Gustav Stresemann

Who was Gustav Stresemann?

Gustav Stresemann was a German statesman who served as chancellor and foreign minister for the Weimar Republic.

When was Gustav Stresemann in power?

Stresemann had multiple roles in Germany:

• ❖ In 1907, he became a member of Germany's parliament.
• ❖ In 1917, he became the leader of the National Liberal Party.
• ❖ In 1923, he was the chancellor between August and November.
• ❖ From August 1923, he also became foreign secretary.

Why was Gustav Stresemann important?

Stresemann was important because:

• ❖ He stopped the hyperinflation crisis of 1923.
• ❖ He was a better politician than Ebert and also held more right-wing support, which resulted in less hostility towards the Weimar Republic.
• ❖ His actions helped the Weimar Republic to recover between 1924 and 1929.
• ❖ He helped create the Dawes Plan in 1924 which led to a temporary reduction in the annual reparation payments and American loans to German businesses and banks.
• ❖ He helped restore Germany's confidence and reputation so that Germany's relationship with other countries improved.
• ❖ Germany was allowed to join the League of Nations under his leadership.
• ❖ Right-wing Germans criticised him for not demanding back some of the land taken away in the Treaty of Versailles and not ending reparations.

How did Gustav Stresemann stop hyperinflation?

Stresemann solved the hyperinflation crisis by:

• ❖ Firstly, he called off the passive strike in the Ruhr as this was further damaging the economy.
• ❖ He then called for the old currency to be recalled and destroyed.
• ❖ He set up a temporary currency called the Rentenmark, which had real value and was important in halting hyperinflation.
• ❖ He negotiated the Dawes Plan in 1924.
• ❖ Lastly, in 1924, he replaced the Rentenmark with a new currency, the Reichsmark, which was tied to the price of land in Germany.