Financial Difficulties in Palestine Largely Due to Lack of New Immigration and New Investments “jued

The “Juedische Rundschau”, the organ of the German Zionist Organisation, in reporting the arrival of the O’Donnell Commission in Palestine, remarks that the Commission has been sent out for a two-fold reason. In the first place, it says, the Palestine Administration is in a financially difficult situation, and its work has consequently been subjected recently to severs criticism, so that certain changes are held to be necessary. The reduction of revenue is connected, the paper says, with the difficult economic situation in the country, the lack of economic enterprise, the catastrophic position of Arab agriculture, the lack of new immigration, and new investments, in brief, the general stagnation of economic life which is making itself felt on the State revenue.

It is also necessary to make an effort, the paper proceeds, to balance the budget. The usual road of economising will be found more difficult this time than previously, because, in accordance with the intentions of the London Government, the administration is to assume new duties now, and it is therefore expected to do anything but balance its finances by cutting down public services. And yet, the “Rundschau” adds, it is feared that it is in this very field of public works that the reductions will be made. The criticism directed from many quarters, especially by Sir John Hope-Simpson in his report, calls for an energetic reorganisation of various Departments, which will have a decisive influence upon the economic developments of the country. In this connection the Colonial Office Commission acquires particular importance. The productivisation of the Administration is of vital importance for the economic development of the country, the “Rundschau” concludes. It would at the same time strengthen the confidence of the population in the authorities and would remove certain justified complaints which have been directed recently against the Administration.