No. 546.
Mr. Moran
to Mr. Evarts.
Lisbon, June 12, 1880. (Received July 8.)
Sir: The session of the Portuguese Cortes of 1880 was closed on the 7th instant. It was unusually prolonged and exciting. Of the twenty financial measures brought forward by Senhor de Barros Gomez, early in the session, the majority were passed, including, in a modified form, the law enacting and extending the income tax. But there was no important legislation affecting foreign nations, except the changes in import and export duties reported to you by me in my No. 320.
Owing to the extraordinary deficit of the year and with a view to extinguish the floating debt which has risen, up to the present time, to over £3,500,000 sterling, the Cortes have authorized the government to raise a new loan of about £4,000,000 as an addition to the funded debt, which already amounts to nearly £90,000,000.
The chamber of deputies, a day or so before the close of the session, adjourned the debate upon the Anglo-Portuguese treaty respecting the Transvaal and Delagoa Bay, by 73 to 19. This may be considered as a practical rejection of the convention, although it has been referred to the parliamentary committee upon civil legislation and foreign affairs, [Page 866] in order that they examine into the question whether the ordinary elective chamber has the power to sanction the treaty. A copy of it will be found in the Portuguese white book, which accompanied my dispatch No. 319 of the 21st of May. This convention was signed by Mr. Corvo and Mr. Morier, the British minister at this post, about a year ago, and its rejection by the deputies has given the latter great offense, he regarding the step as a want of faith on the part of one of the legislative branches of the Portuguese Government.
I have, &c.,