Otto Niemeyer

Otto Niemeyer, c. 1940s

Sir Otto Ernst Niemeyer, GBE, KCB (1883-1971) was financial controller at the Treasury and a director at the Bank of England. He was also treasurer of the National Association of Mental Health (UK) post World War II. His niece, Mary Applebey, was General Secretary of the association.

In July 1930, during Australia's Great Depression, he travelled to Melbourne to advise James Scullin's government. There, he devised the 'Niemeyer statement', a monthly statement of commonwealth government financial transactions. He was Chairman of the Bank for International Settlements between 1937 and 1940.

Journey to Australia

Australia had accrued substantial debt, mainly from Britain's independent banking sector, by the late 1920s - party as a result of Prime Minister Bruce's "Men, Money, Markets" economic strategy, and partly because of the large war debt established during World War I. Following the Wall Street Crash, the United States called in many of its World War I loans, including many from the UK, which, in turn called in its own loans from Australia. Australia had accumulated such massive debt that it was unable to repay even the interest on its loans. In order to avert total bankruptcy, Australia asked Britain for a deferment of payment on its war debts. To determine whether or not this was a viable financial option, the British banks sent Niemeyer to give an assessment of Australia and its financial situation.

However Niemeyer's report was less than positive. He was critical of Australia's overconfidence and essentially said that Australia was "living beyond its means", that it had become prosperous through "mistakes" and that in order to become economically viable Australians would have to "accept a lower standard of living". The report continued to suggest that Australia should continue to exist only as a means to supply Britain with goods, and that its protectionist attitude was deviating Australia from its true purpose.

References

• Attard, Bernard. The Bank of England and the origins of the Niemeyer mission, 1921-30, University of London, London, 1989.
• Hughes, William M. Bond or free : Sir Otto Niemeyers’ report, William Homer: Sydney, 1930.
• Macintyre, Stuary. The Oxford History of Australia - Volume 4 1901-1942 - The Succeeding Age, Oxford University Press, Melbourne, 1986
• Robertson, J. R. Scullin as Prime Imintser: Seven Critical Decisions

External links

• British history website

Honorary titles
Preceded by Sir Patrick Cooper	High Sheriff of the County of London 1945–1946	Succeeded by Cameron Cobbold

Persondata
Name	Niemeyer, Otto
Alternative names
Short description
Date of birth	1883
Place of birth
Date of death	1971
Place of death