WAR DEBT PAYMENT,

Waikato Times, Volume 113, Issue 18849, 20 January 1933, Page 7

WAR DEBT PAYMENT,

FINALITY IMPERATIVE.

AFFECT WORLD CONDITIONS.

A BANKER’S DECLARATION. ' United Press Assn.—Elec. Te!. Copyright. (Received Jan. 20, 11.45 a.m.) LONDON, Jan. 19. Outspoken remarks regarding war debts were made by the chairman of Barclay’s Bank, Mr F. G. Goodenough, at a meeting of shareholders. He declared that there must be some finality on the question, which was so vitally affecting the present and future conditions of the whole world. Dir Goodenough expressed the belief that the City of London would regard as useless the suggestion that, pending a satisfactory settlement to all debts, the instalments should continue to be paid. No matter how long the discussions might be prolonged Great Britain, he said, should not pay any further instalment until the whole matter had been discussed and an agreement for final settlement reached. Remarking on Britain's economic policy,' Mr Goodenough said it had been due to the inability of other countries to arrest the decrease of trade since the war that the change in British policy .had become necessary, but the fundamental principle that a creditor nation must permits its debtors a reasonable chance to discharge their liabilities remained unchanged.

Gold Payment Impracticable. Dir Goodenough thought that Britain’s payment to America of further sums in gold might be dismissed as impracticable. The only alternative is payment in goods, and if America desires payment she must take it in this way, and make payment possible by a readjustment of tariffs. America will sooner or later have to choose between adjusting her economic policy and foregoing the whole or part of the debts due to her. Britain’s return to the gold standard is impossible until she can feel sure that the conditions are sucli lliat she and other countries will not again be forced to suspend it. Regarding the industrial situation, Dir Goodenough suggested that it might be possible to hold an early conference with the Dominions, with the object of arriving at means to alleviata the great evil of unemployment.