3 OCTOBER 1925, Page 44

INTERNATIONAL DEBTS.

On the other hand there is no disguising the fact that as each of the European countries funds its debt to the United States, there promises to be an ever-increasing pressure for dollars to maintain the service of Europe's debt to America. At the moment of writing negotiations at Washington for the funding of the French debt do not seem to be going very smoothly, but I cannot help 'thinking that some arrangement will be reached at an early date. It is all very well for the French people to threaten M. Caillaux if he does not obtain the returns desired by France, but in the long run it might be worse for the financial situation in France and for French credit if no arrangement were to be reached. A. W. K.