Evening star., 1928-12-24
FRENCH TO GET
/ CASH FROM BERLIN
Director of Budget Makes His
Kst Statement on Rep
arationS.

(By Cable to The Star and the New York
Herald Tribune. Copyrisht, 1e2s0
PARIS, December 24.-For the first
time since the Dawes plan became &C
tive the French government made an
official statement regarding utilization
of sums received from Germany. when
Charles Dumont, general director OF the
budget, declared in the Senate last week
that France would receive in 1929
total of 1900. 100000 francs, Of which
$3.50 900 900 francs will be paid IN
cash. The occupation army ana depGS
to American and British treasures VIII
swallow 3,642, 100000 francs. The nuo-
get will take a further 1000 O0O, ,O0O.
Speaking about public debt, M Du-
mont declared the floating debt mas
haen reduced to 1900 100000 francs
s3:1-ing 1923. While the floating deot
decreased 4o,000,0O0,O00 francs, the
long-term debt increased $4,000, ,OOO,O ,OoO,
owing to the conversion OF natlonal
,,efense bonds into rentes. During 1879
the sinking fund will not be faced WIN
rnat,lrities of the national oelenSe
bonds. These will only mature IN 1881
at a rate of 5000 900, 600 francs month
". while in 1926 the monthly rate
reached 8,O0o,000,0oO.
Plan 145,0OO,OOO Francs Surplus.
The Senate is now busy DISCUSSING
Ek,e 1929 budget, which Will De VoCeo
hefore the end of the year. The SEN
ate f1nance committee reduced by 6l,-
0oo d01 francs the expenditure already
voted IN the chamber and increased by
az 600 600 francs its receipts. II the
chamber agrees to these changes the
total expenditure will amount to 4o,-
3O8 100000 francs, and the receipCS
45.453 600 900, With surplus IN recelpts
of 1450O0.000 francs. However,
Frances economic activity remains as
brilliant in 1929 as 1t has been tnlS
wear. it may be expected that the sur
plus will be more.
At the end of November, the Treasury
had collected a total OF 50, ,326,OOu,ooo
francs. .382 10000 more than during
the same period in 1927 and almost s.,
400 600 600 more than Poincare expecVeo
in his budget estimate. unless tne
political situation changes for tne WORSE
this Improvement will continue, as the
TTench nublic is gradually gaining con-
idence in the country's financial apll-
stv The chief evil in France at the
sresent moment, which hampers fur-
t1er economic development, Is the cap
ttallsts' hesitation to invest their money
for long terms.
Foreign Trade Deficit.
While short term money may be had
at 3Ia per cent, long term loans stu
stand at 6.25 per cent. Therefore, the
debent,lre issue Is very limited. sta
taistics for French foreign trade SHOW a
persistent deficit during 1928. AT the
end of November the value OF imports
amounted to 1925. .o0o,000 francs
which is 10000 900 more than In the
same period for 1927-while exports
only are 100000 francs-3.235,-
GOO. 600 less than last year.
This fall in export value was almost
entirely due to reduced prices lor
French raw materials and manufac-
tured goods. In fact, the weight OF ex-
rorts increased 10 per cent. The COM
Toarison of the present figures for the
french foreign trade with those OF 1913
is particularly striking. Imports nave
increased IL per cent, while exports ao-
vanced 88 per cent.
This weeks Bank of France balance
sheet showed the state banks gold oe-
nosit again was increased by 10000, 900
francs bought from London. Fore
seeing the heavy payments TO be mace
at the end of the year, the bank ac-
ouires fresh gold, as the ratio between
bullion and sight liabilities must not
fall below 35 per cent. At present, IL
stands at 1912 per cent.