German reparations for World War II



After World War II, both West Germany and East Germany were obliged to pay war reparations to the Allied governments, according to the Potsdam Conference. Other Axis nations were obliged to pay war reparations according to the Paris Peace Treaties of 1947.

Early propositions
An early plan for a post-war Germany was the Morgenthau plan with terms that would have essentially transformed Germany to an agrarian society. The French Monnet Plan would have transferred the Ruhr Area to France.

Israel
West Germany paid reparations to Israel and the World Jewish Congress for confiscated Jewish property under Nuremberg laws, forced labour and persecution. However, no reparations were paid for killed Jews during the Holocaust, and no reparations were paid to the Romani people.

The Netherlands
The Netherlands demanded reparations, but later desired to annex a large part of German territory. They eventually annexed 69 km2 in 1949, bought back by West Germany in 1957.

Poland
As a consequence of aggression by Nazi Germany, much of Poland was subjected to enormous destruction of its industry (62% of which was destroyed), its infrastructure (84%) and loss of civilian life (16.7% of its citizens during the war). Material recompense incurred by Germany has been estimated as approximately €525 billion or $640 billion in 2004 exchange values On 23 August 1953, The People's Republic of Poland under pressure from The Soviet Union announced it would unilaterally waive its right to war reparations from East Germany on 1 January 1954, with the exception of reparations for Nazi oppression and atrocities. West Germany hadn't paid reparations to non-Jewish recipients for the damage inflicted in Poland until the Gierek-Schmidt agreement from 9 October 1975 in Warsaw, then it gave Poland 1.3 bln DM. After German reunification, Poland demanded reparations again, following claims made by German refugee organisations that demanded compensation for lost property. In 1992, the Foundation for Polish-German Reconciliation was founded by the Polish and German governments, and as a result Germany paid Polish sufferers ca. 4.7 bln zł. There is an ongoing debate among Polish international law experts if Poland still has the right to demand war reparations, with some arguing that the 1954 declaration wasn't legal

Yugoslavia
The Socialist Federal Republic of Yugoslavia received a value of US$ 36 billion, in industrial equipment from the dismantled German factories. West Germany also paid 8 million US$ as reparations for forced human experimentation on Yugoslav citizens.

Other forms of payment
According to the Yalta Conference, no reparations to Allied countries would be paid in money. Instead, much of this value consisted of German industrial assets, as well as forced labour.

Annexation of territories
France controlled the Saar protectorate from 1947 to 1956, with the intention of using its coal deposits and possibly annexing the region to France permanently. The same mines had been under French control from the end of the First World War until 1935. Following the results of a plebiscite, France had to relinquish its control of the Saar region on January 1, 1957, however it continued to extract coal from the area's mines until 1981.

The Netherlands annexed approximately 69 km2 of German territory in 1949, nearly all of which was given back to the West Germany Government in 1957. Under the Dutch-German treaty made in The Hague on 8 April 1960, West Germany agreed to pay to The Netherlands the sum of 280 million German marks in compensation for the return.

Dismantling of industries
At the beginning of the occupation, the Allies started dismantling the remnants of German industries. The Western Allies later abandoned this plan in favour to the Marshall Plan.

Intellectual property
The Allies confiscated significant values of German patents, copyrights and trademarks.

Forced labour
See German prisoners of war in the Soviet Union, Forced labour of Germans in the Soviet Union and Forced labour of Germans after World War II.