The Hokitika Guardian MONDAY, SEPTEMBER 4th 1922 A BREATHING SPACE.

Hokitika Guardian, 4 September 1922, Page 2

The Hokitika Guardian MONDAY, SEPTEMBER 4th 1922 A BREATHING SPACE.

Anotiikh respite has been granted Germany in the matter of reparation payments. The breathing space is being commended on the wliole, but its most striking value is the patching up of the differences between the Allies, and particularly between Britain and Franco. In tile interval the two Bowers will have time to reconsider the whole issue, and some mutual arrangement should lie reached whereby the two Governments will come to a more definite understanding for the future. The failure of the London Conference to reaoh a mutual basis of negotiations with Germany last month, resulted, the cable news told us. in the relations between Britain and France being very strained and that a complete rupture was feared. The latter extremity was avoided thanks mainly to the forbeara.nco of the British Government. M. Boincaire on his return to French soil, delivered more than one inflammatory speech, and wisely, it now appears, Great Britain said nothing in reply. The French excitement was pronounc- '

od. but it was not fanned to a more dangerous condition, and appears to have at least, died down. Meantime France lias held her hand, and awaited the deliberations of the Reparations Commission. The British propcs'ls with regard to an unconditional nurie tnrinni to German?', Was liol accepted, hut ill substance they liave been so far as the 1l)22 payments are concerned by the Belgian proposals. The latter carry a guarantee which has to satisf?* Belgium. The press comment at Home, which may lie accepted as a guide of the public feeling, generally approve the negotiations, and it is very satisfactory that some way out "as found, other than a serious broach of Entente relations. But We have to rPmembor that the stage reached is purely a temporal y one, There is no real settlement yet. nor any immediate prospect of such a happy conclusion. It. is at best a breathing space to further probe the financial ability of Geiliiniiy to nlithe goexi. The l.endoii ‘‘Daily Tele: graph” regarded the issue vciy clearly when it said: ‘‘The Commission did good work. It rests with their governments to consolidate the good work, and to look ahead betimes to the next and most difficult, decision.” There are those who think that France lias restrained her action now in regird to fresh penal clauses in the belief that under the respite, the penalty rimed for may Ik: more pointedly and unanimously imposed on the next occasion of default. At the same time it must be realised that German finance is going from had to worse. The unusual issue of so much paper money which is known to he at such a terrific discount, may he part of a plan to cripple to the point of disaster the national finance. This course however, would he really working into the hands of France, which would be justified in taking in kind what- she cannot obtain in cash. The complications likely to arise irom the depreciation of the mark promise to he more definitely serious to Germany than to the countries which have been speculating in the mark. Really the main issue at stake is the adjustment of the national debt and this is being allowed to mount up to breaking point. At that point it remains to he seen who will sillier the most Irom the disaster. It certainly appears Germany will for she will lx: shorn ol her best natural assets !>>• creditors who will have the will and the power to secure some recompense for the great impost of debt and disaster she imposed on the Allies during the Great War,