NATIONS' WAR DEBTS

Otago Daily Times, Issue 19498, 5 June 1925, Page 7

NATIONS' WAR DEBTS

SUMS DUE TO AMERICA. DEMAND FOR REPAYMENT. WASHINGTON, May 16. . In its letter to nine debtor nations the United States Government expresses n-s earnest desire that the war debt question should be brought to a solution without delay. . . In stating that the time lias come tor a settlement, the Debt Corn mission declares that it recognises no distinction between the French loans for the PLUfU tion of the war and the £100,000.009 which Trance owes America tor supplies obtained after the war. Officials are inclined to view the question of interest rather as a matter of how much the French are able to pay. Based, on the terms of the British debt settlement, France would be called on to pay £60,000,000 annually, equally divided between Britain and America, to adjust these two debts, and Washington is inclined to doubt, whether the French would ho able to handle so large an amount President Coolidgc has already stated that if France gets liny milder terms than those which have been granted to the other nations it will be only upon the 'final approval of Congress. The nations included in to-day s notification to pay tip are Trance, Belgium, Italy, Rumania, O.ccho-Slovakia, Fugo-Rlnvia. Esihonia, Latvia and Greece. While the requests for payment have been sent in rather stiller language than such communications arc usually couched in, many officials are extremely sceptical of any immediate results The negotiations may he long and difficult, ending in considerable compromise. Pressure upon Congress from certain quarters to give France better teims than Britain is already paying is expected, and such action by Congress would necessarily force a claim' for the new and easier conditions from the British. Altogether more than £3,000,000,000 is. still owed to the United Slates Government. THE FEELING IN FRANCE. LONDON, May 18. The French Foreign Office is unusually reserved on the subject of inter-Allied debts The Paris forrcspondfhit of The rimes says that the Foreign Office to confirm or to deny that an official Note lias been received from Washington suggesting that M. Caillaux might head a financial mission to the United States. The Opposition press, treating the suggestion as authentic, scorns the idea, mainly on the ground that “Trance never does Well in conferences abroad.” M. Caillaux is reported to have declared that he lias not the slightest intention of going to America. Discussing the communication which the United States has presented to her principal war debtors, the Washington eorres)M>ndent of The Times savs that it may bo summarised as follows:—"No peremptory demand for payment is made, but it is plainly indicated that the time has now arrived when sonif readjustment of indebtedness should ho attempted. ’ The State Department, is acting through American representatives abroad a.s the agent for the Debt Funding Commission, whoso hitherto negative policy must now he considered as having definitely entered on a positive phase. ,