Page:Mexico's dilemma.djvu/51

Rh The question of what attitude Mexico should ultimately take regarding the world war is very closely connected with the Mexican puzzle to-day. This problem is:

"How can Mexico obtain money?"

The first conclusion which the American experts reached after two months' examination of the Mexican records was that the nation was bankrupt. One of the officials began the dictation of a report beginning with a statement to that effect. Then when he tried to establish his conclusion by facts, the facts failed him. So he finally concluded that if the government is reorganised along scientific business lines it will be able to weather the present storm without financial aid from a foreign country. In coming to this conclusion, however, this authority was compelled to disregard the foreign debt and foreign obligations of the Mexican Government.

The records of the present government show that President Carranza has asked Congress to authorize three loans. The first, amounting to 150,000,000 pesos, is to be used to pay debts. The second loan which Mr. Carranza seeks amounts to 50,000,000 pesos to be used to rebuild and reconstruct the railroads. The third loan, for which the authority of the National Congress is asked, is for 100,000,000 pesos to establish a "bank of issue."

Something of the financial crisis facing Mexico may be gathered from these brief figures: