GERMAN DEBTS.

Auckland Star, Volume LXII, Issue 283, 30 November 1931, Page 7

GERMAN DEBTS.

French Declaration Rouses

% Interest.

MORATORIUM MOOTED.

(Received 10.30 a.m.)

LONDON, November 29.

The declaration of M. Laval, Premier of France, that France would not participate in an international conference to discuss Germany's private debts though she would not be able to prevent the mention of them at a reparations conference, has aroused renewed interest in the problem of Germany's £350,000,000 of- frozen short-term debts. German sources suggest that as the Hoover holiday is not likely to be extended, the question must be discussed some time in January or a moratorium is inevitable.

Though Whitehall is officially silent, there is recognition of the fact/that the problem affects the stability of the whole of Europe and there- must be an early general conference as soon as the Basle bankers complete their/report. The awkward question, however, is as to who is to take the-initiative. •.

A bankers' clearing house statement shows that.facilities held in.London on July 31 at the disposal of Germany under the "standstill" agreement were £64,000,000, of which £55,000,000 was being used October 31. The agreement runs to February 29 next, and the whole question is under review.