The Washington herald., 1922-02-27
Hopes Genoa Conference
Will Agree to Cancel
Her War Debts.
STILL STRUGGLES
TO BALANCE BUDGET
Counts on Revival of
Trade With Russia
And Germany.
By ROBERT R. MCCORMICK

oy NSoHN1 N. mSSSNm1 n
ROME. Feb. 26.-Italy's present
overwhelming purpose is to get
back to normally. That is why
former Premier Bonomi was anx-
ious to arrange for the Genoa eco
nomic conference. Whatever gov
ernment succeeds his will continue
his policy in this regard.
Italy obtained from the peace OF
st. Germain its two great national
desires-the annexation OF the italian
Austrian threat. As to the first there
are some local alterations, as shown
by Fiume. which may blaze up
again any day. and by the five
German and Slav deputies elected
to the Italian chamber by the newly
annexed territories. AS to the see
ond. the Austro- o-Hungarian Empire
has been broken up into six an
tagonistic fragments and has passed
from mind. Hence II Is that italy
has felt a freeness to disarm not
shared by France. which Is ever
apprehensive OF German revenge,
and England. with its world en-
pire to guard.
The italian navy virtually has
been scrapped. The flag of Savoy
today waves from but $50 ships
and is upheld by only 10000 men.
Before the war there were 225,oOO
men in the army and at the time
of the armistice, 100000 while now
there are only 175.ooo.
One of the modern warfare prae-
tices indulged in during the late
unpleasantness and not given hon
orable mention in the Root rcsoiu-
tion was that of stirring up revo-
lutions in enemy countries. Rus
sia and Germany fell for this super
poison gas. Italy reeled before IL
at Caporetto and nearly succumbeo
to II after peace was signed III
1921 the workmen of Turin ano
Milan possessed themselves OF fac
tories in which they were employed.
while peasants il Sicily seized the
estates of absentee Landlords IN
emulation of the moujiks OF the
Steppes. r
Italy came braveIy through its
social rebellion. but the cost was
considerable with the cessation OF
Industry. added to the heavy burden
Of that built up by the war:
From the dawn of the industrial
peace until now the successive gov
ernments have struggled to balance
their budgets. The 1922-1923 in
come. 1t is estimated. will be 15o.-
73s. .00O. 900 lire. the expenses $780,
$4,000. 900 and the deficit 2,762.OoO.-
900 lire. The last budget Is repre-
sented to he the best possible under
the present world conditions. Hence
the Genoa conference, from which
sufficient relief is expected to
change the deficit into q surplus.
What are the Italian hopes from
he Genoa conference? They are:
/ First, that America will accept the
formula of Reginald McKenna. for
| mer chancellor of the exchequer Of
Great Britain. for the cancellation
of international war debts and cor
responding relief to Germany.
This will relieve italy of the
dreary prospect of finding revenue
to meet an obligation of S1,64S.00o.-
900 to America and nearly the same
amount to Great Britain Of the total
of over 10000, 900, 900 lire owed
abroad. 1t will also insure a revival
of finance in Germany with whom
Italy held close political and COM
mercial relations before the war and
with whom it now wishes to estab-
lish profitable commerce.
Second. Italy wants to open up
Russia. believing that it will find
in that country a splendid market
for its factories and be able to Sc
cure raw materials and foodstuffs
at much lower prices than 1t is now
paying.
America is wanted at the confer
ence primarily because American
consent is necessary to cancellation
of the war debts and also because
Italy feels that America will be it's
friend in the discussions. Italy
feels that England and France
treated it unfairly at Versailles.
(CopxriSht le1a