The Dawes Plan 1924

• Charles G. Dawes, an American banker, had been asked by the allies to resolve Germany’s non-payment of reparations
• April 1924 it was agreed that reparations would be temporarily reduced to £50 million a year
• US banks agreed to give loans to German industry. They loaned $25 billion between 1924 and 1930. These loans could be recalled at any time
• The French also agreed to leave the Ruhr
• Industrial output increased passing pre-world war levels
• Employment, trade and income from taxation increased