RECOVERY IN FRANCE

Wairarapa Times-Age, 23 December 1938, Page 5

RECOVERY IN FRANCE

FINANCE MINISTER’S CLAIMS INDICATIONS OF INDUSTRIAL REVIVAL. INFLATION OF THE CURRENCY DENIED. By Telegraph—Press Association—Copyright. PARIS, December 22. The Minister of Finance, M. Reynaud, defending his financial policy in the Chamber of Deputies today, said that the recovery measures had increased confidence and caused stocks to rise to £335,000,000. Government bonds alone recovered £167,000.000, and gold was voluntarily returning to France. The franc continued strong, and the Exchange Equalisation Fund had even had the support of sterling in recent weeks, entirely reversing the previous position. He added that nobody had effectively challenged the policy which was resulting in increased employment, higher production and lower interest rates, and giving every indication of industrial revival. M. Reynaud refuted charges of currency inflation, asserting that he had merely utilised the influx of capital which was voluntarily placed at the Government’s disposal. It was essential for France to know that her position was improving. A general loosening of purse-strings was indicated with renewed confidence. M. Reynaud said that Government stocks today gained 11 to 2i| points, and banking and industrial shares were sharing in the recovery. DECREES APPROVED CONFIDENCE EXPRESSED IN M. DALADIER. RATHER NARROW MAJORITY. (Received This Day, 10.10 a.m.) PARIS, December 22. The Chamber of Deputies expressed confidence in M. Daladier by passing the Finance Bill by 291 votes to 284. There were forty abstentions. The vote is tantamount to approval of the decree laws, though M. Daladier has lost twenty-four votes since the last division.