in the Indian bank rate to 8 per cent, which his regard-as a measure of precaution, Reuter messages indicate that there has been no startling development abroad.—Reuteri taken, with the ce-operation of foreign banks in London, to prevent reh ates. He aid thatthe Govern Tent waa' considering project for the mobilization of foreign secures marder to form w reserve which could, if necessary, be tied in Support of sterling.
Mr. Snowden said that tentative Inguiies Indicated that "Foreign Powers would not at\ the present moment welcome' an_intertational conference with a view to securi ce-operation between the "central Saoka of the different countries. Bat he declared that the British Govern strongly in favour of that curse and. that it would continue to emphasise the urgency of some such steps being taken.
"Our internal position is secure," he said, "and it is vital to maintain that position, Externally the initial] effect of our action may have serious Jeonsequences, but these will only be temporary and. confidence in sterling wi their confidence misplaced, Mr, Snowden said that the Government considered that Great Britain was entitled to some recogni from other creditor Powers of their responsibility for bringing about the present situation, He hoped that some good might come out of the [present crisis, that perhaps it would pave the way'to better international "But," he said," "the immediate effects of the situation may be at Toast as serious to countries depend-upon London as for ourselves, ud, notwithstanding the immediate isk of some temporary dislocation in the machinery of international Jeredit, T believe that sterling will Jcontinue to serve as a medium for international credit. I see no reason why sterling should depreciate to any substantial extent or for any length of time provided that our {inances are administered with proper care."
'Mlz. Snowden concluded on a note lof firm confidence, He emphasised the fact that the' present measure did not in any sense imply the initiation: of a policy of, inflation.
intended to. prevent the de preciation of sterling.
"There is no need to print paper." Ihe said, "Our inherent strength will pall us through our temporary
Text read from the printed page and cleaned; old type leaves the occasional error.