Evening star., 1921-12-31
American Participation Is
Hoped for, Although Not Re-
garded as Essential.
ALLIED BANKERS WILL
TAKE UP UTILITIES FIRST
Austria to Be First Beneficiary Uu-
der Plan Because of Dire
Needs of Nation.
by the Associated Press.

by the AssOca ted Press.
PARIS. December 31.-The Economic
conference of Allied Bankers and
manufacturing interests, which has
been considering measures Tor re-es-
tablishing the international credit of
Europe. agreed TODAY uDon the draft
or project for an international con-
sortium which will be submitted to
the allied supreme council at Cannes.
"A representative of Japan today
Joined the British, French. italian
and Belgian delegs tions In the c,n-
ference.
Inc conferees indicate they consid-
er american participation in tie con-
soreium as important eventually. al
though not primarily essential to the
oirth OF the enterrrise. The idea pre-
vailing amongtthe delegates $ tha,
the united States can scarcely remain
indiferent to such movement. in tne
interest OF her own European trade.
but that Europe must in any cas. h.-
gin doing something or her own ac-
count. The setting uD Of t... corso-
rtiun. therefore. is not contingent
upon american co operation, il is
declared.
Original Plans modified.
ihe project, as it has previously
been drawn up in London, was some
what modified in the talks that have
occurred between the British and
French interests here 1t is based
partially upon the international
credit scheme of Dr. j. Ter-Meulen. the
Dutch economist, which was approved
by the financial conference at Brussels
last year.
The idea rs first to unbuild the pub
lie utilities. railways and kindred
agencies in countries where economic
stagnation is due to lack of trans
portation. The assets of the coun-
tries thus aided will, as provided for
In the Ter-Meulen scheme, be pledged
as security for the loans involved in
cases where the eensertiames he1 not
gfVen~a concession for operation.
Austria First Beneficiary,
Austria, which is regarded by the
conferees as in the direct need. is
expected to be the first beneficiary in
the working out of the scheme, with
the hope that her recovery will con-
tribute to the improvement of the
situation generally. and particularly
to that in the smaller states of CEN
trail Europe.
The capital of the consortiurn will
be definitely fixed only after the
council at Cannes has passed upon
the scheme Sums varying from
E5,000.000 to f20.000.OOO are talked Of.
1t Is pointed out, however, that the
amount of the capital is an i'm
material factor, as the consortium it
self plans to find funds outside its
own capital. acting in most cases
merely as clearing house for the
credits necessary to attain the object
In view.
Stabflfzing Exchange.
1t has been suggested that the con-
sortiums' own capital may be most
effectively employed in stabilizing ex-
change through temporary credits
to countries Immediately requiring
foreign money. which is unobtain-
able in interior Europe without the
provoking of violent fluctuations.
DIR. Walter Rathenau. former Ger
man minister of reconstruction, al
though he was not present at the
meeting of the conference, was at
the French foreign Office yesterday
and has been in consultation with
leading delegates to the gathering
since his arrival presumably with re-
gard to the participation of Germany,
the most important question involved
that the conference at Cannes will
have to settle.