§ 21. Mr. L. SMITHasked the President of the Board of Trade the countries with which, with the object of liquidating frozen British credits, we have concluded agreements undertaking that we shall temporarily buy more from them than they buy from us; and how long, in each case, these agreements are to continue in operation?
§ Mr. RUNCIMANNo such agreements have been made. The effect of the agreements with Hungary, Italy, Rumania, 1490 Spain and Turkey is, however, to provide that only a portion of the sterling derived from imports from these countries into the United Kingdom is to be used for payments for exports from the United Kingdom. The remainder is to be allocated to other objects, which include in certain cases payment of frozen trade debts and of financial debts. The dates on which the agreements in question may be terminated are set out in a statement which I will, with my hon. Friend's permission, circulate in the OFFICIAL REPORT.
§ Following is the statement:
§ Agreement and when terminable.
§ Italy.—
§ Commercial Agreement.—At the end of any quarter after one clear quarter's notice; but not before 30th June, 1937.
§ Clearing Agreement.—At the end of any quarter after one clear quarter's notice; but (1) not before 30th June, 1937, and (2) not before all arrears have been transferred.
§ Hungary.—On the first day of any month by one month's notice.
§ Rumania.—On the first day of any month by one month's notice; but not before 1st January, 1937.
§ Spain.—When payments are transferred without delay.
§ Turkey.—On 17th June, 1937, or thereafter by three months' notice.