Occupation of the Ruhr

Key Information

• Period: January 11, 1923 – August 25, 1925
• Location: Ruhr region, Germany
• Belligerents: France, Belgium vs. Germany
• Result: Dawes Plan implementation and withdrawal of French and Belgian troops

Background

• Post WWI, Germany was mandated by the Treaty of Versailles (1919) to pay reparations, mainly to France.
• The Ruhr, a heavily industrialized region, became a focal point due to its resources.
• The Inter-Allied Reparation Commission initially demanded 226 billion gold marks, later reduced to 132 billion.
• Germany defaulted on reparations due to economic strain.

Occupation

• France and Belgium invaded the Ruhr in response to Germany's defaults, especially on coal deliveries.
• French troops, initially 60,000, expanded to 100,000, took over civil administration.
• Intent to extract reparations in form of raw materials like coal.

Resistance

• Germans initiated passive resistance and civil disobedience, supported by Chancellor Wilhelm Cuno.
• Over 120,000 sentences imposed by French, including deportations.
• Significant violence included acts of sabotage and fatalities.
• The passive resistance exacerbated hyperinflation in Germany.

Economic Impact

• Germany's economy suffered, leading to hyperinflation.
• The government printed more money to finance resistance, worsening economic conditions.
• Currency value plummeted dramatically.

Political Impact

• The occupation fueled radical right movements in Germany.
• Adolf Hitler's Nazi Party used the situation to gain prominence, leading to the Beer Hall Putsch.
• Economic and political instability contributed to the rise of extremist parties.

End of Resistance and Occupation

• The Dawes Plan (1924) restructured payments to a more manageable 50 billion marks.
• France and Belgium withdrew after economic and diplomatic pressures.
• The occupation officially ended with the Dawes Plan and withdrawal of troops in 1925.

International Reaction

• The occupation was seen negatively, especially by the US and UK.
• Condemned as illegal and imperialistic by some countries, including Poland and Czechoslovakia.

Conclusion

• The Ruhr Occupation highlighted the economic difficulties of post-war reparations.
• It significantly impacted German politics and economy, leading to further instability.
• The Dawes Plan was a crucial diplomatic resolution that alleviated tensions.