"This debt has its origin in the extraordinary expenses of the civil war (1868-78), and it has since been increased, first by the administrative demoralisation which is so evident to all those who live in Cuba, and which has been so well described in the Cortes by ministers and by representatives belonging to all political parties; and secondly, by the deficits originating in the fiscal laws, the first object, or aim, of which has been (particularly since the year 1882), more than the regulation of public expenses, to secure an excessive protection to the Spanish industries. And, so formed, the public debt, which, as well in the years of insurrection as in the years of peace, has enriched so many people, represents the ruins of the war, the disorders of the public administration, and the injustice of the fiscal laws." During the discussion of the Cuban debt by the Peace Commission in Paris last autumn, the _Economiste Français_ contained an article by Paul Leroy Beaulieu, proposing an arrangement or compromise, with the bondholders, of part of the Cuban debt (about $140,000,000). The author of the article admitted that Cuba was not bound to pay the cost of the last insurrection (of 1895-98). As the _Economiste Français_ represents the interests of the French public and of the great French banking houses that have largely invested in Cuban bonds of the issues of 1886 and 1890, the inference to be finally drawn from the above-mentioned article is rather in favour of Cuba. If Spain thus lent her guarantee, she did so in obedience to a necessity and as a business convenience, in order to prop up her colonial and commercial system. The Spanish nation believed that her domination in Cuba would be lasting, and that the remote danger of being called upon to pay the Cuban debt was more than compensated by the enormous amount of wealth which she drew every year from the colony.