§ 42. Sir ALAN McLEANasked the Chancellor of the Exchequer whether he is aware that the public authorities of 179 58 foreign States are wholly or partly in default on 130 loans financed with British money; and whether he will ask his advisers to re-examine the principle of lending to foreign borrowers with the object of creating British exports before he considers any relaxation of the embargo upon the issue of foreign loans here?
Mr. CHAMBERLAINMy hon. and gallant Friend may rest assured that before any fresh decision is taken in regard to the embargo on the issue of foreign loans here the matter will be examined in the light of all relevant circumstances.
§ 43. Sir A. McLEANasked the Chancellor of the Exchequer whether the will ascertain the purposes for which money invested by British nationals in loans raised in Britain by Brazilian State, provincial, and municipal authorities since 1910 has been used in Brazil in order that it may be known to what extent such foreign lending has been of advantage to the United Kingdom export trade, after taking into account the losses made by those who invested in the loans now in default?
Mr. CHAMBERLAINIt would not be possible to ascertain to what extent the proceeds of the loans referred to have been expended in this country. In many cases the proceeds were used to refund existing indebtedness and for this or other reasons cannot be allocated to specific items of expenditure.