.40 p.m.) BERLIN, Jan. 1 IHerr Hitler, in a New Year message to the Nazi Party, declares: "Ihe year 1937 finds us more determined than ever to take up a new Band gigantic struggle for the nation's loconomic existence. The nation, freed prom the political fetters of Versailles, /"will, within the next four years, rid |itself of the economic bonds. ' "The building up of the Army will |give Germany strength to assert herself the world, which at present is as never before by grave international dangers." ; The Minister of Propaganda. Dr. nGoebbels, in a broadcast message, emjrphasised that Germany's chief task in K1937 will be in connection with th>; Vfour-year plan and the fight against .Communism,

JAPAN'S DEFENCES WARNINGS BY MINISTERS GREAT BOOM IN TRADE i (Received January 1, 8 p.m.) I 'Times Cable LONDON, Jan. 1 j The correspondent of the Times in ! Tokio reports that decorated streets, j crowded shops and laviuh spending atj- test the new high-water mark of prosperity attained by Japan in 1930. but j the Prime Minister. Mr. Hirota, and i this colleagues in a Xew Year message jladopt a tone of gloom. They find chaos riin Europe, uncertainty in the Pacific ,>and dark shadows in China, and point tout that all nations are arming. They emphasise that Japan must strengthen jher defences and prepare for a crisis, j These warnings reflect the temper fof the Government, which is facing la difficult session when the increases fin taxation must be defended. In the meantime the shops report unprecedented buying. Half-a-dozen new theatres in the centre of Tokio play : to crowded houses, and the luxury hotels in the resorts around Tokio are filled with thousands of young people. This prosperity is partly due to the munitions boom financed by borrowing, but a good rice harvest and high prices (for silk are also factors. OF PEACE - LEADERS' MANIFESTO (hopes centred on league (Received January 1, 5.5 p.m.) LONDON, Dec. 81 i Members of all parties, including jMr. Winston Churchill, Major Attlee, Mr. Lloyd George and the Archbishop of Canterbury, have issued a declaration that peace can be maintained only under the Leaguo Covenant, with military action in its support if necessary. Similar declarations are being issued in various European countries, signed by leaders of public opinion.

RUSSIA'S DESIRE PREVENTION OF WAR WARNING TO ENEMIES (Received January 1. 5.5 p.m.) LONDON, Dec. 31 The Russian Ambassador to Britain, M. Maisky, in a speech in London sadd: "l am not revealing a secret when 1 say that Russia to-day feels strong enough to defend herself successfully, single-handed, against any Power or combination of Powers." Nevertheless Russia's goal was not to win but to prevent war. Ho added that Russia hoped to become the 'world's chief gold-producing country. !Her output at present was second to ■that of the Rand.