LOWER RATE OF INTEREST

Timaru Herald, Volume CLVIII, Issue 23346, 1 November 1945, Page 5

LOWER RATE OF INTEREST

Sought By British Government Loan From America (11.55 p.m.) NEW YORK, Oct. 31. The British Government after studying the proposals for a loan of 4,000,000,000 dollars at 2 per cent, instructed the financial delegation at Washington to seek longer credit at lower rates. The Washington correspondent of the “Herald Trimune” says there are indications that the United States is unwilling to make any appreciable further consession. It is authoritatively believed that both sides reached agreement on all questions of commercial policy, except on Empire trade preferences. Even these are understood to have been resolved in a compromise scheduled for the early approval. The United States, it is believed, have largely accepted the British cartel proposals. Both nations will correct flagrant cartel abuses through the international trade organ-

isation, which comes into effect early in 1946. Britain agreed to eliminate the Empire dollar pool and urge the Dominions to pare down the sterling bloc accounts. Mr Henry A Wallace (Secretary of Commerce) during the negotiations demanded summary B’-itish action relating to the sterling bloc account and brushed aside the British statement that India, Egypt and the Dominions must be approached with the utmost tact in separate conference. He called instead for the exertion of immediate pressure to bring them into line with the objectives of the financial talks. Britain and America will attempt to settle most of the tariff problems in subsequent trade conferences.