N.Z.’S CREDIT OVERSEAS

Southland Times, Issue 24004, 20 December 1939, Page 8

N.Z.’S CREDIT OVERSEAS

Unique Chance To Rehabilitate EXPORT PAYMENT IN STERLING (Special to The Times) DUNEDIN, December 19. “The Stock Exchange as a body knows no politics or political party,” said the chairman (Mr Harman Reeves) at the annual meeting of the Dunedin Stock Exchange.” We cannot fail, however, to be alarmed at the drift in the financial position of the Dominion and at the reckless public expenditure over the last few years. “The party in power has now however, a unique opportunity to rehabilitate the credit of the country in the financial world,” he said.. “It has commandeered the whole of the exports of the country. These exports will be paid in sterling in London at substantially higher prices than those of last year. The sum realized, less payment for debt services and payment for restricted imports, should leave a substantial margin of profit in the sterling exchange account. “With the curtailment of extravagant expenditure in the Dominion, the country may yet weather the financial depression and ruin that many have been predicting. It is a wonderful opportunity to restore our financial credit and regain the good name we previously had in financial circles throughout the world. Will it be done? Will the exchange position be rectified and our £1 once again be restored to its former position alongside the Australian £1 and the British £1 or will we continue to live in an atmosphere of financial doubt and instability?”