GERMAN FINANCES.

Taranaki Daily News, 7 May 1917, Page 6

GERMAN FINANCES.

Reports that recently readied Now York from Germany indicato growing criticism there of the war financing methods. American tankers with whom the financial correspondent of a London paper has discussed the matter express astonishment- that Germany should have permitted affairs to reach a- stage at which she must either set aside a very large proportion of the amount she hopes to raise to pay off accumulated interest on the old war loans, or else permit the interest to still further accumulate until the conclusion of the war, and' allow the amount to become a tremendous strain on the economic strength of the country. "It was,'' says the correspondent, "only Germany's obstinate faith in a quick victory ami overwhelming indemnities, it is believed here, which induced her to allow the financial conditions to roach such an unenviable pass. Signs that this faith has at last been shattered are seen in reports from -Berlin that efforts are being contemplated to correct the ruinous financial course by taxation. It is believed, however, that 'Berlin's eyes have been opened too late, and tlicit heavily increased taxation, in face of the failing submarine campaign and lack of victories on land, will be keenly resented even by the docile and Kaiser-ridden people, 'exhausted and impoverished by war. Germany's other alternative—repudiation of her debts —wouli\. it is believed here, mean -certain revolt."