REPARATION PAYMENTS

Greymouth Evening Star, 21 November 1928, Page 5

REPARATION PAYMENTS

EQUAL GERMAN BORROWINGS

(Australian Press Association.) (By Cable—Press Assn—Copyright.)

(Recd. Nov. 21, 8 a.m.) LONDON, November 20. “The final reparations settlement must be one not exceeding Germany’s capacity to pay from her own resources, and not endangering the standard of living of her people,” declared Dr Stresemahn, in the Reichstag. The “Morning Post’s” Berlin correspondent, discussing the factors the experts must consider, says: Germany has been able to increase her Budget expenditure very substantially in 1928. Industrial production in 1928 was, roughly, 25 per centum above the average for the 1924-26 standard of living. The wages of skilled and unskilled and savings bank deposits have risen materially. The other side of the picture is Germany’s net borrowing from abroad from January 1, 1925, to May 31, 1928, amounted to 242£ millions sterling, almost exactly the equivalent amount paid out in reparations annuities. It will he asked to what extent is Germany dependent on foreign capital in future, and to what extent are foreign investors prepared to maintain the supply. The last four years have been years of artificially stimulated reconstruction following >. ten years’ stagnation. Is it humanly possible to determine upon a brief experience of what Germany is able to bear twenty years hence? REDUCTION DEFEATED.

(Received November 21, 1 p.m.) BERLIN, November 20.

The Reichstag, by 219 to 78 votes rejected the Nationalist motion demanding the reduction of reparation payments by fifty thousand sterl’ng annually, and the devotion of money to agricultural relief. The motion was regarded as tantamount to no confidence in Dr Stresemann.

BRITAIN’S WAR DEBTS.

(British Official

RUGBY, November 20.

Mr. Churchill, stated House of Commons, in reply to'a question, that the annual payment to the United States in repayment of war debt was £33,000,000, and British receipts in respect of Allied debts should be £12,800,000, including £8,000,000 from France and £4,000,000 from Italy. Reparations should amount to £19,000,000, making £32,000,000, as against £33,000,000. The annual payment to the United States would rise to £38,000,000 after 1933, and receipts from Allied war debts and reparations would also rise in proportion, in accordance with the settlement agreed to.