BRITAIN WILL NOT DEFAULT

Timaru Herald, Volume CXXXVII, Issue 19511, 9 June 1933, Page 7

BRITAIN WILL NOT DEFAULT

FORECAST OF CABINET DECISION

GERMAN MORATORIUM ON FOREIGN DEBTS United Press Association—By Electric Telegraph—Copyright (Received June 8, 7 p.m.) LONDON, June 8. The diplomatic correspondent of the “Morning Post” says: “It can be regarded as virtually certain that Cabinet has decided against default of the debt instalment payment. The main consideration is the unfortunate effect non-payment will have on the World Economic Conference.” “PAYMENT IMPOSSIBLE.” DECISION OF BELGIAN CABINET. United Press Association—By Electric Telegraph—Copyright (Received June 8, 7 pun.) BRUSSELS, June 8. Cabinet has decided that r~ v menfc of the war debt is impossible. GERMANY’S INTENTIONS. PROPOSED FOREIGN DEBT MORATORIUM. United Press Association—By Electric Telegraph—Copyright (Received June 8, 5.5 p.m.) BERLIN, June 8. It is widely reported that Germany is declaring a foreign debts moratorium on June 8. » Scope of Moratorium. The transfer moratorium will be restricted in scope, and will not include payments under the “standstill” agreements, which Dr Schacht will discuss in London. Germany, regardless of the moratorium, intends to repay the United States £9,000.000 the balance of the loan made during the banking crisis in 1931. The money has been ear-marked since Dr Schacht became president of the Reichsbank. Therefore, the payment will not affect the Reichsbank’s reserves.