SPANISH AND CUBAN FINANCES.

Waikato Argus, Volume IV, Issue 303, 18 June 1898, Page 2 (Supplement)

SPANISH AND CUBAN FINANCES.

The nearness of Italy to Spain and the sympathy, as well as the community of commercial interests, existing between the two nations, lead the Italian journals, and especially those of the industrial centres of the North, to devote considerable attention to Spanish affairs. A case in point is an exceptionally well informed article on the financial condition of Spain just published by the Oazzctta ilcl Popolo of Turin. The Cuban Debt, guaranteed first by the Cuban Customs, and secondly by Spain, of which the coupons arc payable in gold, amounts to no less than 2,248,400,000 pesetas (nearly about £90,000,000), bearing interest to the amount of nearly £8,000,000 a year. Most of these bonds are in Spanish hands, having been accepted in great part by the Bank of Spain as security for advances made to the Government. In addition to the above debt the Spanish Government 'is liable for nearly £20,000,000 in respect of arrears of pay to the army and navy, to contractors, and to pensioners, as well as for the sum of £2,030,000 a month due to Marshal Blanco for Avar expenses hi Cuba. Before the outbreak of the present insurrection the annual revenue of Cuba did not suffice to cover the sums needed for interest and Sinking Fund in respect of debts previously contracted by the Government of the Island, and therefore Spaniards were agreed that the debts incurred in putting down this insurrection must be assumed by Spain. When granting the recent Cuban Constitution, however, the Spanish Government left this point unsettled, postponing its solution until more peaceful times The Spanish authorities arc therefore confronted by the following situation. Cuba cannot bear any further burden of debt, and Spain is not in a position to assume any further financial charge, since her recent Budgets have shown a deficit of between £2,000,000 and £4,000,000 a year, the deficit being chiefly due to the £16,000,000 annually required for the service of the Public Debt of Spain.— Moining Post.