THE LOAN FROM THE UNITED STATES

Dominion, Volume 9, Issue 2592, 14 October 1915, Page 5

THE LOAN FROM THE UNITED STATES

BILL IN BRITISH PARLIAMENT STATEMENT BY CHANCELLOR By Telegraph—Press Association—CopyrVhl New York, October 12. Ail additional Anglo-French' credit of fifty millions sterling is being discussed. " , : LOAN BILL 'IN BRITISH PARLIAMENT. Underwriting cost criticised. Uiec. October 13, .9.35 p.m.) London, October 13. In the House of Commons Mr. R. M'Kenna (Chancellor of the Exchequer), introduced the American Loan Bill, and explained its purpose. The Bill was read a third time* after seme criticism on the ground of the high underwriting commission—2 per cent.' Mr. M'Kenna stated that the imports from America lad increased during the first six months of 1915 by 68} million sterling, exclusive of Government supplies. The reduction in our exports -to America during the _ same period was twelve million. -Replying .to criticisms' he pointed out that tho Commissioners vainly asked for two hundred million, then 140 equally in vain, and all thoy ','wero able to get was a hundred ; million, and there was no great rush to offer that. While, therefore, from . the British viewpoint the terms were , startling,, the American .view was quite different. ■The majority of the speakers agreed that the terms were the best obtainable. "We pressed for the loan, and were obliged to pay the American terms." i

Mr. L. TV. Evans (Unionist) -urged that witli a view to preventing a further fall iu the exchauge the Government should commaiidecr _ the' foreign securities held by British investors, 1 to be used to restore the balance. Others approved, adding that tlio war loan should be used for the payment of the commandeered securities.

Mr. M'Kenna replied that he had been attracted by the idea, but difficulty arose in the case of securities paying eight and ten per cent. ' MEETING OF FINANCIERS ■ DOLLAR, OR POUND STERLING? (Rec. October 13, ]0.30 p.m.) New York, October 13. 'A meeting of British and American financiers is to be held for the purpose of devising a method to bolster up the value of the pound sterling, whioh is now too far below par to make the con- • tinued buying of American exports, desirable from the British viewpoint. Experts are unanimously of the opinion that one remedy, when the billion .loan is _ spent, would be the virtual /elimination of tho pound as:a standard in the world of finance and tho .'substitution of the dollar for at least tlie remainder of the war. A supplemental loan of,a quarter of a billion under these conditions could be easily floated iu London. .