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is all a striking demonstration of the value of the national policy of systematic self-development without any entangling alliances or dependence on any outside Power. Roumania has fully attained the place she deserves among European Powers, in that she is the friend of all, and possesses the confidence of all. Baron Aehrenthal, speaking before the Delegations this month, said of Roumania, dealing with the question of the Danube : "In regard to this the Government is conducting a confidential exchange of views with Roumania, with which nation we are united by ties of close friendship.” And this expresses the views of all European States, for friendship with Roumania has a meaning, as Roumania is certainly not a State built upon the sands, a creation of yesterday, but gathers her strength and inspiration for the present from that time when, centuries ago, the Roumanian nation stood amongst the foremost of civilised States, and played a great role in the shaping of Europe. The history of Roumania has been one long series of struggles for the preservation of the autonomy and of the national character of those two former principalities of the Danube, Moldavia and Wallachia, which formed for centuries the rampart of Christianity and occidental civilisation against the invasions of the Turks and of the Tartars.

The Western nations of Europe owe indirectly a debt of gratitude to Roumania, since they were enabled to work quietly in the development of their civilisation, while Roumania, though reeling under the first shock of the Oriental advance, kept it at bay. It was in these conflicts and perils that the warrior blood of Trajan's legions, the founders of the Roumanian people, proved that time had not sapped its vitality nor diminished its valour. For it must not be forgotten that Roumania was the scene of the exploits of the Emperor Trajan, the ruins of whose bridge over the Danube remain a sign of the national heritage of the Roman settlement. Roumania's early history stands chiselled in undying figures on the Trajan column at Rome. Not only did Rome's warriors traverse and inhabit the country, but on the shores of the Black Sea, where now there flourishes the great seaport of Roumania, Constantza, Ovid lived in exile. The many vicissitudes of the past have purified Roumania as by fire, and produced a nation which has found itself and which has learned the meaning of true patriotism. Roumania to-day with her 50,700 square miles (only a little less than the area of England), and her population of seven millions, is a constitutional monarchy in the best sense of the term, with all the rights and privileges of the Roumanian subjects amply guaranteed. Nor is the strength of Roumania only derived from within. In a speech addressed to the Roumanian senate in 1903, Monsieur Sturdza

pointed out that the strength of the kingdom of Roumania rests on two foundations. In the kingdom we constitute a uniform homogeneous nationality, amid which are here and there scattered a few inhabitants only of alien origin, as, indeed, is everywhere the case. The second foundation on which our strength rests consists in the fact that beyond our political frontiers the kingdom is girdled round by Roumanian communities. That is a consideration of the greatest moment. For we are thus less directly exposed to pressure from foreign and antagonistic nationalities, nay, rather the efforts of these hostile nationalities are thereby in some measure weakened. The stronger the resisting forces of the Roumanians beyond the kingdom, the safer is the position of the kingdom itself, no one being able to attack it directly. In other words, the danger comes from that side of the kingdom where the national life of the Roumanians beyond the kingdom is imperilled. This additional source of strength must not be overlooked, since it might well play an important part in future developments, while for the moment it enables the kingdom to decide on its best policy insulated from undue foreign influence. It is largely thanks to the excellence of her army, that Roumania has been left to enjoy peace and development, undisturbed by foreign aggression. King Charles has ever been at heart a soldier, and his work in connection with the Roumanian army has proved not only his enthusiasm but his military ability. His work during the early years created a solid administrative foundation for the army, which was tested and found good in the fields before Plevna. There, in 1877, the young Roumanian army saved the Russians, and gained their country's independence, and to-day, with some quarter of a million men on a war footing, and 86,000 in time of peace, the Roumanians are ready and able to play a decisive part in the history of Europe, should their country and their King demand it. The moral of the troops is so good as to call forth the admiration of the foreign attachés, and their arms and equipment, notably those of the artillery, are equal to those of any other country. Roumania is a maritime State in so far as she possesses a considerable coast line on the Black Sea, and for the protection of her interests in these waters there exists a small fleet of secondary war-vesselscruisers and torpedo craft. Roumania also possesses in the Danube a waterway not only of great commercial importance, but forming her frontier with Russia, Hungary, Bulgaria and Servia.

This great European stream is an international highway, and should be subject to international supervision and control. Save, however, for the mouth of the Danube, which is under the jurisdiction of an international Commission, the river has been

controlled either by individual powers, or entirely neglected. By the creation of a special river fleet for the Danube, Roumania has given the most satisfactory assurances that she takes very seriously to heart her duty of adequately policing the Lower Danube, that is to say, that part of the river which stretches between the jurisdiction of the International Commission and Hungary. The systematic supervision and regulation of the Lower Danube has an international significance which cannot be ignored, since the success of this undertaking must inevitably affect the question of the control and supervision of the river above the Iron Gates. In other words, it may eventually mean the realisation of the true international idea of a free Danube. It is the mastery of the mouths of the Danube which has helped Roumania to attain her present position in the comity of nations ; it has proved a spur to progress, since, in the words of one statesman, “Even if the Great Powers have left us masters of ourselves they have, nevertheless, their eyes fixed upon our future conduct, because great European interests are bound up in the destiny of Roumania; it is sufficiently proved that these interests will not permit them to allow the mouths of the Danube to be in the hands of a nation disorganised, dismembered, enfeebled, and, in consequence, very far from being the powerful bulwark for the creation of which the guarantor nations have spent their blood and their gold." Roumania has contributed much to enable the great work of the International Danube Commission to accomplish the greatest good. “It is especially,” says M. Sturdza, "the countries watered by this fine river who profit most from the work of improvement at the mouth of the Danube. Thus the constant and always increasing interest of the Roumanian Government for the great work accomplished is natural enough.” So adequáte, indeed, is the Roumanian river fleet for the task of maintaining an efficient supervision of the Lower Danube, that, in the unlikely event of the dissolution of the International Commission, its duties could be carried on by Roumania alone. With reason did King Charles exclaim, on the occasion of the Christening of the Fleet at Galatz : “The war for our independence, making us, as it did, masters of the mouth of the Danube, gave to our navy a serious existence. We have, therefore, the duty of enlarging and strengthening our naval forces, in order to be able to fulfil the high mission which has fallen to us on this great river.” Besides its international importance, the Roumanian fleet on the Danube is a notable development of the defensive force of the country. Indeed, no other European Power possesses such a powerful river flotilla. This flotilla would be of great value should ever the peace be broken.

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M. Kogalniceano, when Foreign Minister in 1875, said : "The dispatch of a war ileet to the waters of the Danube, and especially to that portion of the river lying between Servia and Roumania, might exercise a great influence on the determination of the rights and obligations which touch Roumania as a neutral country, because it might well happen that, owing to unforeseen eventualities, her neutrality would be impossible.” But military and naval strength alone do not suffice to make a nation powerful, or a serious factor in international affairs. Financial stability and resources as indispensable nowadays as rifles and cartridges. Roumania is especially fortunate in this respect, and her financial standing is most satisfactory. The Roumanian State revenues, which in 1875 amounted to £4,000,000, have now reached the sum of £16,000,000. In the last six financial years, there have been surpluses varying from £800,000 to £2,000,000, and it is by means of these surpluses that the public works in course of construction have been provided for. At the same time, the foreign trade of Roumania is extremely prosperous, and in all the normal years, that is to say, when there was at least an average harvest, the exports surpass the imports. Thus the total commerce of Roumania was, in 1906, £36,491,750, of which the imports represented £16,862,740, and the exports £19,654,404, which gave a balance in favour of Roumania of £2,791,664. The National Debt of Roumania, both internal and external, amounts at the present moment to £56,000,000, which is equivalent to a sum of £8 per head of population (in the United Kingdom, in 1907, the National Debt amounted to £16 per head of population). The greater part of the Roumanian National Debt has been used for the purchase and construction of railways, which expenditure represents nearly £32,000,000. The total length of railway lines in Roumania is 2,000 miles, or 24 miles of line per 1,000 miles of area. This gives about 3,000 inhabitants per mile of line. The State railways, besides being an asset of great intrinsic value, produce annually a net profit of more than £1,250,000, a revenue which is increasing every year. The rest of the Debt has been spent upon the construction of roads, ports, public buildings, military works, and other necessary national undertakings. Although Roumania has never had to offer any special guarantees, the National Debt is amply secured, not only by the flourishing condition of the Roumanian finances-which, for the last seven years at least, have produced an annual surplus averaging eleven per cent. of the revenue-but by the property owned by the State : the railways, the forests, the great oil-bearing lands, the fisheries, the immensely rich and practically inexhaustible salt-mines, &c. VOL. LXXXIV, N.S.

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Another very satisfactory point is that all the loans issued by Roumania have been subscribed without any special guarantee of the State being given.

The main source of wealth in the country in the past has been agriculture, and Roumania still continues as one of the great grain-exporting countries. But it must ever be difficult to build up a flourishing and great State with only agriculture as a foundation. And thus the development of the great petroleum resources of Roumania is of paramount national importance, for the most valuable and important of the mineral resources of Roumania is petroleum. The petroleum zone in that country extends to the foot of the Carpathians, with a length of nearly 350 miles, and a width of about 12 miles. The total area of the Roumanian petroleum fields is thus computed to be about 1,800,000 acres, and it is estimated that the petroleum resources of Roumania amount to no less than 4,000 million tons, which, at a net price of 12s. per ton, represents a value of £2,400,000,000. In view of the growing substitution of petroleum fuel for coal on board many ships of the British Navy, it is interesting to note that the port of Constanza is situated within easy distance of several British coaling stations, while Roumania stands alone among countries in having resisted all attempts on the part of the Standard Oil Company to monopolise the oil industry. This alone should make it a valuable source of supply to the British fleets, far too vital a defence for this country to have to rely upon an unscrupulous American Trust. And it is interesting to note that the Roumanian Government, in the treaty recently concluded with the United States, reserves to itself complete liberty of action with regard to the industry and commerce of petroleum.

Emmanuel Kostaki thus enunciated the foreign policy of Roumania : “Our foreign policy shall be full of respect for the international treaties which establish the political condition of Roumania, and assure its independence. The country shall thus deserve the confidence of the Great Powers. The geographical position of Roumania, the maintenance of our neutrality, demand imperiously that we shall always be in a condition to defend our frontiers and to make our neutrality respected. A good organisation of the military forces of the country is therefore absolutely indispensable.” Jean Bratiano's programme was shorter : "As regards our foreign relations, a strict neutrality, maintained by incessant vigilance for public security and on the frontiers, shall be our constant preoccupation.” Roumanian policy, except for some rare failings, has not deviated; it has been constantly pacific, consecrated to the development of all the forces of the

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