Songs of praise go up in Germany because it has
been announced that the third German War Loan has produced over 2600,000,000, or a little more than the second British Loan. For our part, we remember that the War Loan Banks in Germany played a great part in raising the second Loan. These banks lend money on easy terms—even on personal property placed in their care, it is said—on condition that the money lent is subscribed to the Loan. Money contributed on such terms is not a genuine subscription such as we have had in this country. We may conclude, though we are not told so, that the War Loan Banks have done even more towards raising the third Loan. Moreover, there is no comparison of value to be drawn between the German third Loan of 5 per cent, issued at 99 with the second British Loan of 43/4. per cent. issued at par. We also observe that a clamour has arisen among the Brussels bank clerks, who protest against their salaries being reduced by 20 per cent. in order that the sequestrated part of their income may be subscribed to_ the Loan. This compulsion is very significant. How far it extends we do not know. What we do know is that the German Government have declined to raise their taxes, either because the taxable resources of the country are exhausted or because they dare not provoke indignation.
Previous page
