EXPORT-IMPORT BANK OF WASHINGTON HEARINGS BEFORE THE COMMITTEE ON BANKING AND CURRENCY Q.i. Cong HOUSE OF REPRESENTATIVES SEVENTY-SIXTH CONGRESS THIRD SESSION ON (H. R. 10212) SUPERSEDED BY H. R. 10361 A BILL TO PROVIDE FOR INCREASING THE LENDING OF WASHINGTON, AND FOR OTHER PURPOSES AUGUST 6, 7, 8, 13, AND 14, 1940 Printed for the use of the Committee on Banking and Currency INCREASING THE LENDING AUTHORITY OF THE EXPORT IMPORT BANK OF WASHINGTON TUESDAY, AUGUST 6, 1940 COMMITTEE ON BANKING AND CURRENCY, HOUSE OF REPRESENTATIVES, Washington, D. C. The committee met at 10:30 a. m., Hon. Henry B. Steagall (chairman) presiding. The CHAIRMAN. The committee will come to order. We have Mr. Jesse Jones this morning who will discuss H. R. 10212. [H. R. 10212, 76th Cong., 3d sess.] A BILL To provide for increasing the lending authority of the Export-Import Bank of Washington, and for other purposes Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the fourth paragraph of section 5d of the Reconstruction Finance Corporation Act (U. S. C., 1934 edition, Supp. V, title 15, sec. 606b), as amended, is hereby amended by renumbering subsections “(1)" and "(2)" thereof "(2)" and "(3)", respectively, and inserting therein the following new subsection: "(1) To assist in the development of the resources, the stabilization of the economies, and the orderly marketing of the products of the countries of the Western Hemisphere by supplying funds, not to exceed $500,000,000 outstanding at any one time, to the Export-Import Bank of Washington, through loans to, or by subscriptions to the preferred stock of, such bank, to enable such bank, to make loans to any governments and their central banks and, when guaranteed by such governments or their central banks, to the political subdivisions, agencies, and nationals of such governments, not withstanding any other provisions of law insofar as they may restrict or prohibit loans or other extensions of credit to, or other transactions with, the governments of the countries of the Western Hemisphere or their agencies or nationals. Upon the written request of the Federal Loan Administrator, with the approval of the President, the bank is authorized, subject to such conditions and limitations as may be set forth in such request or approval, to exercise the powers and perform the functions herein set forth.. Such loans may be made and administered in such manner and upon such terms and conditions as the bank may determine. SEC. 2. Section 5d of the Reconstruction Finance Corporation Act, as amended, is hereby amended by adding at the end thereof the following new paragraph: "The amount of notes, bonds, debentures, and other such obligations which the Reconstruction Finance Corporation is authorized to issue and have outstanding at any one time under existing law is hereby increased by an amount sufficient for its participation in the national defense program as provided in this section 5d.” SEC. 3. That section 9 of the Act approved January 31, 1935 (49 Stat. 4), as amended, is hereby amended by (a) striking out "June 30, 1941" and inserting in lieu thereof "January 22, 1947"; and (b) deleting from the first proviso thereof the figure "$200,000,000" and inserting in lieu thereof the figure "$700,000,000”. STATEMENT OF JESSE H. JONES, FEDERAL LOAN ADMINISTRATOR The CHAIRMAN. Before Mr. Jones begins his statement I want to read for the record a telegram I received this morning from the Secretary of State, Cordell Hull, which I wish to incorporate in the 1 |