The Archive · 1938

Moscow May Give Loan to China

German Newspaper Informed of Mongol Agreement Berlin, Jan. 26.

To-day's issue of the "Voelkischer Beobachter" displays prominently on the front page a special report from Moscow on the outcome of the Soviet Russian negotiations with the Chinese delegation headed by Mr. Sun Fo.

The report states that the negotiations in question have led to an agreement, by which the Soviet Union undertakes to recognize Chinese sovereignty over Outer Mongolia and to grant further loans to the Chinese Central Government. Pursuant to the agreement, the report continues, the Soviet government will recognize the right of China io send a plenipotentiary envoy to Ulan Bator, the capital of Outer Mongolia, who will at the same time be a member of the government of Outer Mongolia.

The report goes on to state that the strength of the Outer Mongolian army is to be increased to 200,000 regular troops, inclusive of the Soviet Russian detachments. The Soviet government will furthermore grant a supplementary loan of 200,009,000

Roubles to be used for the purchase of war material for the Chinese army, The Chinese government on its part, the report declares, will undertake to grant the Soviet Union a series of trade concessions in China.

The number of So Russian military instructors stationed in China will also be increased. It is stated that Mr, Sun Fo has already left Moscow again.—Trans-Ocean

Text read from the printed page and cleaned; old type leaves the occasional error.

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