BEAZIL. 



extension is going on at the cost of the Government 

 out of the same loan, and as an extension of some 

 16 miles is expected to be open within a year, there 

 is a prospect of the Government finding relief in 

 respect of that guarantee also. 



"From these explanations," continues the 

 writer just quoted, " it will be seen how grossly 

 this attache of the English legation at Kio has 

 exaggerated the borrowing of Brazil in Eng- 

 land, and how little he knows of the subject 

 on which the Foreign Office has permitted him 

 to appear before the English public. 



" In 1873, a law was passed in Brazil, author- 

 izing the Government to give guarantees of 7 

 per cent, on railway capital, for provincial 

 lines which had reasonable prospect of yield- 

 ing, on fixed costs of construction, 4 per cent, 

 from the gross profits of working the lines. 

 Under this law several concessions were 

 granted ; but the terms of the concessions 

 under the law were soon found to be unwork- 

 able ; and no capital, excepting one case (and 

 there it is certain to be remunerative), has 

 been received. The Government, before the 

 report was written, had informed the Legis- 

 lature that the law was inoperative, and that 

 a new system must be devised, which has not 

 yet been prepared. Nevertheless, this report 

 adds up the whole capital which was involved 

 in these unworkable concessions, and presents 

 the sum total as if the guaranteed interest 

 thereon was a practical liability of the Bra- 

 zilian Treasury ; accumulating in this way an 

 amount of liability which has no existence 

 whatever. 



" The Government proposed lately, in viola- 

 tion, the reporter says, of its concessions, to 

 subject the materials imported by the Anglo- 

 Brazilian railways, that were profitable, to 

 the customs duties of the Empire. The Gov- 

 ernment did nothing of the sort. Its proposal 

 was limited to the application to those ma- 

 terials of a small tax in lieu of port charges, 

 called expediente ; and, in making this very 

 different proposal, it was emphatically stated 

 that all existing exemptions from customs 

 duties were to be rigorously maintained. So 

 far, then, as suggested, from contemplating 

 any breach of faith to these companies, he 

 confirmed their exceptional privileges. 



" Then, as to the Maua litigation with the Sao 

 Paulo Railway Company, the reporter states, 

 first, that the concessions of the railway com- 

 panies contained an express condition that 

 disputes should be decided by the English tri- 

 bunals only. That the MauS, suit was not 

 cognizable by Brazilian tribunals was a legal 

 inference from the concessions and the nature 

 of the Maua litigation, Brazilian tribunals had 

 already twice decided, when the report was 

 written, though all notice of the decisions is 

 omitted by its writer, but there was not in the 

 concesslcTn-any such " express condition " as is 

 alleged. Next he complains that when this 

 litigation came again before Brazilian tribu- 

 nals, it was " without hinderance or disappro- 

 bation on the part of the Brazilian Govern- 



ment." Why, on what right or pretense 

 could the Government interfere with any of 

 its own subjects resorting, rightly or wrongly, 

 to the tribunals of his country ? No such in- 

 tervention would be endurable, were it pos- 

 sible, in any civilized state. The resort to the 

 tribunals was made and persisted in at the 

 risk of the suitor; but three times did the 

 Brazilian tribunals declare their incompetency, 

 and, at last, finally. And the company has 

 expressed its entire satisfaction with the con- 

 duct both of the tribunals and the Government 

 in the litigation." 



The following brief extract, from the report 

 of the Minister of the Interior, is intended to 

 present a comprehensive view of the progressive 

 development of public instruction in Brazil : 



While we cannot boast that public instruction has 

 as yet attained among us that degree of develop- 

 ment which is compatible with our free institutions, 

 and with the state of civilization in the present 

 century, it is, nevertheless, true that this branch 

 has, since the foundation of the Empire, been the 

 object of solicitous care on the part of the Govern- 

 ment and of its delegates, especially within the past 

 few years, in which rapid and encouraging progress 

 has been made, not only in the higher and secondary, 

 but more particularly in the primary branches of 

 education. 



In 1869 there were not more than 3,516 primary 

 schools, public and private, in the whole Empire ; 

 in 1876 the number of these, according to the most 

 accurate information, exceeded 6,000. 



In 1869 the attendance at the primary schools was 

 but 115,935, including both sexes ; the attendance in 

 1876 was little short of 200,000. 



In 1869 there was but one school for every 2,394 

 free inabitants ; in 1876 there was a school for every 

 1,250 free inhabitants, approximately. 



In 1869 there was 1 primary school for every 541 

 free inhabitants of school-going age (from 6 to 15 

 years), the total number of these being 1,902,424; 

 in 1876 there was 1 primary school for every 814 free 

 inhabitants of said age. 



A table showing the number of primary 

 schools in each province, and the attendance 

 thereat, etc., will be found in the ANNUAL 

 CYCLOPEDIA for 1875. 



In point of educational establishments, public 

 and private, for the higher branches of instruc- 

 tion, military and other technical institutes, 

 and scientific schools, Brazil, if not foremost 

 among the South American states, has at least 

 little to envy the most favored of these. 



The total values of the exports and imports, 

 including precious metals, were $104,247,000 

 and $83,774,500, respectively, in 1874-'76 ; and 

 $91,801,000 and $86,074,500, respectively, in 

 1875-'76. 



The values of the chief articles of export 

 were as follows, in the years 1874-'75 and 

 1875-'76 : 



