Great Falls daily tribune., 1920-07-25
ALL RUMORS ARE FALSE
SAYS FINANCIER, THAT
COUNTRY is ON ROCKS
financial Situation Is I'm
stable Now Because of
Reactionary Stage.
Clear Understanding Is
Needed for Promotion
of Amity, He Asserts.

Toxic, July 24-Baron Takahashi
minister of finance of Japan and one Of
the best known financial authorities. to-
day made statement having, direct
bearing on reports recently circulated in
the United States relative to Japan's fl
nancial status. The minister emphasized
that there was no possibility of Japans
withdrawing her gold specie held in the
| United States. as had been reported.
| Baron Takahashi's statement is as fol-
/ lows:
The financial situation in Japan is In
an unstable state at present owing to the
reactionary stage of the post-bellum fl
nances and economics which has brought
about tight money situation, heavy ex-
cess of imports and a depreciation Of ne
gotlabie securities and general merchan-
disc. But it is matter for regret that
the recent depression in financial circles
led to exaggerated reports in the United
States and European countries.
Good Understanding Needed.
Perfect and clear understanding is a
most important factor for the promotion
of international amty and friendship.
True and correct information about the
exact aspect of financial situations are of
vital importance TO the formation of clos
er economic relationship between any
two countries having economic relations.
| understand that in connection with the
recent financial depression in Japan vari-
Gus unfounded rumors and groundless re-
ports found their way to the American
money market where rumors had IL that
the Bank of Japan had raised it's official
rate to 10 per cent. that several Japanese
banks closed their doors through failure
or that Japan was going to withdraw her
gold specie held in the American market.
Concerning these erroneous reports
the Japanese government some time ago
instructed the Japanese gorernme ent's fl
naneiaf commissioner and the superin-
tendent of the Bank Of Japan In New
York to issue statement making clear
the true aspect of the financial situation
obtaining In this country Through the
statement issued By them. believe. the
American finaneiers and public have real
lied the actual stat: of affairs in this
country. But I wish to take this oppor-
tunlty to express my views about the
latest financial situation in this country.
Situation Is Changed.
The economic situation in Japan has
undergone great change as the result
of the European war. 1t is a change
similar to that in American economic
cjrcles-onlg it is on a comparatively
smaller scale and of limited proportions.
IA Tue ptt-"hf pPTlDu Japan g I0fplgn
trade always resulted in an excess of i'm
ports over exports and In the interna-
tionsl accounts other than trade sc-
counts. too. the balance was always
against this country which had to pav
large amount of money for the settle
ment of the international balance Ap-
200.0O0O00 ven 100000
lknl was paid to foreign countries in
1913,
Accordingly. Japanese economic cir
rles in the pre-war period had to rely
greatly upon foreign countries for none
tary assistance. The outbreak of the
European war. however. wrought sud-
den change in the trend of the economic
situation In this country, Since 1915 the
export trade of this empire suddenly in
creased and the volume of exports con-
-inued to exceed imports. the excess Of
he former having reached approximate
y .400.oO0.nO0 yen by the end of 1915
1t the same time the receipts of accounts
pther than trade balance has sweled to
IN enormous amount This favorable
condition has enabled the empire to af-
ord an ample fund for the developments
# national industry and to give economic
support to the allies.
Urges Greater Production.
Il think that the development Of man
lfacturing industry and the economy Of
ohsuihhsioh hFe TWO great principles or
he post -bellum economic measures
which must be the common policy of the
worlds powers in dealing with economic
ffairs after the war. NY particular
rish is that the United States will utilize
Ter resourceful economic power to the
est advantage for the post -belum eco
ionic adjustment and contribute to the
Qualification and reorganization of the
vorlds economies
"Japan. also wishes to do her best to
ontribute to the qualification and pres
rvation of the worlds economic inter
SITS. My sincere wish is that the gov
rnment and peoplsapf the United States
nd Japan will morH clearly understand
he financial situation of their respective
ountries and come to realize the great
Importance Of their cooperation. eco
omicallv and otherwise, at this espe-
iallv grave moment"