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Show JAP FINANCES WORRYBANKERS Restriction of Advances to Reliable Concerns Is Warned Against TOKIO, June 3. The unfavorable i economic position of Japan at present shown by the decrease in the specie reserves abroad, the decreaso of deposits de-posits and Increase of advances, tho d verse trade balan e and the reduc- tlons of dividends paid by chief in- dustrlal concerns from an avei ge of 34 per cmi to 14 per cent, u low figure fig-ure here, continues to oecupy the loir flc i l bail cer . At a liv-MIng of the banking synolcate held hero on April II, Junnosuke Inouye. president presi-dent of the Bank of Japan, warned his colleagues against a restriction of advances to reliable concerns, while SelchlTO Klmura, vice president of he same bank, warned tho meeting that the worst culmination of tho situation situa-tion could only be averted by tho most Judicious activity of the bankers. President Inouye said: 'Since the bankruptcy of a certain Osaka speculator specu-lator recently, the bankers in Osak t have been naturally but unwisely inclined in-clined to refrain from investment even in the enterprises of the most reliable character This nervous tendency ten-dency of the bankers seems to be beginning be-ginning to mark tho attitude of tho Tokio bankers as well. Such an injudicious in-judicious restriction placed on bank advances would prove no less fatal than a bold attempt to Invest in enterprises en-terprises of dangerously speculative nature, and would only aggravate the existing economic condition " Mr Kimura, vice president of the ime bank, giving a general review of the economic situation present and last. said. "Contrary to the happy prlng season now enjoyed In tnis part of the world, tho economic world I in Its bitterest of .uspectB under heavy frost. During wartime, when the country was under the spell of the Industrial boom, Japan made mor money than she could spend, with her specie reserves abroad increasing in-creasing from tho prewar figures of X" 400 000. 000 up to Y 2.200.000,000 ind her foreign dehts lessened from the prewar Y 1 .D00.000.000 down to Y 1.600.000 at tho end of the year li20 It was not long, however, before be-fore Japan began to suffer from the effect of reaction What with a steady increase of Imports and decrease de-crease of exports caused by the ro-. ro-. duced purchasing power of the for-1 for-1 '-ipn i in.-. to,, i . the country"? foreign I trade has continued of late j-ears to i score an Increasing excess of 1m-; 1m-; ports over exports and with It all sorts of evil effects attendant on such ad-verso ad-verso tendency of trade." "Under the economic circumstances no normal condition of money mar-I mar-I l;et can be expected." oo |