462.00R296/4750: Telegram

The Ambassador in Great Britain ( Dawes ) to the Acting Secretary of State

[Paraphrase]

274. For the President and the Acting Secretary from Stimson. Last Friday evening, July 24, I left London for Berlin arriving there the next afternoon. I dined that night at the Embassy, and there met the Chancellor and other Government officials. On Sunday I spent nearly the entire day with Bruening and Curtius seeing Berlin and the neighboring country, and observing the holiday crowds. Sunday night I dined at the Office of the Chancellor, and there met a number of Government officials as well as some prominent bankers, among others Warburg, Wallenberg of Sweden, Schacht, etc. I had a conference lasting half an hour with Von Hindenburg on Monday morning, and at 1:30 I left by air for London.

My principal endeavor was to try to make Bruening and his colleagues realize that the United States had done everything possible to help Germany, and that the success of the stabilization of present [Page 555] outstanding credits would rest with the German people and their Government. It is my belief that these efforts met with some success, and that the Germans are beginning to feel the importance of helping themselves and of ceasing to make appeals for immediate assistance. In the opinion of Ambassador Sackett there has been a decidedly favorable change in tone in this regard during the last few days. The doctrine I advocated was professedly believed in strongly both by Warburg and Schacht. In my conversation with President Von Hindenburg I emphasized the need for self-reliance on the part of Germany and for courage in facing the present situation; and Von Hindenburg reacted very favorably to this suggestion. With regard to disarmament. I limited my discussion to stressing the moral value of the present undefended position of Germany as an argument for the spread among her neighbors of disarmament; and I expressed a hope that Germany would do nothing to impair the value of her position in that respect. Although I was in Berlin only a short time, I had a good chance to see the Chancellor in contact with holiday crowds; and I obtained a very favorable impression of their stability. No hostile demonstrations took place; and I was very much reassured by the appearance of the average middle-class holiday-maker. The principal reaction I had was that Germany was regaining her self-confidence.

In returning to England, I stopped at The Hague, where I dined with Minister Swenson,78 who had the Governor of the Bank of Holland to meet me, as well as several of the Dutch Government officials. Tomorrow I expect to have additional conferences with MacDonald and others here, and shall leave for Scotland on Friday evening. Details of my conversations in Berlin will be forwarded by post. [Stimson.]

Dawes
  1. Laurits S. Swenson, American Minister in the Netherlands.