REPARATIONS.

Press, Volume LVIII, Issue 17469, 1 June 1922, Page 7

REPARATIONS.

AGREEMENT REACHED. CONCESSIONS TO GERMANY. (Bj Csb'e —Prirs* Awocit'.ion—Copyruth'.l iAuttridiia mil 5.2. Cable Auociation.) PARIS, May 30. Germany's reply regarding reparations will probably be published tonight. "l.e Matin" says it conforms with the results arrived at between the Commission and Herr Hermes (German Minister of Finance). Germany will only have to meet normal Bridget expenditure and pay the reparations in kind, on winch the Commission made an important concession by fixing the amount at 720.000,000 gold marks for 1P22, of which 350,000,000 has already been paid. The remainder is to be settled by an international loan.

The Berlin correspondent of the "Petit Parisien" says the Note espressos Germany's intention to avoid increasing her floating debt. Thi; will only be possible by the help of an international loan Germany wishes the amount of her floating debt at March 31st, 1922, to be considered as the normal maximum. If it exceeds that in any month after June measures will be taken to repav in the following quarter. The "Petit Paifsien" says: Germany has given way before the French Government's energy and the pressure exercised on the German Government bv the British Government, who acted with perfect loyalty. Under the influence of the conference of bankers Germany, with a littlo goodwill, is certain '■•o emerge from her great financial difficulty. It only remains for Germany to give evidence that she will not join the Bolsheviks m any sinister adventure against order in Europe. Germany is convinced that financial help must be forthcoming abroad if an increase of the floating debt is to bo prevented. Provided this aid is forthcoming Germany is willing that the floating dobt of March shall be considered the normal maximum. Pending receipts from foreign loans, however, in order to cover payments made by Germany in satisfaction of the Treaty of Versailles, any piper maiks issued to cover tlie payments will be added to the floating debt. The Mote stipuk tes that the Allied supervision shad not violate the secrecy of the incomes or private affairs of the taxpayers. The Mote also says that the subsidies on public services limM been aoo.ishcd and the expenditure, made with the object of reducing the yiice of foodsLufts, is now only 100,000,000 marks instead of 172,000,000.

A previous message said:—The German. Minister of Finance (fierr Hermes) had made certain proposals to the commission which had oeen accep-ed by the German Government. 1 hey* included : Germany's consent to cut down her expenditure drastically, and, if she was unable tti balance the Budget in this way, to impose additional taxation, cease printing paper money, and withdraw from circulation all notes printea since March 31st. These proposals, it ■was stated, are conditional on Germany obtaining a foreign loan.

| GERMAN UNDERTAKINGS. PARIS, May 30. The Reparations Commission hns published the German Note. Germany promises that she will make vigorous efforts to reduce her floating debt and accept inter-Allied control, provided that it does not violate German sovereignty or interfere with the administration. Germany promises to prevent the exportation of capital, and will attempt to secure the return of capital that has been exported. She will submit a legislative programme enforcing these measures before June 30th.

BUDGET REDUCED. (.Received May 31st, 0.0 p.m.) LONDON, Mav 31. •The German reply states that' the 1922 Budget is 24,500 millions less than the 1921 Budget. Germany promises that the publication of statistics will be resumed on the same basis as before the war. Germany attaches special importance to the return of evaded capital and will take every means to obtain its return by means of a foreign international loan.