Mr. A. T. DAVIESasked the Chancellor of the Exchequer whether negotiations are proceeding between a British firm and the Bulgarian Government for a substantial loan for railway construction and other public works; whether such negotiations have been countenanced by the British Government; and whether results beneficial to British industries are expected to accrue if such negotiations result in an agreement?
Mr. YOUNGThe attention of my right hon. Friend the Chancellor of the Exchequer has been called to the negotiations by the British member of the Inter-Allied Commission at, Sofia. The consent of the Commission is required before any charge on Bulgarian assets and revenues can be created for the service of the suggested loan. The primary consideration is the effect of the proposals on the capacity of Bulgaria to meet her reparation obligations. In deciding their atti- 671W tude towards these proposals, the British Government will naturally take into account their effect on the British industrial position.