No. 83.
Mr. Blair to Mr. Fish.

[Extract.]
No. 151.]

Sir: The annual meeting of Congress took place on the first instant.

The President’s message was read by the secretary of foreign affairs.

Its unusual length, I hope, will be deemed a sufficient excuse for not inclosing a translation of the same.

The leading points of the message are as follows:

The President commences by stating that the nation is at peace with all foreign powers. He then alludes to the boundary question between Nicaragua and Costa Rica; would greatly prefer to have the question settled amicably, but that Costa Rica cannot, in justice to itself, cede any part of its territory to Nicaragua.

He then refers to the boundary question between the United States of Colombia and Costa Rica, and says that the difficulty has been amicably settled.

He alludes to the arrival of a minister from Guatemala to obtain the ratification of the treaty of December, 1871, and his recall, he not having the necessary powers to act in the premises.

He next refers to the peaceful state of the country; his visit to Europe; expresses the hope that ere long Costa Rica will take a distinguished place among the great nations he visited, and looks forward to the day when the Central American States will be merged into one grand republic.

He alludes to the stability of the national credit abroad, owing to the punctuality with’ which the nation meets its obligations; states that the revenue of the country has doubled itself in direct proportion to the increase of commerce, and that the population is fast increasing. He compares the net proceeds of the national revenue of 1869, seven hundred and eighty-three thousand dollars, against those of the past [Page 210] year, viz, one million six hundred and sixty-four thousand dollars, or more than double; that the total revenue in 1870 was two millions five hundred and eighteen thousand dollars, or eight hundred and fifty thousand dollars more than the previous year, and one million seven hundred and thirty-five thousand dollars more than in 1869, and avers that, in the coming year, the revenue will exceed three millions of dollars. The President then puts the question, if the revenue of the country has increased so rapidly during the construction of the railroad, what will it be when that work is accomplished?

He then refers to what he terms the late “supposed” monetary crisis in this country, attributes the cause to the suspending of credits in a private bank; but states that it had been dispelled by the protective influence of the government.

The President then refers to the construction of the railway to the Atlantic, and is sanguine of its completion; refers to the report of a commission appointed by the government to examine it and report progress.

Such, in brief, is the substance of the document that forms the subject of this dispatch.

I am inclined to the opinion that it will be more valued without than within the country.

Many statements of the President appear to me too highly colored—particularly is this the case when he speaks of the credit of the nation abroad and its present financial condition.

I will reserve, for another occasion, to give the Department an accurate and full statement of the political and financial condition of the country.

* * * * * * * *

I have, &c.,

JACOB B. BLAIR.