The government of the Swiss Federation has suggested a revision of the commercial treaty between Germany and Switzerland. Filled with the desire of confirming the existing friendly relations between the two countries and of extending them also into the realm of their commercial policies, I stand ready to meet their proposal. The negotiations have been conducted through the offices of representatives from the states bordering upon Switzerland, and their result consists in a further agreement through which the treaty regulations for reciprocal trade will be extended and the exchange of industrial products will be made easier. After its successful acceptance by the Bundesrat the agreement will be presented to you with the proposal, in order that you may bestow upon it your constitutional sanction.

The budget for the next fiscal year will be laid before you without delay. The draft gives proof of the satisfactory condition of the imperial finances. As a result of the reforms instituted in the last few years, with your co-operation, in the way of tariffs and internal revenues, surplus receipts may be expected, and upon this basis we shall not only be provided with a new means of fulfilling the inevitable obligations of the empire but it may be possible for our constituent states to expect an increase of means for their own purposes.

I greet with joy the signs of a revival of economic activity in various fields. Even though the pressure which bears upon the farmer is not yet relieved, nevertheless, as I look forward to the possibility which has lately appeared of a greater utilization of certain agricultural products, I hope that an amelioration also of this most powerful branch of our industrial work will be brought about.

The bill which has already been announced on the regulation of the industrial and agricultural societies will be laid before you for your decision. It is to be hoped that the enfranchising of associations with limited liability which the bill proposes will prove itself beneficial in increasing agricultural credit.

Certain shortcomings which have appeared in connection with the insurance against sickness call for legal remedy. The necessary preliminary investigations for this have so far progressed as to make it possible, in all probability, to lay before you in the course of this session an adequate presentation of the case.

As a precious legacy from my grandfather, I have taken over the problem of carrying out the social-political legislation begun by him. I do not allow myself to be carried away by the hope that through legal measures the exigencies of our time and human misery can be abolished from the world. I judge it to be a duty, however, of the executive power to strive with all its faculties toward the mitigation of existing industrial grievances and through organized measures to emphasize the fact that love of our neighbor, which has its foundations in Christianity itself, should be a recognized duty of the entire state. The difficulties which stand in the way of the state’s assisting in the universal insurance of all workers against the dangers of age and sickness are great; but, with God’s help, they are not insurmountable. As the result of extensive investigations a bill will be presented to you which reveals a possible means of attaining this end.

Our settlements in Africa have imposed upon the German Empire the duty of converting that part of the world to a Christian civilization. The friendly government of England and her Parliament has known for a hundred years that the fulfilment of this obligation must begin with combating the hunting of slaves and the trade in negroes. I have, therefore, sought and concluded an understanding with England, whose meaning and aim you shall learn. On it depend further negotiations with other friendly and interested governments and further proposals for the Reichstag.

Our relations with all foreign governments are peaceful, and my efforts are continually directed toward cementing this peace. Our treaties with Austria and Italy have no other aim. It is incompatible with my Christian faith and with the duties which as Emperor I have assumed toward the people needlessly to bring upon Germany the sorrows of a war, even of a victorious one. In this conviction I have looked upon it as my duty soon after I ascended the throne to greet not only my affiliated rulers within the realm but also the friendly neighboring sovereigns. I have sought to find an understanding with them concerning the fulfilment of this trust which God has placed upon us, of preserving, so far as in us lies, the peace and welfare of our people. The confidence with which I and my policies have been received at all the courts which I have visited leads me to hope that, with God’s help, I and my allies and my friends will succeed in preserving the peace of Europe.