asked the Minister for Finance if he received any indication from the British Chancellor of the Exchequer as to the steps which were contemplated by the British Government in order to restore convertibility of the pound sterling by the second half of 1952.
Ceisteanna—Questions. Oral Answers. - Convertibility of Sterling.
It would appear that the Deputy has misunderstood the statement issued at the end of the Conference of Commonwealth Finance Ministers on 21st January, 1952. The references to the second half of 1952 were to the effect that immediate corrective action was needed to bring the sterling area as a whole into balance with the rest of the world at latest in respect of that period. This action is intended to maintain as far as possible the present degree of convertibility. As regards the general convertibility of sterling I can only refer the Deputy to the concluding paragraphs of the statement which were as follows:—
"While steps are thus being taken to overcome the immediate problems of the sterling area and to accelerate its development we agree that its recovery will not be complete until the conditions have been created in which sterling can become and remain convertible.
Accordingly it is our definite objective to make sterling convertible and to keep it so. We intend to work towards that goal by progressive steps aimed at creating the conditions under which convertibility can be reached and maintained.
It is primarily the responsibility of the members of the sterling area themselves to create these conditions (including the achievement of adequate gold reserves); but they cannot be completely realised without the active co-operation of other countries notably those countries which are consistently in surplus with the rest of the world.
We have arranged for an investigation of the steps which should be taken along the road to convertibility to begin forthwith."
It is clear from the foregoing that the conference recognised that the question of general convertibility was a long-term objective quite distinct from the immediate problem of overcoming the present difficulties of sterling.
In this connection the Deputy will doubtless have observed from statements published elsewhere that a committee was set up under the British Minister of State for Economic Affairs on the steps to be taken towards the convertibility of sterling.
Will the Minister inform the House did he bespeak while in London and did he receive an account of the drawings on the sterling pool for dollars of the several participating countries since June, 1948, to date, for the purposes of comparison with the record of this country in that regard?
I fear the Deputy has not read Deputy MacBride's question—otherwise he would not have regarded his question as a supplementary.
Will the Minister answer that supplementary question which I put to him? Did he bespeak such a return—for he has referred to it in his answer to the contribution to be made by the several members of the sterling group? Did the Minister bespeak an account for the several countries constituting the sterling group for the purpose of comparison with the record of this country in that regard?
I have already informed Deputy MacBride that I am not prepared to disclose what took place at discussions which were confidential. I am not a publicity-monger.
In defence of the interests of this country, will the Minister bespeak from the British Treasury an account of the drawings of the other members against the sterling pool for dollars since June, 1948, for the purpose of comparison with the performance of this country in that regard and so that our case for free access to necessary dollar resources may be fortified by the evidence of the restraint exercised by us during the last four years?
It is difficult to follow the divagations of the Deputy's mind. I can assure the Deputy that the defence of the interests of this country will be much better preserved in our hands than it would be in the hands of a representative who went over and described prospective customers as "fly-by-nights."
That is just blather. All I want is an answer to my question.