WORLD TRADE

Dominion, Volume 37, Issue 237, 4 July 1944, Page 4

WORLD TRADE

Money Stabilization Proposals

NATIONAL PARTY’S ATTITUDE

Economy Of New Zealand

Conclusions reached by yesterday’s caucus of the Parliamentary members of the National Party on international monetary stabilization were announced last evening by the Leader.of the Opposition, Mr, Holland. He said that a full discussion took place on the proposals for the establishment of an international monetary stabilization fund and on the report of the party’s special committee set up to ivestigate the plans. While the Opposition would welcomp any organization which would improve world trade and facilitate the free flow of goods between nations and prevent competitive exchange fluctuations, further comment would be withheld till the outcome'of the conference now being held in the United States was known. Definite conclusions on important fundamentals of the question were, however, reached by the caucus, said Mr. Holland. They fell into four groups, which he outlined as follows: —

(1) That any proposal to induce New Zealand to base its economy or currency on what was known as the old gold stand-, ard will meet with the uncompromising hostility and vehement opposition of the party.

(2) That no international monetary arrangements .should be permitted to include provision for interfering with New Zealand’s internal economy and with the National Party’s plans for providing full employment for the people. (3J That the party agreed with the point of view being freely expressed in Britain that it was “putting the cart before the horse” to discuss currency matters without also tackling the vital question of commodity prices and price stability.

(4) That it is imperative that there .should continue to be the greatest, freedom for the expansion of trade inside what is'known as the sterling area. While they did not wish to express any’ final opinions on the probable outcome of the conference how being held in the United States, his colleagues, said Mr. Holland, viewed with much concern any scheme that would give any other country twice the voting strength of Britain in the management of an international fund. The Opposition’s special committee would continue, at further meetings, to consider the whole question and its effect on the Dominion.