The Spanish Minister of Finance has presented his Budget, which
shows an estimated receipt of £21,400,000, against an -estimated expenditure of £26,500,000, or a deficiency of more than five millions sterling. It is proposed to meet this by increasing the tax on landed property one-tenth, and by reducing the interest -on the Debt by 33 per cent. That is to say, 2 per cent. will be paid in coin as usual, and 1 per cent. in bonds bearing inte rest at .5 per cent., and secured on revenues collected by the Bank of Spain. This arrangement will not be extended to the foreign bondholders without their consent, which is said, however, to have been obtained. The whole arrangement will probably be equiva- lent to the imposition of a tax of 15 per cent. on Spanish Rente, and if it chokes the deficit may be borne ; but the Carlist revolt is not over, the dynasty is not safe, and Cuba is not pacified, nor as yet is there much prospect of any of those happy results.
Previous page
