CRITICAL POSITION

New Zealand Herald, Volume LXXV, Issue 23008, 8 April 1938, Page 11

CRITICAL POSITION

FRENCH PRIME MINISTER EARLY DOWNFALL FORESEEN FINANCE BILL AND STRIKES PARIS, April G The Chamber of Deputies passed the Finance Bill by 310 votes to 250. The early downfall of the Prime Minister, M. Blum, however, is foreseen in ominous attacks on his financial proposals in every newspaper except two Leftists publications. The proposals are denounced as dangerous and as camouflaged inflation. M. Blum's argument that the launching of a long-term loan is impossible because of the international situation is rejected.

It is rumoured that the Prime Minister will resign before facing the Senate, after which hopes are bright for the' long-awaited National Ministry. Fears are expressed that a general strike in the metal industry will eventuate. There are 100,000 workers idle. The deadlock is the result of the emploj'ers' refusal to consider the Government's proposal to submit wage increases to arbitration.

The unions blame the employers for the strikes on the ground of their refusal to arbitrate, which they say is prompted by political motives.

The taxi drivers' strike failed for lack of unanimity.

BELGIUM'S DEFICIT £12,000,000 SHORTAGE NEW TAXES TO BE IMPOSED r 1 1 (Received April 7, {i.s p.m.) BRUSSELS, April 0 Tho Belgian Cabinet, faced with a Budget deficit of £12,000,000, has decided to reduce all tho estimates except for defence by a total of £4,000,000, and impose new taxes to tho extent of £9,000,000, including an increase in certain excise and Customs duties and a special tax on certain monopolies, including insurance companies.