§ 36. Mr. RILEYasked the Chancellor of the Exchequer if there is any outstanding loan or debt owing to this country by the Government of Persia, either for money advanced or work done for or material supplied to the Government of Persia; and, if so, what is the amount of such loan or debt?
§ Mr. CHURCHILLIn April, 1925, His Majesty's Government agreed to reduce their claim in respect of various loans made to the Persian Government from over £4,500,000 to £2,000,000 and to accept repayment by means of 25 annuities of £180,000 each to begin in 1926–27. The Persian Government accepted this offer in March, 1926, and promised to submit it for ratification by the Persian Legislature. This has 561 not yet been done, and accordingly representations were made to the Persian Government on 10th May last, urging that the agreement should be submitted for ratification without further delay.
§ Mr. CHURCHILLYes, Sir. The annuities of £180,000 represent seven per cent. interest and two per cent. sinking fund.
§ Lieut.-Commander KENWORTHYHow many years are the payments to run?
§ Mr. CHURCHILLTwenty-five.
§ Lieut.-Commander KENWORTHYIs the right hon. Gentleman aware that the Persian Budget balances better than his, and that the state of the country is, proportionately, more prosperous than the state of this country under his Government?
§ Mr. CHURCHILLIf any opportunity occurs of discussing the matter with the representatives of the Persian Government, I shall not fail to bring to their notice the points mentioned by the hon. and gallant Member.