From the archive: Berlin currency talks fail

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The Scotsman, 12 February 1949

THE United Nations “Neutral” Committee on Berlin, after two months of secret discussions in Geneva, conceded its failure to-day to find a solution of the Berlin currency problem equally acceptable to Russia and the West. The Soviet occupation authorities in Berlin to-day protested against proposals by the German Parliamentary Assembly at Bonn to include the Western sectors of Berlin in a West German State. In the opinion of the Soviet Command, this resolution was new proof of the “adventurous” policy of the Assembly. “The Assembly is trying by means of such provocative tricks to... continue the occupation of Germany for an indefinite period,” the protest said. General Clay, US Military Governor, said in his latest report to Washington that the situation in Germany “paints a pretty good picture”. West German production had increased by over 50 per cent in the last half year.