(Incorporated im England) with which is affiliated solidated since 1935, ie. they have been converted from short-term credits to long-term loans, it is reported here this morning. This sum includes the recent Reich loan of 1,500,000,000 Reichsmarks the subscriptions to Which closed at the beginning of this week.
Calling attention to the fact that nearly half of this total sum was converted in the year of 1938 and the first week of 1939, the "Deutsche Allgemeine Zeitung" reviews Germany's economic and financial situation this morning in the light of the Reich's much discussed financial policy. "The rapid succession of state loans in 1938," writes the paper, "was the result of extensive projects begun during this time "s for example the Four Year Plan, the rearmament of the Ostmark, the fortification of the Western frontier and the development of the Sudetenland.
In financing these projects, the Reich has proceeded in a systematic manner. The economic system having reached its full capacity, the prine; pal of financing the mobilization of idle forces through credit was abandoned in favour of a financing besed on taxes and reserve funds.
The Reich no longer turns to the Reichsbank, but to the money market for consolidating its short-term obligations and this consolidation may also be regarded as a sign of the stabilization of the internal 117-122 Leadenhall Street, London, É.C., West End Branch—London
Text read from the printed page and cleaned; old type leaves the occasional error.