I AT A HIGH FIGURE

Te Awamutu Courier, Volume 56, Issue 4047, 13 May 1938, Page 6

I AT A HIGH FIGURE

i ■* JAPAN’S WAR COSTS. The Japanese Army’s and Navy’s combined demands for financing the war in China during the next fiscal year will exceed 4,000,000,000 yen, according to a forecast in the news- , paper “Asahi,” writes Hugh Byas from Tokio to the “New York Times.” This , amount tops all previous forecasts, which had not exceeded 3,000,000,000 j yen. Following last year’s precedent, it , is proposed to appropriate all neces- , sary funds in one vote so as to elimin-; ate the necessity for a special Diet j session. < Together with 2,500,000,000 yen j voted last year, the new appropria- { tions will increase Japan’s National ■ Debt by more than 50 per cent. At the end of 1931, when the Manchurian | affair inaugurated the Continental . policy that has now culminated, in the • Chinese war, Japan’s National Debt amounted to less than 6,000,000,000. It now approximates 11,000,000,000. and borrowing involved in these demands will make it over 15,000,000,000. New Ministry Set Up. A new Cabinet post, Minister of Social Welfare, is being created and will be held temporarily by Marquis Koichi Kido concurrently with the portfolio of Education. Premier Kumimao Konoye made strenuous but unsuccessful attempts to persuade

1 Seihin Ikeda, a financial leader and I business executive, to accept the post. ’ The new Ministry of Social Welfare I developed from the army’s desire to j have a Ministry of Health established, jit is urgently needed for the relief of I families and will have an important duty in preparing for demobilisation. ' The Cabinet’s “Big Four,” Prince j Konoye, Foreign Minister Koki Hirota, ■ War Minister General Sugiyama, and Navy Minister Mitsumasa Yonki, have I met. Akiri Kazami, chief secretary | of the Cabinet, subsequently issued ( the following statement regarding the j Chinese situation: ' “Chiang Kai-shek'? Government has i fled to the interior, where it is maki ing a show of power. It is clear, however, that the National Government dreads the power of Japan and the determination of the Japanese people and that the desire to seek peace is becoming increasingly apparent. “Japan has made tremendous sacrifices in the present holy war solely because she seeks security for permanent peace in Eastern Asia; and unless China shows a sincere intention of reconsidering her policy, Japan must press forward to the attainment of her objectives with this determination firmly in mind, it is agreed by the four Ministers who conducted an exchange of views regarding the next steps in China.” Officials profess to be unable to elucidate these cryptic remarks. They do not exclude the idea of peace negotiations. In substance, they only repeat what has been said before—namely, that unless the Chinese accept Japan’s terms the war will continue.