A DISPLAY OF CONFIDENCE.

Taranaki Daily News, 8 November 1932, Page 4

A DISPLAY OF CONFIDENCE.

The result of the latest conversion loan of £300,000,000 raised by the Government of Great Britain adds another to the fine examples of patriotism and confidence in the future which have been displayed there since the National Government took office. At a time when attacks upon sterling in various countries were lowering its value, with the European outlook graver than at any time since the outbreak of the Great War, and with the Ottawa agreements raising fiscal and political questions which might well wreck any unstable Ministry, the Government asked investors to show their confidence by supporting a conversion loan. To the individual it meant receiving a smaller return upon his investment, to the Government it meant a decrease in the huge interest bill that is one of the war legacies, and to the rest of the world it was a reminder that confidence in her destiny and trust in the nation’s leaders were still characteristics of English men and women. The success of the loan was impressive. In three hours its success was assured, and the loan largely over-sub-scribed. The effect upon sterling was immediate. The downward tendency was arrested, and recovery began. The whole transaction makes it clear that whatever political differences may divide the electorate of Great Britain, however cautious it may be in accepting new fiscal arrangements, an appeal to the nation as a whole in a time of emergency will never be disregarded. Incidentally, the response to the loan has shown how wide are the financial resources of the United Kingdom when a testing time arrives. They are found in all classes of society, and in all degrees of wealth, but, given belief that the need exists, they are willingly placed at the disposal of the State. No finer reply to doubts or criticism could have been attained by any Government.