The London Ultimatum
In April 1921, the Allies set the total reparations figure at £6.6 Billion and presented it to Germany as the 'London Ultimatum'. As a consequence of this, the Chancellor of Germany, Fehrenbach, resigned and was replaced by Joseph Wirth (Z party). Wirth was the one to sign the ultimatum.
Joseph Wirth had his own 'policy of fulfilment': he hoped that by agreeing to the reparation figure set, it would soon be demonstrated to the Allies that the German economy could not cope with the burden, and so ultimately reduce the figure.
In May 1921, Germany paid its first instalment…