ECUADOR. 



275 



imports ; the value of the merchandise im- 

 ported from Great Britain in 1870 was $285,040. 

 Nearly one-half of the revenue is generally 

 derived from the customs. The receipts in 

 1870 amounted to $1,451,096; and the ex- 

 penditure to $1,119,737. The customs receipts 

 were as follows: In 1865, $417,697; 1866, 

 $560,916; 1867, $565,382; 1868, $567,193; 

 1869, $663,356; 1870, $1,037,247; 1871, $1,- 

 097,151. According to official returns, the 

 national revenue for the first half of 1872 

 amounted to $1,510,072; and the expenditure 

 was $1,446,737. 



The army consists of 1,500 men. 



At the beginning of the year, the press con- 

 tinued to be occupied in a warm discussion on 

 the new tariff law promulgated in November, 

 1871, and to take effect from January 1, 1872 ; 

 by virtue of this law, enormous duties were 

 laid upon some of the most indispensable arti- 

 cles imported from foreign countries. They 

 were imposts which in a manufacturing coun- 

 try would be equivalent to absolute prohibition. 

 All articles required for agriculture and edu- 

 cation are, however, admitted free of duty ; 

 while fire-arms, and every species of warlike 

 instruments and commodities, are prohibited. 

 It was generally supposed that fiscally, eco- 

 nomically, and commercially, this new law 

 would prove to be a failure. The wharves and 

 streets of Guayaquil were lumbered with im- 

 mense quantities of goods introduced in anti- 

 cipation of the new law. The merchants of 

 Guayaquil represented to the Government the 

 necessity of an increase in the number of cus- 

 tom-house employe's in the port of Guayaquil, 

 in order to have a more speedy dispatch of 

 the enormous quantity of goods existing in 

 the warehouses. 



The Banco Hipotecario, established in the 

 course of the preceding year, was to com- 

 mence business March 7, 1872, with a capital 

 of $500,000, and was expected to be fruitful 

 in good results to the agricultural community 

 of the country. 



In pursuance of a decree bearing date Jan- 

 uary, 1872, the publication and introduction 

 of books, pamphlets, prints, etc., offensive to 

 religion and good morals, are prohibited ; and 

 all persons found with such objects on sale 

 shall be treated as smugglers. 



The advantages of the Guayaquil Normal 

 School were to be extended to Indian chil- 

 dren. 



^ The Government declared that all coal-mines 

 discovered on the coast of the province of 

 Guayaquil should be considered as national 

 property. The Governor of the province of 

 Pichincha was ordered to take measures to 

 impede the introduction of traders into the 

 eastern provinces, in order to prevent the 

 frauds and disorders occasioned by their taking 

 advantage of the ignorance and simplicity of 

 the aborigines. The directors of the gas com- 

 pany were allowed to introduce, free, tubes 

 and other utensils required for the extension 



of gas to the suburbs of Guayaquil. An earth- 

 quake was felt at Guayaquil, January 23d. 



The Government directed that as soon as 

 500 quintals of cacao were collected on account 

 of diezmos (tithes), they should be shipped to 

 Europe and sold on account of the nation. 



Messrs. Eaimundo de Pieger and A. Jones 

 made a proposal to the Government to provide 

 the city of Guayaquil with good drinking water, 

 bringing it from the river by means of ma- 

 chinery, and establishing fountains of filtered 

 water in the Malecon, the Cathedral Square, 

 and others, of unfiltered water, in the- four 

 streets parallel to the Malecon. These gen- 

 tlemen bind themselves to finish the work in 

 two years, for a sum of $362,500, payable quar- 

 terly in advance. The Government ordered 

 this proposal to be published, fixing the 2d of 

 January for the celebration of the contract 

 with the person who offers most advantages to 

 the treasury, giving also the necessary secu- 

 rities. It was, however, believed that this 

 contract, if accepted, would never be fulfilled, 

 but be placed on the shelf of the archives, to- 

 gether with a certain contract for a railway in 

 the eastern part of the republic. 



The official periodical published the sums of 

 money collected in England on behalf of the 

 sufferers of Imbabura from the terrible earth- 

 quake of 1868; they amounted to $77,018.41, 

 and were delivered to the Junta of Beneficen- 

 cia by the British legation in Quito. 



A school of arts and sciences was to be es- 

 tablished in Quito, as also a school of agricul- 

 ture ; and the Government was sparing neither 

 pains nor expense for opening up highways 

 leading from the coast to the interior. 



The new law on banks, promulgated in 1871, 

 was still productive of evil effects ; the Na- 

 tional Bank had disappeared from Guayaquil ; 

 and many of the shareholders of the Bank of 

 Quito, foreseeing the difficulties and disastrous 

 consequences to be apprehended from the ap- 

 plication of too onerous laws upon a free bank- 

 ing institution, had sold out their shares. The 

 bank was, however, to continue business, but 

 under new statutes in accordance with the 

 present Bank Act. 



The production of indigo was receiving a 

 considerable share of attention, and bids fair 

 to become, in the course of a few years, a source 

 of great wealth to the country. The indigo is 

 of a superior quality, and requires but little 

 cultivation. 



A decree was issued appointing the first 

 Sunday in April for the nomination of Sen- 

 ators and Deputies. 



The postal service was extended by the es- 

 tablishment of post-offices in the parishes of 

 Milagro, Samborondon, Morro, and Balao, all 

 towns in a state of progress, especially the 

 first, which will soon be the centre of the 

 whole commerce of the interior. 



The roads in process of construction in the 

 republic were pushed on vigorously, especially 

 that leading to the capital of Imbabura, which 



