ARMS CREDITS

New Zealand Herald, Volume LXXVI, Issue 23401, 18 July 1939, Page 9

ARMS CREDITS

REQUESTS TO BRITAIN demand exceeds supply NEEDS OF THE DOMINIONS GUARANTEED STATES FIRST LONDON, July 11 Requests already made, to Britain for armament credits by the four guaranteed States—Poland, Turkey, Rumania and Greece —far exceed the £00,000,000 that the British Government has allotted for the purpose. Poland alone lias asked for arms worth more than £50,000,000. This, in addition to the fact that Britain's engineering industries are already congested. will mean a delicate rationing of the available credits and armaments. Tho new plan means, in effect, 'that Britain will become tlie chief supplier of anus to. countries with an aggregate population of more than 70,000,000, that have hitherto depended largely on Germany, including Czoclio-Slovakia, for armaments. In addition, the rearmament plans of Britain herself and the Dominions are far from complete. Consequently the new plan will create keen threesided competition between the foreign States, to which others may he added if the Peace Front gains new adherents, Britain's metropolitan forces, and the Dominions. Well-informed observers believe that the New Zealand Minister of Finance, Mr. Nash, will now have to light hard for the £0,000,000 that he is seeking. Any export credit guarantees granted other than on commercial grounds to Empire countries must come from the additional £60,000,000 now authorised, but most of this lias already been earmarked for Poland and other non-ag-gression Powers. There is ample evidence that the Government's advisers do not consider that the outlying parts of the Empire are gravely threatened, and consequently they are likely to suggest that the Dominions' needs should be placed after those of the guaranteed States. This policy is likely to be supported by the contention that the Dominions are better able to manufacture for their own needs than arc tho relatively-unin-dustrialised Poland, Rumania, Turkey and Greece. FURY AND HATE ANTI-BRITISH PRESS NEW GERMAN OUTBURSTS "FINANCIER OF DEATH" BERLIN, July 11 Tho Nazi press set a new standard of fury and hate against Britain to-day in attacking Britain's increase in export credits. The official news agency gives the lead with tho headings: "England, the Slave Driver of Europe," "England, the Financier of Death," "Millions of Pounds for the Life-blood of Others," and "State Money to buy up Whole Nations." Tho agency writes: "Britain's coldblooded purchase of European cannonfodder for England's injustice and perfidy expresses the absolute shamelessliess of tho capitalistic' Democracies." The Nachtausgabe says: "Perfidious Albion remains true to her tradition of trading with the blood of protected States." The German Foreign Office, through the official publication, Diplomatic Correspondence, states that countries like Rumania, which have hitherto played only a passive role in the "policy of encirclement," now discover that a more active part has been assigned to them. Britain's export creditors, it states, will merely be armaments creditors, .and the British arms industry will do good business. Diplomatic Correspondence adds:— "The countries which Britain proposed to furnish with arms will be unable to repay tho loans, and will thus fall under the financial domination of England, which has no money with which to repay her war debts to America, but which apparently has plenty'with which to finance tho armaments of other countries."