Financial affairs: conclusion of a loan contract with American bankers; good offices of the United States¹

^1. Continued from For. Rel. 1912, pp. 1071–1105. A résumé of Nicaragua’s financial affairs from the signing of the convention of June 6, 1911, will he found, post, in the memorandum of May 22, 1913; a statement of Nicaragua’s assets and liabilities, prepared July 15, 1913, follows; and the inclosure with the bankers letter of November 24 shows the condition of the gold reserve at that time.

Note.—On November 4, 1912, Nicaragua entered into an agreement with the New York banking firms of Brown Brothers and Company and J. & W. Seligman & Company whereby the bankers released to Nicaragua $100,000 out of customs moneys received by them as per previous contracts; and set aside $400,000 received by them at the settlement with the Ethelburga Syndicate, to be paid to Nicaragua in such installments as might be agreed on2. This agreement was subject to the approval of the Nicaraguan Assembly before it could go into effect the Assembly’s approval had not been given at the time of the beginning of the following correspondence. The correspondence after November 4, 1912 shows nothing but routine affairs up to the following telegram of January 31, 1913.

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