REPARATION PAYMENTS.

New Zealand Herald, Volume LXV, Issue 20080, 18 October 1928, Page 13

REPARATION PAYMENTS.

GERMANY TO THE ALLIES.

TOTAL SUM TO BE FIXED.

SURRENDERED BONDS FOR SALE Australian and N.Z. Press Association. (Received October 17. 8..13 p.m.) LONDON, Oct. 17.

The Financial Times says Sir Parker Gilbert, Agent General for Reparation Payments, spent the week-end with the Chancellor of the Exchequer, Mr. Churchill. It. is understood that they discussed German reparation payments and their satisfactory progress. Sir Parker will go to New York shortly. The Allies intend to fix the sum total of reparation payments. They have already planned to discharge half tlio liability through tlio surrender of Gentian railway and industrial bonds, which will bo sold to investors.

The fifth annuity year under the Dawes Plan began on September 1 last. This is (lie first year in which tho " standard " annuity of £125.000.000 is payable, and is regarded as the test year of the plan. Tho Agent-General for Reparation Payments announced on the date named that in the fourth year of the Dawes Plan, which ended on August 31, Germany made all payments fully and punctually as they became due, and that transfers were made during the year to an amount substantially equivalent to the year's receipts.

The reparation payments actually received from Germany within the fourth annuity year amounted to about £87,300,000, including two payments in completion of the third annuity, to the amount of £3,750,000 which was not received until September, 1927. The fourth annuity itself amounts to £87,500.000, and the two payments necessary to complete it, aggregating about £3,950.000, fell due in September. The first of these payments, representing the final instalment of the service of the German railway bonds, had actually been made on September 1 to the amount, of £2,750,000 There remained the final instalment of the year's contribution from the transport tax, amounting to about. £1.200.000, which became due on September 21.

The total transfers made during the fourth annuity year amounted, in round figures, to £86.950,000. The transfers in foreign currencies aggregated about 54.23 per cent, of the total transfers, while the transfers made by means of Reich mark payments in Germany amounted to about 45.77 per cent, of tho total transfers.