ALLIED DEBTS.

Wairarapa Daily Times, 22 October 1930, Page 5

ALLIED DEBTS.

PAYMENTS TO AMERICA. BRITAIN’S UNDERTAKINGS. LONDON, Tuesday. Considerable interest has been aroused here by “The Times” Washington correspondent’s report that the United States Treasury and banking leaders are discussing a draft plan for a possible moratorium on the Allied debt payments to the United States. The only comment here is that Britain Avill continue to repay her debts without the slightest suggestion of reA'ising her undertakings, and the initiative must come from the United States, but latterly it has been significantly observed in London that the United States’ vast gold reserves, coupled Avith the falling of commodity prices, may compel her to examine the position.

It is stated that Dr. iShacht has met Mr 11. L. Stimson, Secretary of State, and later he Avill meet President Hoover and Mr A. W. Mellon, Secretary of the Treasury. The correspondent toelieA?es that Germany will be forced to declare a moratorium on her conditional reparation payments.

AMERICA’S GOLD. LONDON, Tuesday. In reference to the revival of talk of the War Debt moratorium, the “Daily Telegraph” says: —“It is not inconceivable that American banking opinion may have arrived at the conclusion that the accumulation of gold from Europe, including 80 to 90 millions sterling a year in respect of the War Debt repayments, is preventing the impoverished Continent from buying American goods, hence it is largely responsible for the growing unemployment in the United States. This situation Avould be eased if the further import of gold, amounting to 150 millions sterling during the next tAvo years, could be checked.”

The “Financial Times” says the best economists see clearly the inevitability of a rearrangement of the war and reparation debts. They stand in the way of a world recovery, and must bulk larger as time passes. GERMAN ANNUITIES. BERLIN, Tuesday. The newspaper “Germania” says: — “The question as to how long Germany can continue to transfer annuities is being eagerly ventilated.” • FRANCE ’ S PAYMENTS. PARIS, Tuesday. There is no doubt here that Germany intends to claim a moratorium, in which event the question will arise of France’s payments to America.