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URUGUAY
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on a large scale, owing principally to the lack of facilities for loading at the port of Montevideo or elsewhere.

Mining.—Minerals are known to exist in the northern section of the republic, and gold-mining is carried on to a small extent. Expert opinions have been advanced stating that gold-mining in Uruguay is capable of development into an important industry. The other minerals found are silver, lead, copper, magnesium and lignite coal.

Commerce.—The economic development of Uruguay was retarded by the corruption of successive governments, by revolutionary outbreaks, by the seizure of farm stock, without adequate compensation, for the support of military forces, by the consequences of reckless borrowing and over-trading in 1889 and 1890, and also by the transference of commercial undertakings from Montevideo to Buenos Aires between 1890 and 1897, on the opening of the harbour and docks at that port. The annual value of the imports (4·7 dollars taken at £1) was £5,101,740 in 1900 and £7,365,703 in 1908; that of exports was £6,257,600 in 1900 and £7,932,026 in 1908.

The principal imports consist of machinery, textiles and clothing, food substances and beverages, and live stock. The chief exports are animal products and agricultural products. Of the imports about 27% in value are from Great Britain, 14% from Germany, and smaller proportions from France, Argentina, Italy, Spain, the United States and Belgium. Of the exports, France, Argentina, Belgium and Germany take the bulk. Trade is controlled by foreigners, the British being prominent in banking, finance, railway work and the higher branches of commerce; Spaniards, Italians and French in the wholesale and retail trade. Uruguayans find an insignificant place in commerce. The foreign trade passes mainly through Montevideo, where the port has been greatly improved. In addition to the natural lines of communication provided by the rivers bordering on or belonging to the republic, there are about 2240 m. of national road, besides more than 3000 m. of departmental roads. The railways had a length of 1380 m. open for trafhc, and the system is steadily extending. There are over 170 m. of tramway in operation.

Government.—The legislative power of the state rests with the general assembly, consisting of two chambers, one of senators (19 in number) and one of representatives (75). The deputies of the lower house are elected for three years directly by the people, one deputy for every 3000 male adults who can read and write. One senator is named for each department by an electoral college, whose members are elected directly by the people. The senators are elected for six years, and one-third of their number retire every two years. The executive power is exercised by the president of the republic, who is elected by the general assembly for a four years’ term. He is assisted by a council of ministers representing the departments of the interior, foreign affairs, finance, war and marine, industry, labour and instruction and public works. Each department or province of the republic has a governor appointed by the executive, and an administrative council, whose members are chosen by popular vote. The judicial power is vested in a high court and many subordinate courts. The general assembly elects the five judges who compose the high court. There are civil, commercial and criminal courts in Montevideo, a departmental court in each departmental capital, and a justice of the peace in each of 205 judicial districts into which the republic is divided, with sub-district courts under deputy judges in addition. The administration of justice in Uruguay has long been of bad repute. It was reformed on the above lines in 1907.

Education is much neglected, and the public-school system is inefficient. The attendance of children at the schools is small, and the instruction they receive is inferior. Primary instruction is nominally obligatory; nevertheless at the beginning of the 20th century nearly half the population over six years of age was illiterate. Montevideo possesses a university and a number of preparatory schools, a state-supported technical school and a military college. The state religion is Roman Catholic, and there is an archbishop of Montevideo with two suffragan bishops. A number of seminaries are maintained throughout the republic. Other religions are tolerated.

Army.—There is a standing army with a peace strength of about 7000 officers and men. Service is nominally voluntary, though it appears that a certain amount of compulsion is exercised. In addition to this there is compulsory service in the National Guard (a) in the first class, consisting of men between seventeen and thirty years of age, liable for service with the standing army, and numbering some 15,000; (b) in the second class, for departmental service only, except in so far as it may be drawn upon to make up losses in the more active units in time of war, consisting of men from thirty to forty-tive years of age, and (c) in the third class, for local garrison duty, consisting of men between forty-five and sixty years old. The army and guard are well equipped with modern arms. Finance.-Of the national revenue nearly half is derived from customs duties, taxes being levied also on real estate, licences, tobacco, stamped paper and in other ways. Nearly half the expenditure goes to meet debt charges, while government, internal development and defence absorb most of the remainder. The receipts for the years specified were as follows, Uruguayan dollars being converted into sterling at the par value, 4·7 = £1:—

Years.   Revenue. Expenditure.
1894-1895
1899-1900
1904-1905
1909-1910[1]
£3,403,324
3,236,300
3,438,300
4,971,660

. .
. .

£3,438,510
4,704,500

In 1891, when the debt of the republic amounted to $87,789,973, or about £18,678,710, the government suspended payment of interest, and an arrangement was made with the bondholders. A new consolidated debt of £20,500,000 was issued at 31/2% interest, and, as security for payment of interest, 45% of the customs receipts at Montevideo was assigned. At the same time the interest guaranteed to the railway companies was reduced from 7 to 31/2%. In 1896 a 5% loan of £I,667,000 was issued, and the debt was subsequently increased, until on January 1, 1909, it was £27,692,795, and in the same year the annual debt charge amounted to £2,185,347. The Bank of the Republic was established in 1896 with a nominal capital of $12,000,000, and in 1899 it received the right to issue further shares amounting to $5,000,000. Its note issue (for which it has an exclusive right) may not exceed the value of half the subscribed capital. Besides a number of local banks, branches of German, Spanish, French and several British banks are established in Montevideo.

There is no Uruguayan gold coin in circulation, but the theoretical monetary unit is the gold peso nacional, weighing 1·697 grammes, ·917 fine. The silver peso weighs 25 grammes, ·900 fine. A half, fifth and tenth of a peso are coined in silver, in addition to bronze coins.

The metric system of weights and measures has been officially adopted, but the old Spanish system is still in general use.

History.—In 1 SI 2 Juan Diaz de Solis entered the Paranaguazu or “sealike” estuary of the Plata and landed about 70 miles east of the present city of Montevideo. Uruguay at that time was inhabited by Indians, of whom the dominant tribe was called Charrua, a people described as physically strong and well-formed, and endowed with a natural nobility of character. Their habits were simple, and they were disfigured neither by the worst crimes nor by the primitive superstitition of savages. They are said to have revealed no vestige of religion. The Charruas are generally classified as a yellow-skinned race, of the same family as the Pampa Indians; but they are also represented as tanned almost black by the sun and air, without any admixture of red or yellow in their complexions. Almost beardless, and with thin eyebrows, they had on their heads thick, black, lustrous hair, which neither fell off nor turned grey until extreme old age. They lived principally upon fish, venison and honey. In the Guarani language “Charrua” means turbulent, and by their enemies the Charruas were accounted as such, and even ferocious, although admitted to be generous to their captives. They were a curiously taciturn and reticent race. Their weapons were the bow and arrow and stones.

Solis, on his second visit, 151 5-1516, was slain by the Charruas in Colonia. Eleven years later Ramon, the lieutenant of Sebastian Cabot, was defeated by the same tribe. In 1603 they destroyed in a pitched battle a veteran force of Spaniards under Saavedra. During the next fifty years three unsuccessful attempts were made by the Spaniards to subdue this courageous people. The real conquest of Uruguay was begun under Philip III. by the Jesuit missions. It was gradually consummated by the military and commercial settlements of the Portuguese, and subsequently by the Spaniards, who established themselves formally in Montevideo under Governor Zavala of Buenos Aires in 1726, and demolished the rival Portuguese settlement in Colonia in 1777. From 1750 Montevideo enjoyed a provincial government independent of that of Buenos Aires. The American rebellion, the French Revolution and the British invasions of Montevideo and Buenos Aires (1806-7), under Generals Auchmuty (1756-1822) and John Whitelocke (1757-1833),

  1. Estimate.