PM Transcripts

FOR PRESS. P" 1 102/ 1971
PREMIERS' CONFERENCE
Statement by the Prime Minister, Mr. William McMahon
During my recent absence overseas, it was proposed
by the Premier of New South Wales and supported by some other
Premiers that a special Premiers' conference be held to
discuss the economic situation.
The Government has given full consideration to this
proposal and I have forwarded letters to the Premier of 3ew
South WTales and all other Premiers advising them of this decision.
I have informed the Premiers that in view of the
scheme being put in hand for Commonwealth ( rants to the States for
employment creating activities in non-metropolitan areas, the
easing of restraints on bank lending including the large reduction
in the statutory reserve deposit ratio applying to the major
trading banks, and the significant reduction in interest rates9 on
Government securities, I believe it would be more appropriate to
hold a Premiers' conference, as has been done in the last two years,
during the month of February.
By then, of course, all parties will be in a better
position to assess the impact on the economy of the measures that
have already been taken.
Accordingly, I have suggested to the Premiers that the
meeting be held about mid-February and I await from them their
reaction as to the actual dates I have proposed.
CANBERRA, 17 December, 1971.