The Dawes Plan was proposed by the Dawes Committee to resolve any compensation and reparation problems that were affected by the World War II. Its circular pattern of international finance was to provide loans to Allies. For example, Germany who was in crisis during that time will be granted loans from the U.S. so they could recompense the damages to Great Britain and France. After Germany paid their debts to Britain and France, both countries can now clear off their debts to the United States.
