FINDING A WAY

New Zealand Times, Volume XLIX, Issue 11224, 1 June 1922, Page 6

FINDING A WAY

PAYMENT OF REPARATIONS GERMANY PROMISES TO REDUCE FLOATING DEBT. A FOREIGN LOAN. By Telegraph.—Press Assn.—Copyright Australian and N.Z. Cable Association, PARIS, Alay 30. / Tho Reparations Commission has published tho German Note. Germany promises vigorous efforts to reduce the floating debt, and accepts inter-Allied control, provided that it does not violate) German sovereignty, or interfere with tho administration. Germany promises to prevent the exportation of capital, and will attempt to secure the return of exported capital, and will submit a legislative programme to enforce these measures before June 30th.

The reply states that the 1922 Budget is 24,500,000,000 less than in 1921. Germany promises Fiat tho publication of statistics will be resumed on the basis obtaining before the war. Germany attaches special importance to the return of evaded capital, and will take every means to obtain return by means of a foreign international loan. The “Matin” says the rqply conforms with tho results arrived at between the Commission and Herr Hermes. Germany will only have to meet the normal Budget expenditure and reparations in kind, on which the Commission made an important concession by fixing the amount at 720 million gold marks for 1922, of which 350 millions have already been paid. The remainder is to be settled by an international loan. The “Petit Paxisien’s” Berlin correspondent 6ays the German Note expresses Germany’s intention to avoid increasing the floating debt. This will only be possible by the help of an international loan. Germany wishes the amount of the floating debt on May 31st, 1922, to be considered its normal maximum. If it exceeds that amount in any month after June, measures will be taken to repay it in tlie following quarter. If, in spite of these measures, the debt still exceeds the maximum, the Government will increase the taxes.

The “Petit Parisien” remarks: “Germany has given way before the French Government’s energy and the pressure exercised on Berlin by the British Government, acting with perfect loyalty under the influence of the conference of bankers. Germany, with a little goodwill, is certain to emerge from her great financial difficulty. It only remains for Germany to give evidence that she will not join the Bolsheviks in any sinister adventure against European order.”