FALL OF THE MARK.

Taranaki Daily News, 7 November 1921, Page 5

FALL OF THE MARK.

DOWN TO FARTHING. SUSPICION OF MOTIVE. MAY BE POLITICAL ——— By Telegraph.—Press Assn.—Copyright. Received Nov. 5, 5.5 p.m. London, Nov. 4. The exchange rate on Berlin touched 95'0 marks to the pound sterling, but recovered to 755. It is suggested the German Government is allowing the exchange to become demoralised in order to impress the Washington Conference, with a view to securing a revision or modification of the indemnity terms. The Beichbank is turning out of millions of mark notes weekly. Last week’s output was 415,988,000, bringing the total circulation to the colossal total of 88,144,000,000 marks.

The Daily Chronicle's Berlin ‘correspondent reports that the greatest pessimism prevails. regarding the exchange situation, and few believe it possible to take measures far-reaching enough to cause its recovery. The National Union of Industry is considering raising a foreign loan to place at the Government’s disposal. The best offer hitherto received is £25,000,000 paper by a British group. This is almost equal to tne reparations due in January. The Morning Post’s Berlin correspondent states Herr Wirth’s new taxation proposals, estimated to yield forty-two milliard marks, have been introduced in the Reichstag, which is asked to vote the imposts quickly in order to convince the Allies of Germany’s goodwill, though the total demands might prove beyond the country’s capacity. Received Nov. G, 5.5 p.m. Berlin, Nov. 5. The German mark is now worth a farthing. It commenced at SOO yesterday and fell 150 in an hour. Shop prices changed hourly. People besieged the shops in their eagerness to exchange paper money, dwindling in value, for more substantial goods.