The Dominion FRIDAY, NOVEMBER 12, 1920. THE PATH OF PEACE

Dominion, Volume 14, Issue 41, 12 November 1920, Page 6

The Dominion FRIDAY, NOVEMBER 12, 1920. THE PATH OF PEACE

„ In his speech at the Guildhall, Me. 'Lloyd George pointed to a, • national and international outlook which, on the whole, shows promising signs of improvement. There are, as he observed, still perils in the path of peace; even tho British Empire—with the Irish question and others only less grave yet unsettled—is far from having attained the stable conditions which seemed to be within comparatively easy reach when the armistice was ■ signed. Looking abroad, , account has to bo take'n of Bolshevism still enthroned in Russia, and of terrible conditions of social and economic, disorganisation throughout a great ' part of Europe.' There are some positive indications, however, thai; the world is beginning _to recover from the disorders which found such a favourable, breeding-ground amongst tho war-exhausted nation's, and that an era of peaceful struction is opening. What MR. IiLOYD George had to , say. about Germany distinctly brightens tho hope'that real progress will soon be made towards restoring normal conditions of peace and prosperity. At best the task of reconstruction will bo long and arduous, but if soun,d and orderly methods- are brought to bear its difficulties will diminish as,time goes on. The first great step is to secure from Germany the honest fulfilment of hotTreaty obligations and the utmost measure of reparation of which she, is capable. Much importance, there fore, attaches to the British Pfiint Minister's statement that, in regard to disarmament, which, as he remarks, is the real tost of Germany's sincerity, the" latest news is "most satisfactory," and that she is submitting proposals for liquidating her reparation obligations, with which he, personally, is pleased. He credits Germany with realising that, her first duty is to repair the devastations wrought by her armies. It is of capital importance that the Allies should unitedly agree upon a settled policy towards Germany, since they cannot otherwise attain the conditions of harmonious cooperation, which are vital to good progress in 'reconstruction and tho restoration of' normal conditions. . Assuming that Mr. Lloyd George has accurately summed up the situation, the dangers of a disagreement between Britain and Franco, ovet German reparation and methods' of enforcing the Treaty are less serious than they, have at times appeared to be during the last few months. Tho French outlook on such questions is largely dominated by not unreasonable apprehensions of tho formation of a Jtuss6-Germari"bloc ( "whether White or ■ .Red, which would be under the guidance of Germany, and into which France would 1)0 sucked sooner or later by the steady ■ pressure of the economic current." The peril thus pictured is admittedly not- imaginary, but. tho best way of averting it seems to bo to bring Germany definitely to terms, in the conditions Mr. Lloyd Geoiigr . has declaned to be reasonably assured. More, no doubt, will be heard on this subject after the meeting of the Assembly of the Lcaguo of Nations which opens .at Geneva next Monday. Meantime the optimistic view taken by the British Prime Minister finds some support in what was accomplished at the International Financial ' Conference held last . month at Brussels. This representative; gathering of financial experts reviewed at large the problems of repairing war ravages in Europe, restoring credit, and re-starting the machinery' of production, and for- ; initiated recommendations which , will lie submitted to the League Assembly. A committee on international credits sot' up by the conference contributed, the most Tin•portant items in these recommendations. Observing that it was not possible for certain countries to restore their economic activities with- ' out outside assistance,, the commit- ' tee added that this aid should bo ac- ■ corded only from the savings of the lending countries, and not through an increase of paper money. The procedure recommended is that ' of establishing an international organisation which would be available to States wishing credit to pay for essential _ imports. The proposal, however, is not to provide an international guarantee, but to establish I an international clearing-house. ' Each borrowing State would then notify this organisation concerning the national assets it is prepared to ' pledge' as security for trading credits—as collateral security, that : is to say for credits covering the cost of commodities. It is claimed that in this way avenues of trade would be opened which are at present closed and that the results would be beneficial both to exporting countries and to those which are incapable, as matters stand, of re-establishing their economic organisation. If, seems possible that li.y such methods much may be done to hasten the progress of the economic reconstruction on which the political and social rehabilitation of Jluropo largely depends.