New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-03
Japan EXTENDS
FINANCIAL AID TO
GREAT BRITAIN
Credit of $4,000, 1000 Based
on Funds Deposited Here
by Japanese Merchants

her ally, Great Britain, in helping 70
finance the latters huge purchases OF
war materials in this country. Advices
from London that a syndicate OF Jap.
anese banks Is arranging for the pur-
chase OF 1O0,OO0,O00 yen (s50,0OO,0o0) |
worth Of British government oblga-
lions were confirmed yesterday by jap
anese banking interests here. The
syndicate will place the proceeds Of the
loan in dollars TO the credit OF the
British government in New York. It
is understood that the securities re-
ceived by Japan will be British three
year 6 per cent exchequer bonds.
The funds which the syndicate will
turn over to the use of the British gov
eminent in New York will be made
available out of the large credit bal
ances which Japanese merchants have
been accommodating on this side. For
more than year now the balance OF
trade between the United States and
Japan has been running strongly in
favor Of the latter Japan has been
shipping to the United States q great
amount of goods which were formerly
manufactured by Germany, and at the
same time our imports Of silks and
other Japanese products have been
stimulated by the prosperity here. In
consequence Jepan's trade balance in
this country has been growing stead
;ly, producing credits which either had
TO be transferred to the owners or put
to use here. Some gold has been ex-
ported, and Japanese merchants and
exporters are estimated to have bought
upward of S25,0OO,O0O of American rail
way securities, mostly highgrade in
vestment bonds. The credits remain
ing are large and are being constantly
added to, and II is out Of these that the
japanese bankers will draw on behalf
Of the British government.
Government Funds Invested
Last July the japanese government
itself became an investor in British
government securities when it bought
with funds on deposit in New York
S49,850000 per cent one-year British
treasury bills. It still has on deposit
here approximately S20,0OO,O0O.
Japan's exports to the United States
in the nine months ended September 80
aggregated value of s13t,249,345,
while imports from the United States
totalled $71,s94,6l4. This compared
with exports of SO, 600 in 1915 and
imports Of s32 .O0O,2O7.
"The japanese Chronicle recently
published figures bearing on Japan's
remarkable foreign trade expansion. IL
showed that for the nine months ended
with September exports to all parts of
the world amounted to 764 $4,000 yen
1881 ,072,S42) and imports to 55s,404,-
600 yen (S27S,3G4,99D, aggregating
1922, s43, 900 yen (S659, 437, 236). Ex-
ports exceeded imports by 206,O35,OOO
yen (s102, 70S,44s). Compared with the
corresponding period Of last year, these
figures show an increase of 269, $50 900
yen (sl34,32O,S25) (544 per cent? in
exports, and 1852, 900 yen ($73,6O4,-
522) 1853 per cent? in imports. The
foreign trade for the first nine months
Of the year thus shows prosperity
Unprecedented in a decade.
Compared with last year, exports to
the Far East and the South Seas In
creased by a little more than 46 per
cent and imports therefrom by about
20 per cent. An increase Of about 40
per cent is shown in exports 20 Europe
and a little more than 80 per cent in
imports from Europe. The rate Of in
crease in exports to and imports from
the United States is 70 and 70 per cent,
respectively.
Exports to South America increased
1870 per cent and imports therefrom
1874 per cent. The trade with Australia
increased by 81 per cent in exports
and 32 per cent in imports. Exports
to South Africa increased by 80 per
cent, while an increase of 81 per cent
is shown in imports from South Africa
The principal factors in the enormous
development in Japan's foreign trade,
according to "The Chronicle have
have been:
T. Exports n munitions OF war.
%. Increased exports 70 the Far East
South Seas. Australia. South Africa. South
America and other places as substitutes FOR
European goods.
8. Increased activity in the export trade
20 the United States consequent upon
American financial prosperity.
:. Increased imports Of Industrial IVA
teriais.
3. Advance in the value OF exports and
imports on account Of the appreciation of
commodities due TO the war.
Japans gold reserve on October 70
amounted to s324,O25 900, a new high
record. or this, slO4,ss5,0O was held
at home and S219,3lO.OOO abroad. Jap
anese authorities have predicted an in
crease TO s35O,OOO,O 900 before the end OF
the year.