Mr. Munro to Mr. Seward.

No. 467.]

Sir: The general election for a new Chamber of Deputies took place on the 22d instant, as previously ordained by public decree, and the result thereof, as now ascertained, gives an immense majority of voters to the existing cabinet; and notwithstanding that, owing to the late excitement in the country, some disturbances were expected, the general result passed off without any important breach of order, and thus confirming the general aversion to the politics of the cabinet which preceded the present councillors of the Crown.

The finances of the country are still, however, in a very embarrassed condition, and recourse must eventually and naturally be had to increased taxes, in order to diminish as niuch as possible an enormous deficit in the public budget, and at the same time to provide for the running expenses.

The country is laboring under great distress, and. the general appearance of the growing crops is very alarming, owing to a long drought; last year’s crops were likewise very short, and the consequence is that much distress is being felt in the provinces; labor is becoming scarce, and government, for want of sufficient means, cannot employ the numerous bands of wandering laborers by applying them to public works in sufficient numbers to allay this serious state of things.

It will, therefore, be a difficult matter to demand increased taxes of an impoverished population, who but a few months ago got in arms to abolish a law of taxes, and were led to believe that by putting down that law no more taxes were to be expected of them.

The present government have a difficult task before them, and the measures which they propose bringing before the Cortes on their approaching session will tend to show how far they may be expected to succeed in extricating themselves from their present difficulties without danger to the peace and quiet of the country.

I have the honor to remain, very respectfully, sir, your most obedient servant,

C.A. MUNRO.

Hon. William H. Seward, Secretary of State, Washington, D. C.

[Page 94]