The Archive · 1939

Stabilization Fund Inadequate

London, July 22.

Commenting on the Chines dollar problem in its City Notes today, "The Times" says it is clear enough, in retrospect, that the. amount of money put at the disposal of the: Stabilization Fund was inadequate, fund the authorities have now 10 choose whither to leave the dollar to manage for itself as best it can with= fut support, or whether to venture a further amount of a size more in proportion to the sue of the problem, Evidently, the newspaper continues, the British' Government considers it essential, before taking any further decision, to confer with other Powers, Including the United States, which have a large trading Interest China.

It would certainly be strange, declares, if these other countries, particularly the United States, were invilling to participate in a further effort to preserve the stability of the dollar, If the dollar should collapse, "The "Times" adds, the trading interests of all countries would be virtually anrihilated, and there are surely other countries besides this which cannot. afford to be indifferent to such a Loans Planned Chungking, uly 21.

Negotiations are still" proceeding with the Chinese Government ov payments from foreign customs and salt secured loans, although no dednite decision has been' reached yet, foreign ancial circles said today.

'The negotiations Involved the 1913 Reorganization Loan, Boxer indemnity payments and the Anglo-French Toans' secured by the Customs and also the Crisp loan secured by the Salt Gabelle, interest on which was due on July 1, and also the consolidated loans, interest on which due on July 31.

'The Government, the foreign Ananciers believed, will assume the stand taken carly' this year when payments were partially discontinued ud the remainder was earmarked by the Central Bank because of the dis location of the customs and salt revenues through the Japanese Invaston.—United. Press.

Text read from the printed page and cleaned; old type leaves the occasional error.

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