DEBTOR AND CREDITOR NATIONS BEGINNING TO FIND COMMON GROUND

Manawatu Times, Volume LIV, Issue 6902, 7 May 1929, Page 7

DEBTOR AND CREDITOR NATIONS BEGINNING TO FIND COMMON GROUND

Compromise in Sight

DIFFERENCE OF MERE £150,000,000 REMAINS

PAYMENTS POE 37 YE AES.

United Press Association —By Electrii Telegraph—Copyright. Received Monday 7.45 p.m. PARIS, May 6.

Terms of Mr Owen Young’s compromise have still not been published, but it is understood the compromise proposes that Germany should pay £103,000,000 annually for 37 years, whicn, with a further sum furnished by the new international bank, would mean a total capitalised sum of £1,800,000,000, compared with the Allies’ demand for £1,950,000,000. Herr' Schacht has tentatively accepted Mr Owen Young’s suggestion, with certain economic conditions.

The Morning Post says for the first time Germany offers a figure within a margin which the Allies can accept. The figure, about which the commission is now an process of agreement, will suffice to pay the Allied debts to the United States in 37 years, whereas Britain agreed to continue paying America for 58 years, but the descrepaney does not disturb the British experts as tho profits of the proposed bank international may be used for later payments. Moreover, as one of the delegation said "Who can say what will happen in the course of a generation?" The coming tusslo over reparations will now concern the diminution of payments for reconstruction in the devastated provinces in Prance and Belgium. Paris newspapers are no* - enthusiastic over Herr Schacht’s acceptance of Mr Owen Young’s compromise, fearing it will place France in a difficult position, as she may be accused of spoiling a settlement. France hopes, however, that the United. States will make corresponding financial sacrifices if the compromise is accepted. The Financial Times correspondent •at Paris states that Mr Owen Young proposes that Germany shall pay 58 annuities, commencing with 85 millions and rising to a maximum of 122£ millions. but after the 37th annuity there will be a .big decrease for the next 21 vears.