Cost of Mobilisation

Manawatu Times, Volume 63, Issue 236, 6 October 1938, Page 5

Cost of Mobilisation

French Government Given Plenary Powers FOREIGN POLICY MUST BE RE-EXAMINED United Press Association.—By Electric Telegraph.—Copyright. Received Wednesday, 10 p.m. PARIS, Oct. 5. Ijc Chamber of Deputies passed a Bill giving the Government plenary financial powers to meet the cost of the mobilisation, which is between £55,000,000 and £60,000,000, by 331 votes to 78. There were 208 abstentions. An earlier report stated that the Socialists were meeting for a second time to reconsider their attitude on the measure after an appeal by M. Herriot, President of the Chamber. It was announced after the meeting that the Socialists had decided to abstain from voting. The Finance Committee of the Chamber voted in favour of the Bill by 18 votes to five, with 18 abstentions. M. Daladier agreed to limit the exercise of full powers to December 1, instead of December 31, thus forestalling the imposition of the 1939 budget by decree. He promised that rentes would not be forcibly converted, the exchange controlled or tho Treasury limit for borrowing from the Bank of France increased. The Foreign Affairs Committee of tho Senate issued a communique announcing that France’s foreign policy must bo reexamined in the light of the Munich Agreement. M. Daladier, in the course of an hour’s speech, told the Chamber of Deputies that plenary powers were necessary in order to enable the nation to assemble its full resources, adding: “All Frenchmen who desire the salvation of France must regard themselves in a state of permanent mobilisation for service for the peace of their country. We shall maintain peace only if national production permits us to speak as equals with the peoples surroynding us, and if our finances are sound and our Budget balanced.’' All sections of the Chamber cheered with the exception of the Communists, who sat in grim silence, apparently anticipating defeat. It must be pointed out that the Communist defection is the first serious schism in the Popular Front majority, inasmuch as one of the Popular Front parties voted as a group against the Cabinet, but against this must be placed the fact that Deputies so widely differing in views as the Social Republican leader, M. Frossard, and M. Ybarnegaray, a member of the extreme right Social Party, agreed that French unity must rise superior to party struggles. Leaders of tho various parties, in accordance with M. Daladier's permission, put forward their views in complete orderliness, in contrast with the earlier stormy scene. M. Bergery, briefly announcing the Independent Left Party’s support, hoped that the Munich armistice would result in a true peace treaty. M. Walter, representing Alsace and Lorraine, declared, “Whatever the circumstances, our provinces are at France’s service, but we must ward off for ever the threat of war on the Rhine. France must follow the ways of the new diplomacy.'' M. Peri’s announcement was remarkable for the utterance that in England some Ministers had a sense of loyalty and honour compelling them to resign when they were not in accord with their Prime Minister. M. Marin, leader of diehard Conservative Republican ‘Federationists, congratulated M. Daladier on saving the peace. He deplored the sacrifices entailed. M. Blum paid a tribute to Czechoslovakia’s sacrifices and regretted the semi-disappearance of the League. M. Barety, leader of the Independent Radicals, pledged their loyalty to tho Government. Tho Paris correspondent of the Daily Telegraph points out that the monetary situation has deteriorated since October 1, and it is believed the Government must secure further advances from tho Bank of France, entailing inflation, or find a solution in the direction of exchange control, but the former is most likely. Financial authorities believe the Government may devalue the gold stocks of the Bank of France, increasing the value of the reserves by over £200,000,000. It is said that plenary powers are very unlikely to be supported by the Socialists and Communists.