M. Poineaire made a statement before the Finance Committee of
the French Chamber on Tuesday. He pointed out that the recovery of the franc had made it possible for the Government to buy enough foreign cur- rency to meet all its foreign obligations for this year and, moreover, to build up a reserve for safeguarding the franc. Since January 1st, however, the Government had ceased buying foreign currency, and the Bank of France had undertaken to maintain the rate of the franc. Next he showed how loans negotiated in Switzerland and Holland testified to the improvement of French credit. The loans were all for periods of twenty-five to thirty-five years at seven per cent. interest. The Times correspondent, from whose message we have taken these facts, remarks that as the promise of the Bank of France to maintain the franc is of limited value the Government is obviously not committed by it to stabilization. M. Poineare, however, has had something like a triumph in his financial policy.