Top Secret
Record of the council of ministers on 12 May 1936 1700 hours
Chairman: Prime minister General Goering.
Reichminister of War Generalfeldmarschall von Blomberg.
Reichsbank President and acting Reich and Prussian minister for Economy Dr. Schacht
Reichminister of Finance Graf Schwerin von Krosigk
Prussian minister of Finance Prof. Dr. Popitz as the recording secretary Lt. Col. in the General Staff Loeb
Minister Schacht: shows the development up to now when two years ago, the decision for rearmament was made, it was decided to carry out the financing mainly outside the means of the Reichministry of Finance. This meant the commitment of the last reserve from the very beginning. A decision which did not seem without hazards. The memorandum of 3 May 1936 says the same thing.
In the course of the last two years, the program was increased more and more in its extent and speed. Thus the requirements to the Reichsbank were increased steadily.
It would be necessary to create, as basis for financing, a steady, prosperous economy, and therefore renounce the execution of other, partially irrational ideas and aims of the party. The psychological prerequisite was not disturbed by the party as such, but by many individual groups of the party, again and again; personal attacks against Dr. Schacht and thus against the economy followed. Dr. Schacht has emphasized again and again, that one must follow a cultural and legal policy, which will leave economy alone. However one must not describe it as greedy and selfish from the beginning.