50 years ago

RURAL industry leaders have hailed the Australian Government’s decision to devalue the Australian dollar by 12 per cent. They expect it to give a boost to meat and wool exports and to help manufacturers compete with imports. They forecast it will lead to increased returns to farmers and restore a measure of confidence to rural industries. Although it had been advocated by farmer organisations, the Government’s decision came as a surprise. Nothing was known of the move until rumours of an impending devaluation circulated in the bar at Parliament House late Tuesday night. Apart from the devaluation, the Government has cut the dollar’s link with the United States dollar which has been rising in value in recent months.