The Barre daily times. (Barre, Vt.) 1897-1959, 1921-07-02
INTERNATIONAL CREDIT
SCHEME is PLEASING
Austria Has Taken to the Plan Re.
markedly Well, Says Its
Organizer.

London, July l.--Sir Drummonc
Drumm ond Fraser, organizer of the in
ternational credits scheme of the
league of nations, is immensely pleased
with the reception it has met in Aus
tria. He says he can see only one seri.
Gus obstacle to the successful applica-
tion of the scheme to all the countries
now in financial difficulties and that is
| a psychological one
THE trouble he said, when recently
interviewed, is that the countries are
so unwilling to admit that they need
international financial assistance. They
seem to feel towards it much as indi-
viduals do poor relief. 1t hurts
their national pride to admit that they
are impoverished by the war. Of
course" he added, "if we can make the
great success of the rehabilitation of
Austria which | believe we shall make,
it will be different. People will then
see a country which has been brought
TO the lowest depths of bankruptcy
gradually becoming prosperous and
contented again as the result of our
bringing its internal position to the
condition in which the international
credits scheme can be applied. They
will see the currency stabilized and
that is one of the most important fac
tors in connection with credit and
trade.
ut may sound paradoxical," he con.
tinued, "in talking about country in
the position of Austria, to say that
credit is sometimes not worth having,
But that has been exactly the case ow-
ing to the fluctuations of the Austrian
exchange. To my personal knowledge
there are traders in Austria at this
moment who have been offered credit
this was before the proposals of the
credit scheme were put
forward-and simply dared not take
the risk of accepting because they did
not know what the exchange was going
TO do next.
In my short stay of three months
huctuation took place which would in.
evitably have bankrupted anybody who
had tried to do business on a large
scale. On the day of my arrival /
cashed a check and got 1900 kronen to
the pound. Before l left cashed an
other check and the rate was 2,l25 kro-
men TO the pound The international
credit scheme will put a stop to this
and to the issue of unlim
tied paper money. Whether or not il
can be brought back later to the pre-
war parity is a secondary matter. The
really important thing is to stop it |
from fiuctuating"
nents of the scheme, he considered |
hat it might be efficacious in setting
Turkish finance on its feet again and
hat it might well be employed by
Greece, Bulgaria and Rumania and pos
IDLY later by Poland.
As far as the great powers are con
'erned he considered that the scheme
vas principally of importance to Amer.
ca, France 'and ourselves. America. :"
he said, "is now making a great fes
ure of mass production. To succeed
With this policy she requires unlimited
markets" "As for ourselves" he con.
inued. "our European trade has al.
ways been enormous, especially in the
ear eastern countries, and their mar
.ets are now completely cut off. Previ-
us TO the war oar European trade
mounted to 20O0OO,O0O pounds a year
pre-war values To-day, however,
lst because central and eastern Eu- ]
ope are unable 10 buy from us, this
normous volume Of trade is for the |
ioment lost The international credits |
cheme, however gives us the opportu-
ity of getting it back, by establishing {
system OF credit for the purchase of c
ssentials, free from imitation and Sc I
lred by assets of a gold value with 4
regular revenue, more than sufficient .
, pay the interest and sinking fund !