Guerra y finanzas en la crisis de fin de siglos: 1895-1900

Abstract

From 1895 to 1898 Spain made a financial effort to obtain the resources absorbed by the wars she was obliged to fight in order to maintain sovereignty over her last colonial possessions. Means for the war came mainly trough a wide variety of credit operations. Expenses initially were assumed by the Cuban Treasury until lack of resources and an economic collapse in the island obliged the Spanish Treasury to accept direct financial responsibility pledging spanish sources of revenue in credit operations since the summer of 1896. That autumn a loan was placed in Spain not only to obtain money, but also to assure Cánovas in power. After his death liberals did not introduce new developments in financial policies. Like the conservatives they failed to attract foreign capitals, driven away by the difficulties of the Spanish Treasury, the increasing process of indebtedness, depreciation of currency and deterioration of Spanish foreign exchange. When war was over financial reasons obliged Spain to recognize colonial debts, although according to the Treaty of Paris, there was no strict legal obligation.