EXCHANGE POOL.

Manawatu Standard, Volume LII, Issue 51, 30 January 1932, Page 7

EXCHANGE POOL.

INTERFERENCE OPPOSED. CHAMBERS OF COMMERCE OFFER. WELLINGTON, Jan. 30. Affirmation of the principle of a free, open market for exchange, disapproval of the action of the Government in assuming control of the export income of New Zealand by means of the exchange credits pool, and a request to the Government to hold a conference of representatives of the interests concerned to consider plans to assist the Government, are contained in a resolution carried at a meeting in Wellington yesterday of the executive of the Associated Chambers of Commerce of New Zealand. ‘ , , During the day the executive placed its views on the subject before the Prime Minister, Rt. Hon. G. W. Forbes, who stated they would - be considered along with the other representations made. The text'of the resolution is as fol“Tbis association considers that the method chosen by the Government to extricate itself from its difficulty of making overseas payments, by commandeering the export income of the Dominion in London, is wrong in principle and inimical to the commercial and productive welfare of the Dominion. “The association accepts the necessity for the Dominion to provide sufficient funds in London to meet the necessities of, the Government, but considers simpler 1 and better plans could have been devised to meet this need rather than those forced upon the community, without consultation, by Order-in-Conncil, at short notice, and without adequate explanation or machinery for working. “This order is causing large extra work to the people who are conducting the trade-and commerce of the Dominion, and great inconvenience, and in some cases considerable loss. “It is a contravention of the principle for which this accociation has stood for many years, and which has nominally been accepted by both parties in the present Government of less Government interference in busi6“The association urges on the Gov-, ernment the absolute necessity of an open, free market for exchange so that the rate of exchange may find its own level in accordance with supply and demand. “It requests the Government to invite the banks, the producers, and the commercial community to confer with the Treasury in order to adopt plans ifor providing the Government with funds for its necessities, without causing injury to the business of the Dominion. “It strongly impresses upon the Government the necessity for immediate and drastic reduction in its expenditure, so that its temporary borrowings may progressively decrease.” The meeting of the executive was held after protracted deliberations on the subject, and the resolution was carried unanimously.