The Madison daily leader. [volume] (Madison, S.D.) 1890-current, 1913-01-02

Not Only BeIligerent States Will Have
to Put Their Finances Again on a
Sound Basis, but Other Countries
Are Also Preparing to Raise Stu
pendous Sums.
The prospect that the war in the
Balkans would soon reach its end has
been raising misgiyings in European
money markets as to the large amount
of new government loans that will be
offered for underwriting as soon as
possible after peace shall have been
declared. According to the franklin.
ter Zeitung. there will be such a food
of new loans In a comparatively short
time as the markets have probably
never known before. Not only the
belligerent states will have to put their
finances again on a sound basis, but
other countries are also preparing to
Issue great international loans.
Turkey already arranged for a part
of its needs, but its transactions were
left incomplete pending the termina-
ton of the war in Tripoli and the re-
suit of the present war. OF course the
porte will need large sums of money
after the war to place its military
equipment again on a tolerable basis.
1t will undoubtedly be an active bidder
for any moneys awaiting investment
In west European countries.
Then there will probably have to be
N - 1sVu@N-.a. - A. H..-N-g-L .-Irs
debt. the victorious Balkan states TAX
ing owe the payment of the interest
on a part of 1t or paying q lump sum to
compensate Turkey for the loss of its
European territory.
Balkans as Borrowers.
Bulgaria and its allies will also need
money In large amounts, as their finan-
cial position has been greatly weaken
ed by the war. Before its outbreak
Bulgaria was negotiating with a group
of French, English, German and Aus
TRAN banks for a loan of $37, 100000,
and 1t received an advance of $1,000
600 upon it, and it has just borrowed
100000 on 5h per cent treasury
notes at Paris.
The unfavorable terms attached to
this transaction are a sufficient indi-
cation of Bulgaria's pressing need for
money. 1t will require large amounts
for its military establishment after the
war, as well as for administrative and
development purposes in its newly on
quered territory.
Similar conditions will prevail in
Servia. Greece and Montenegro. Servia
is reported to have just borrowed ST.
100000 from a Brussels bank for three
years, evidently intending to provide
for IL, and for subsequent requirements
through a loan after the war.
Italy Wants 100000
Italy is also a large prospective Dor
rover. 1t is authenticity reported
that 1t was in negotiation with the
Paris R~othschilds for $40, 100000, al
the time when the Balkan war broke
out, which, of course. caused the trans
action to be postponed. 1t is also ex-
pected that both Austria and Hungary
will raise loans soon after the war ends.
but the amount of their joint require
ments is not known.
1t Is also a well known fact that
Spain wants to raise a large amount of
money to place its finances upon a
sound footing, and 1t is assumed that
1t will resort to a foreign loan for meet
ing a part at least of Its requirements.
The sum mentioned as the minimum
of its foreign borrowing is $60,O00,000
Behind all these borrowing plans looms
the big Chinese loan Of about $300,000,-
600, which has not yet been accepted
by the Chinese government, although
offered by the six powers group of
bankers.
OF course most of these prospective
issues will go to the English and
French markets. 1t is not believed
that Germany will take any consider
able part in supplying the wants of
the countries In question.
Whatever be the attitude of German
inanciers, however. 1t is evident from
the foregoing, that the European mon
ey markets will have to meet large de-
mands for new capital within a rela-
lively short period.
When this will begin, depends upon
the speed made i'm settling up matters
In the Balkans. If a European confer
ence is called to carry through the ter
ritorial and other readjustments, these
financial operations may be consider