REPARATIONS CRISIS.

Evening Star, Issue 20253, 14 August 1929, Page 8

REPARATIONS CRISIS.

After Mr Ramsay MacDonald announced the selection of his Ministers there were critical comments in the ■London Press declaring that in tire allotment of the portfolios the choice in some instances had fallen on men unsuitable for the posts allotted to them. In the case of the Chancellor of the Exchequer, however, no other name was suggested as an alternative to that of Mr Philip Snowden. His qualifications were regarded as outstanding. During the short term of office of the previous Labour Government he enhanced Ids reputation gs a man capable of grasping the intricacies of national and international finance, and at the present juncture wo have the spectacle of the British Press in unison applauding Ids attitude at the Reparations Conference at The Hague. Britain, ho has declared, which is already bearing an undue share of the post-war burdens, shall not have additions mr.de to them. In his stand he has s.' ■ r.vn decision, courage, and resolution. During Allied conferences in the past a crisis was not im-

common, but generally it was followed by a compromise, in which Groat Britain made the chief concessions. The representative of an international party has- proved the stoutest nationalist on this occasion. It was at first assumed that ho would not persist in his claims to the extent of leaving the conference if they were not satisfied, but it Was soon demonstrated that he meant what ho said, and bitter comments in the French Press followed.: Mr Snowden, apparently, has departed from the diplomatic language usually associated with such gatherings, and a verbal duel with the French Finance Minister provoked consequences that in other days would have needed the presence of seconds in a very real sense, At the moment the financial experts arc in consultation, and it is suggested that a way may bo found put of the impasse. So far, only the financial aspect of the deliberations at The Hague has come into prominence. The conference is twofold in character, for it has a political division as well. In the Reichstag recently the German Minister of Finance said he expected 'that the conference would be called upon to liquidate . all the outstanding questions relating to the world war., This is a large order, but if certain important political questions can be adjusted harmoniously the tension at present existing, notably between Franco and Germany, will ho sensibly relieved. The chief of these relate to the Rhineland evacuation, tho conbupl of the Saar, niinorities, and tho position of Germany in relation to the mandatory undertakings of the League of Nations. The discussions will probably resolve themselves into hard bargaining, and more crises can he expected before the conference ends. The possible withdrawal of the armies oh occupation in the Rhine before the completion of the treaty pefiod was suggested in the Versailles Treaty itself. The British Government is entirely favourable to with- - drawal, recognising that a continuance of the present system is undesirable and unnecessary, while France has given a very qualified approval. In the case of the Saar, France obtained from Germny, as compensation for the destruction of the coal mines in the North of Franco, tho exclusive rights of exploitation of tho coal mines situated in the Saar basin until 1935. Dr Stresemann, in the course of a recent speech, indicated that he placed the Saar question on an equality with the Rhineland problem. But it is infinitely more difficult of adjustment, from the iact that any- alteration in the present arrange meat would mean a modification of the Treaty of Versailles, which France would naturally resist. It will be seen,, therefore, that the troubles of tho conference will by no means be ended-if tho present financial controversy is satisfactorily settled.