The Birmingham age-herald., 1919-02-12
MONEY ON LOANS
 WILL REMAIN HERE
By HOLLAND

Washington, February 11.-(Special) ) When Japan found it imperative that she place large orders in the United States for various commodities which were needed by that nation at the time of her war with Russia, her representatives found that the American banks were ready to subscribe for large issue of the bonds of Japan. The money obtained in this way did not go to Japan. It re- mained in the United States. It was drawn against so that payments could be made for the commodities Japan bought here. American banks lent to Ja- this country and held, the bonds as se- curity. The arrangement was satisfac- tory to both parties to the bargain.
 This, however, is not the way in which Belgium seeks aid in the restoration of her industrial properties. Not the Bel gium government, as was the case with that of Japan, but industrial leaders in Belgium have united in association with banking authorities there in attempting to perfect an arrangement with the bankers of New York whereby S5O.0OO, 900 can be made available, the money to be used chiefly, if not entirely, in restor- ing the devastated industries of Belgium Fifty million dollars will not do much more than to begin to repair the dam- age-at least that is the opinion of the experts-but it will aid in doing that and the expenditure of this money will be in fact the first step in the restor- ing of Belgium as a great industrial community.
 The arrangement has been perfected or is about to be perfected, and it is a significant one from several points of view. The first comment which the pub lication of this news occasioned in the financial district was this: Much has been said about greatly exaggerated expecta- tions on the part of American industries as to the extent of the commodities which our allies will be compelled to buy in the United States in order to restore normal industrial conditions. Some have gone so far as to say that almost every one of our allies will be in position so to finance her own needs as to make it unnecessary for her to buy to a great extent commodi- ties in the United States.
 Reports have come from Europe that the devasted portions of Belgium and northern France are in such condition th at no amount of money will make them available for industry or agriculture, at least until many years have passed.
 LOOKING FOR EXPERTS
 Our own industrial leaders are now act ing, however under the assumption that with the end of the war orders from the United States government, industrial plants will be in position speedily to manufacture great amounts of commodi- ties of which foreign nations are in need, especially our allies. Therefore the pre-. sumption is strong that our export trade will continue large for many years and that there will be favorable balance of trade amounting to hundreds of millions every year.
 Nothing definite, however, was learned respecting this outlook until at last 1t became known that New York bankers had practically completed negotiations whereby they will establish a credit in favor of Belgium industrial leaders to the extent of s50000.000. Our banxers seem to have been all the more ready to grant accommodations of that kind because they are glad to facilitate in- trade with Belgium. This will serve to maintain and increase our ex- ports.
 ONLY THE FIRST
 If this arrangement is perfected, as undoubtedly 1t will be in a few days, then the chances are that it will be fol- lowed by others of like character. There are intimations that industrial leaders in France have already tentatively ap- preached the United States vi ith intent to secure a large credit-possibly larger than the one Belgium is to- receive-and to use the accommodation thus obtained n the upbuilding of the devastated con ditions of France
 Inquiry in the financial district justi-