Australia Won't Alter Currency

Chronicle (Levin), 4 September 1948, Page 5

Australia Won't Alter Currency

(N.Z.P.A,

— Reuter.

Copyright)

Tiocervcd bi'Klay, 10.40 p.m. CAABERRA, September 3. The most authoi'itative virw is that the value oi' Ihe Austraiian ponnd will not be ehanged l'or some time. The reasons for this are tliat such a niove would be disadvantageous to tlie national interesl. The cliange would only L'ollow depreciatjon oi the stirling. Tliree faclors would bring aljout a depreeiation oi the sterling: — ___ Firstly: Serious iurther devaluation of enrreneies in Enrope. Secondly: British maliilily to conlinne to sell her full production oi lnannfactnres on ovei'seas markets at a])p)'oximately present rates. Thirdly: Unemployment . in Britain resnlting from overproduclion. None oi these factors a'ppeared likely al though in the present rapid movement of world events aity oi lliem could arise without mueh warning. Austraiian experts be'licve the most likely eventuality will be ti serious devaluation of Enropean enrreneies. Jt was explained officially that the Bretton AVoods Agreement would not prevent Australia appreeiating her eurreney ii she ; desired. The Prime Minister has reilerated that there is the elosest liaison belween Ihe United Kingdom and Austraiian Governments. A fortniglit ago Mr. (Iiifiey told ihe eonierenee of State ' Breniiers that Sir Stafford (Vipps hticl leb it he known that he ( would violently resist any cliange in the rnited Kingdom eurreney. 1 Tt tvas stated that the Austraiian (lovernment took the same stand as the United Kingdom Goverument and would resist to the , ntmost- any proposed alterations oi tlie present rates of their .j currenciesB " • • se . . - j