FUTILE TALKS AT CANBERRA

Southland Times, Issue 23647, 24 October 1938, Page 7

FUTILE TALKS AT CANBERRA

Defence Plans In Australia LOAN OF £4,000,000 TO BE RAISED (United Press Assn.—Telegraph Copyright) (Received October 23, 7.30 p.m.) ' CANBERRA, October 23. Newspaper correspondents declare that the loudly-heralded conference of Federal and state Ministers, which was to have set Australia on the road to security, ended in futility, but the Prime Minister (Mr J. A. Lyons) indicated yesterday that another will probably be held within six weeks. The Sunday- Sun’s representative states that the gathering had scarcely met when it became evident that the Commonwealth had no concrete plan to offer.

The Premier of New South Wales (Mr B. S. B. Stevens) took the view that the states would have little chance of carry-

ing on a big programme of co-ordina-tion in defence unless vigorous action were taken by the Commonwealth to support the money market. The Sun adds: “The sum total of the week-end labours was a decision to raise an additional loan of £4,000,000, of which £2,000,000 will go towards urgent defence works.” The Sunday Sun says there is no immediate prospect of Mr Stevens entering Federal politics. The events of the week, including the conference at Canberra, have proved that he would not be welcomed in the Federal Cabinet, it says.

AUSTRALIAN DEFENCE BORROWING

LOAN EXPENDITURE NOW £6,000,000

CANBERRA, October 22. The Federal Loan_ Council has approved the proposal 7 of the Federal Government to borrow an additional £4,000,000 for defence.- This will increase the loan expenditure on defence to £6,000,000 and will bring the total expenditure on defence in-.the current year to £20,000,000. The loan, will be floated simultaneously with a conversion loan of £67,600,000, to be issued at par at an interest rate of £3 17/6 per cent. The loans will be launched within a fortnight.