14.
93
1.754.
WEEKLY LONDON LETTER. (By Andrew Blackmore)
Credits for Friendly Nations.
Having given reciprocal guarantees or pledges against aggression
to Poland, Turkey, Greece and Roumania, the British Government is now
taking the further step of giving substantial material assistance to
these countries. Some time ago the Board of Trade was empowered to
incur an aggregate liability of £10,000,000 in guaranteeing export
trade transactions which are "deemed to be expedient in the national
interest. " Now this sum is to be increased to £60,000,000. Its
main purpose will be the extension of facilities for purchases in
Great Britain of armaments and other manufactured goods and materials
required for national defence by the countries concerned.
Clearly, if Europe is to be driven into war by the aggressive
designs of any nation, the countries attacked must be in a position
to put up a stout resistance until the help of the guaranteeing powers
becomes effective. To this end more powerful armaments are required
by the above-mentioned countries. Poland is understood to have asked
for substantial sums to buy, among other things, war material,
including heavy artillery and aircraft.
Two other points of considerable significance emerge from a
consideration of the present scheme. One is that the credits will
not necessarily be used entirely for rearmament purposes.
The money
can be used to enable the countries concerned to preserve their
economic independence by keeping more than one market open to them.
The other is that British rearmament has now reached such a stage of
sufficiency that she can afford to manufacture war material for
export to suitable purchasers.