Evening star., 1929-08-31
Washington Ticker
BY the Associated Press.


The acceptance of the Young plan for
the revision Of Germany's reparations
payments by The Hague Conference may
influence substantial increases OF for
eign financing by the allied nations and
Germany in the United States, in the
opinion of American Government OFF,
cials, during the remainder of this year.
The adoption of the new scheme OF
payments not only will settle this most
important problem, inherited from the
World War, but will induce undoubt-
edly notable improvement of economic
conditions in Europe, both of which
have been barriers in the smooth course
of the international money market.
This view was taken today by Com
merce, State and Treasury Department
officials, who have been closely follow
ing the progress of The Hague Confer
ence. They would make no predictions
as to the extent Of the increase of offer
ings of foreign capital issues in the
United States, but they pointed out that
official reports cited a greater activity
in this field during the second quarter
of this year because of confidence en-
gendered by the agreement of the Paris
Conference experts on the Young plan.
In last June, aided by the latter fac
tor as well as by the temporary easing
of the New York money market. a
total flotation of foreign loans reached
$144 .000,0 600, the third largest for the
quarter of 1929 the foreign financing
amounted to $262, 100000. of which
$202 100000 was new nominal capital.
This was a considerable drop from the
corresponding period in 1928. which was
$645, ,l84,0 900. One of the offerings last
June was $50,000,000 credit to the
German Republic.
r-l,o Il.
the betterment of Europe's economic
outlook will ease the industrial situa-
ton there so credits for enlargement of
activities or improvement of producing
processes will be desired more readily
than under unsettled conditions. This
may mean that flotations of foreign in
dustrial issues will occupy a position of
more importance in American financial
markets than in the past, officials sug-
geSt.
Meanwhile, an easier route for the
foreign capital issue to travel to reach
the American market is being prepared
by the State Department through a
simplification of the requirements of
foreign loans to receive the sanction of
this Government.
In the past, the department has stip-
ulated as condition that foreign debtor
nations from which the proposed issues
emanate should have entered into debt
funding arrangements with the United
States This is deemed unnecessary
now, and the two principal stipulations,
the department has indicated, will be
whether the loans are for constructive
purposes and whether the foreign gov
ernments have balanced budgets. The
procedure of obtaining governmental
approval of the State, Treasury and
Commerce Departments-as means of
nA,sinn iva.ta IL o.
to be rid of considerable routine to speed
up this process.
The Far East has become a market
of increasing Importance for American
goods, Commerce Department figures
showing a gain of 1913 per cent in the
| value Of exports to the oriental nations
compared to the corresponding period
in 1928. The value of the exports for
the 1929 period was SAIL ,071 900 and
for last years first half $372, sol, 900.
At the same time the United States
called upon the Far East for increased
! imports of raw materials. The value
of goods brought into this country dur
| ing the 1929 period was increased by
go per cent. amounting to $685, ,4l2,-
The outlook for increased sales of
American goods in the Far East seems
hopeful" it was forecast by the de-
partment. Japan's broadening CONNER
| cial interests will continue to interest
American traders, 1t added, while India
| and China are undergoing considerable
| activity both in industry and agricul-
ture, the Chinese especially expanding
their farming enterprises.
Australia and New Zealand are de-
veloping as markets along certain lines,
especially in the purchase of American
automobiles and gasoline. while the
Netherland East Indies. until recently
of minor commercial importance. has
become the fifth leading American GUS
toner in the Far East. The Philippine
Islands ranked fourth, recording 204
gain during the 1929 period.
The consumption ofETool by Amcri-
can mills increased Substantially during