DRASTIC CHANGES IN POLICY

Timaru Herald, Volume CXLIII, Issue 20669, 6 March 1937, Page 17 (Supplement)

DRASTIC CHANGES IN POLICY

FINANCIAL CRISIS IN FRANCE PRIME MINISTER’S PROMPT DECISION United Press Association—By Electric Telegraph—Copyright (Received Mrach 5, 5.5 p.m.) LONDON, March 5. The Paris correspondent of “The Daily Chronicle” says: “The Prime Minister, M. Blum, unexpectedly summoned Cabinet for 10 a.m. to-day. It is persistently reported that the meeting will take far-reaching decisions to relieve the financial situation, which are expected to include the stabilisation of the franc at 112 to the £, concessions to secure the return of hoarded gold and capital from abroad, and changes in financial policy, the anticipation of which caused Government bonds and other securities to appreciate sharply.” The Paris correspondent of “The Times” does not believe that stabilisation and devaluation will occur, but expects the Government’s measure will be limited to policy and personnel, and the withdrawal of taxes on transactions in gold and foreign currencies, with a view to reassuring the capitalists. NO BRITISH HELP OFFICIAL REPLY TO FRANCE United Press Association—By Electric Telegraph —Copvrlgbt LONDON, March 4. The Australian Associated Press political correspondent understands that the British Government, while expressing active interest and strong sympathy to M. Blum in his financial difficulties, has firmly intimatqd that neither the Treasury nor the Bank of England is at present able to extend further financial support.