AUSTRALIA'S POSITION

Evening Post, Volume CIX, Issue 46, 24 February 1930, Page 12

AUSTRALIA'S POSITION

LONDON, 22nd February.

Australia's financial position has been receiving much publicity in the newspapers, and the Federal Loan Council's statement, indicating a policy of "root and branch" economy, as one financial writer calls it, has received a very "good Press." ■■ ' . >

For instance, the "Daily Telegraph" says: "The council's decision may' have been inevitable, but credit must be given those in power for facing the position resolutely. -If Australia does not swerve from its declared sinking fund policy, it will not be long before definite benefit is seen in higher prices of existing stocks." ' ' ' ■' '"'

The "Statist," with is usual caution, says: "While the statement is decidedly reassuring, much must depend on' the duration and severity of the economic crisis in Australia." . . ■ .

The "Morning Post" says the movements of the Australian exchange are beginning, this week once again to indicate the strained position through which Australia is passing. Nevertheless it will be noted that after the first sharp decline, Australian loans are now keeping 'comparatively steady, and this , undoubtedly is due to the fact that while the' serious..character of the economic crisis in Australia is;. fully recognised, anxiety has' -been lessened to some extent by the evidence afforded of the adequate recognition of the position by those in authority in Australia. The fact that seven millions of gold is now on its way 'from Australia is an indication that the authorities perceive not merely the necessity for the maintenance of loan obligations, but are doing everything possible to relieve the strain on the exchange." v