New-York tribune., 1920-01-24
South America
Asks L. s. LOa,
To Aid Europe
Southern Republics tndebt-
ed to War-Torn Nations
Then Could Pay Obliga.
lions in Commodities
Benefit for Al. Claimed
Plan Is Submitted by Bo.
Iiyian Delegate to the
Pan American Congress

WASHINGTON, Jan. GA recon-
mendation for relief for Europe in
which the United States could cooperate
with South American countries in i'm
proving world industry was considered d
tonight by delegates to the second
pan-American Financial Congress as
The outstanding conclusion of the
weeks conference which closed to-day.
The recommendation. presented by
Dr.. Jose Luis Tejadas, OF the Bolivian
delegation, proposes that relief be
furnished by this country by loans to
South and Central American countries.
he proceeds OF which would be used
70 pay the debts of those countries to
yurope. in the form of foodstufs and
other necessaries. 1t was the sentiment
NJ the Congress that the United States
is some way must provide financial
,aref TO speed the restoration of normal
conditions.
In this connection Governor W. P.
r Harding OF the Federal Reserve
Board EMPHASIZED the necessity of en-
Waving American capital for aiding
Fnrope "to get back to productive
work." not because Of "attractive rates
of interest" but to restore normal
conditions and to open markets for
American export.
Greater Production Essential
ave cannot, however, export things
which we 40 not have" Governor
Harding said, "and in order to provide
an exporta5le surplus we must pro
luce more. or, failing in that, consume
less."
To enable Europe to produce things
necessary for its own support. Gov
srnor Harding said. American raw ma
terials and equipment must be exported
and the exchange for European prod
ucts facilitated. American bankers
were studying the situation from
new angle toward world finance, he
they would not have embarked on
lew Years ago American manufacture
ers we're extending long credits, ne
added but could not do so indefinitely
with undue pressure on the credit with
American banks. ard to assure this
essential long credit to European
buyers 'appeal must be made to Ameri-
can investors.'
Governor Harding called attention
to the now Edge act providing ma
,chinery for financing these undertak-
ngs. which. he said, gave exporters,
producers. manufacturers and Amer
can investors the means Of cooperation
20 solve the problem before them.
Republics Indebted to Europe
The European relief recommendation
presented by DR.. Tejadas, was en-
bodied in a series of eighteen resolu-
TORS setting for the conclusions
reached at theweek's meeting. DR..
Tejadas and other delegates suggested
that as Europe acted as the fnancier
Of Latin America before the war many
If the southern republics were in
lehtel 70 maNy European nations need
irg relief and We've IN q position to pay
hose debts with the needed commo-
dit;es
The United States, it was assered,
would confer a double benefit By al
owing the Latln-AMerican countries to
'ct as the "middemeN" in proposed re-
lief measures. The existing exchange
rates would work to the advantage of
all concerned. DR.. Tejadas said, and at
east $1,000 900 900 could be made i'm
nediately available to Europe through
the plan.
In bidding the delegates farewell.
Secretary OF the Treasury Glass dc
rsred:
"Tha Congress. 7 feel sure. has ac-
centuated the sentiment of common pur-
nose and strengthened the bonds OF CO.
operation between the American rcpub-
les !. has tended . Improve the re
asions OF cordiality and affection and
70 unite them in service to each other,
70 humanity and 20 the world y