The Stourbridge Observer, Cradley Heath, Halesowen & District Chronicle.
Stourbridge, West Midlands, England, 1872-08-03 00:00:00

N

(qt ton be 04serber.

SAI CEDAI, AUGUST 8, 1872.

THE FRENCH LOAN.

The success of the French loan, like the lean
itself, is a marvel. It is a common remark that
uo one can thoroughly understand and appreci-
ate the idea of a million sterling. Till recently
cry few of us had any idea what a milliard ;
alai when we hear that a milliard is a thousand
millions our minds appear scarcely able to grasp
use idea. Let us get at it by degrees. Leaving
out tractional dillereimes of exchange, 1,000
francs is £4O; a milliou francs, £40,000; a mil-
liard of francs 40 millions sterling; three mil-
liards of francs, 120 millions sterling, which is
the 'alumna of the new French luau, and this is
, only part of the cost of the recent disastrous
war. The way in which this loan would be re- ,
ceived by the country has all along been consi-
dered a test of the prosperity of France and of
,ne stability of the Republic, and it is therefore
6ratii)ing to hod that the loan has proved a
mßitain success. A Paris telegram dated sun.
coy, iiiMuight, says, " it is asserted that the new
.Uall has been subscribed nine times over and the
Boulevard price of the loan is 172." This
proved to be an exaggeration, but later and more
it:amide telegrams from the French capital say
,uat the loan was subscribed twice over; that
me peasant proprietor class, from whom so much
,vas expected, aid not contribute largely, but
Viet middle-class business men were the main
Contributors. 'the stock was quoted at a pre-
.even before it was issued; immediately
on the completion of the loan it was quoted at
2i franca premium and is at a premium still.
au far as the actual subscription for the loan is
.uucerued, it anurds II very inadequate test of
he coundence cud prosperity of the country.
the will of the people would have led them to
subscribe the loan live or six times over, but it
was pretty generalty known that there would be

. . . _
Jest. iiinicunies in the way of procuring small
..hares in it. Peasant proprietors, pett,i trades-
men, and the working classes generally, stand
vcry little chalice of obtaining any share in a
uatiould loan, and this is much to be regretted,
As tneir becoming creditors of the State would
as a permanent aid to existing institutions and
A safeguard against future revolutions. But the
great bankers and financiers always take the
.ion's shares on such occasions, and by subse-
quent dealings usually manage to make large
profits. But making all allowance for this, the
rapidity with which the loan of 120 millions
sterling has been taken up speaks hopefully for
the future of France, while it incontestibly
proves her strong financial position at the pre-
,eut time, notwithstanding her terrible disasters.
, France has now proved to the world both her
.bility and her willingness to pay off the heavy
burden of debt that war imposed upon her. The
subscriptions to the loan, in spite of the dealings
of large capitalists, have been spread over a
sufficient area throughout the country to show
that the nation has confidence in it. own resour-
ces, hi its own inherent power of recuperation,
.ud in the stability of the Republic. It is well
indeed that this is so, for she has a tremendous

vork before her. She,ie most heavily taxed on

account of the war; the savings of • consider-
Ible proportion of her provident classes have
,een lessened by enforced contributions; and
.oth trade and commerce have been injured by,
as we think, an unwise return to the protective
system. And yet, spite of all this, there is de.
;.eruaination enough and money enough in the
country to pay off the indemnity, to free herself
irom the shackles of the conqueror, and to set
cut again with a good heart on the path of indus-
try and prosperity. The political considerations
suggested by the success of this gigantic loan
operation are as encouraging as are the financial
considerations. France thus definitely declares
in favour of the Republic and repudiates all
thought of an empire or a monarchy. M. Thiera
nay be congratulated on the splendid triumph
,e hug gained, tied may regard this hearty na-
ional subscription for the loan as a vote of con-
deuce and so a new lease of political power,
4ed though he be. And Fiance lute entire
way be congratulated on the internal prosperity
• is thus exhibited and on the internal pesos
that is thus to a oonsicluabls extant ustuoil.