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Rh solution of the financial problems appear less remote.

"On the one hand for some time the Government has not believed the time has come to pay divers claims which may be presented on account of damages caused by the revolution, although it is now studying the particular way to recognise and liquidate them, and in due time will have to submit a bill covering this matter to Congress.

"In the same order of ideas the Executive does not believe that the payment of the public exterior debt should be renewed until the deficit referred to herein has been met. These two important responsibilities then may by the very force of circumstances be put off until later, and should therefore be excluded from consideration for the present.

"On the other hand the present incomes, in spite of the fact that conditions of the country have not yet resumed normality, are in comparison greater than those which were being received in the period before the revolution and in view of this fact, which has some significance as showing the vitality of our people, it is logical to hope that when peace is re-established in the whole of the Republic and railway service and communication in general are completely normalised, the discrepancy between income and expenses will gradually diminish until the day in which the discrepancy, which is now one of the most serious difficulties of the Government, shall disappear.