20 MAY 1938, Page 2

Belgium's New Government The Cabinet crisis in Belgium has been

resolved, for the moment, by the formation of a Government under M. Spaak, the former Foreign Minister and Belgium's first Socialist Prime Minister. Fortunately, in the new Govern- ment the coalition of Socialists, Catholics and Liberals on which its predecessors were based is still preserved ; there is no other basis for a stable Government in Belgium at present. But the new Cabinet's position is likely to be precarious owing to opposition from the Catholic Conservatives whose defection brought about the crisis. Their objection to " Socialism " will not decrease under a Government headed by a Socialist and faced with financial difficulties requiring increases in taxation and plans to create employment. This weakness in the Government's position is the more unfortunate because of the serious dangers Belgium has to face. She is living in the shadow of the Third Reich, whose influence is apparent in the growth of Flemish nationalism and of totalitarian ten- dencies ; such movements may not present urgent difficulties at the moment, but they are likely to increase unless Belgium can overcome the loss of the economic advantages she gained by her devaluation of the belga under M. van Zeeland. Her present problems are largely due to the subsequent devalua- tion of the franc and its effects on Belgian trade.

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