STERLING BLOC

Taranaki Daily News, 19 July 1933, Page 7

STERLING BLOC

DISCUSSION BY EMPIRE BRITAIN’S OPINION AWAITED SCANDINAVIANS’ SUPPORT DOLLAR PURSUIT RUINOUS CONFERENCE STAGNATION By Telegraph—Press Assn.—Copyright. London, July 17. It is generally agreed that the Economic Conference should have terminated when the previous deadlock occurred, as nothing has been accomplished since and nothing is likely to be accomplished. . . • , About all that remains to inspire the Dominions’ hopes is the possibility of the formation of a sterling bloc, regards ing which the Empire delegations met this afternoon to see whether the project appeals to Britain. If Britain is agreeable it is taken for granted that Argentina, Denmark and the Scandinavians will automatically attach themselves. It is prophesied -that the participants would undertake not to operate on individual exchanges to one another’s detriment, in which case Australian and New Zealand depreciation would come up for discussion. .. On the other hand, should Britain decide against a bloc anxious eyes will be turned to the slide of the dollar. Nobody cares to express an opinion on what would result if sterling went, in pursuit of the dollar in the mad race for depreciation. Consequently to-day’s Empire meeting is one of the most momentous of the conference. Even those who a fortnight' ago deplored as a calamity the attempt to adjourn now admit that it would have been better than, the unpromising anti-climax to which the conference is now drifting, one subject after another being threatened with inconclusiveness, as, far example, to-day’s Empire meeting, which deferred until to-morrow the discussion on the sterling bloc and instead considered the position of dairy produce in the direction supported by Australia and New Zealand. .'.;y Having its study withdrawn from the agenda of the Economic Commission, Britain is at present unable to de*cide thereon; nor was Britain . to-day ready with new proposals for further regulation of Dominion supplies. One delegate described it as a stage of “humming and ha-ing.” The problem will be further discussed to-morrow, when also talks on wheat, both with the Danubiajis and consumers will be renewed.