The Archive · 1939

Spain no Longer Bargain Factor

Washington, Mar. 26.

United States Government quarters today awaited Premier Benito Mus-salmis Rome speech with great interest. Government circles here believe Premier Mussolini's most effective move against France for satisfaction of Italy's "natural aspir3- tions" would be a threat of immedi ate war.

Informed quarters here believe Italy is no longer able to use Spain as a bargaining factor against the British and French because of complications arising from the approaching end of the Spanish civil war and the economic condition of the Nationalist Government in Spain.

The Burgos Government, it is felt, will soon need large foreign loans and credits for reconstruction in Spain. Italy, it was pointed out, is unable to supply such funds and the Spanish Nationalists consequently probably will have to seek aid from the Democratic Powers.

Italy herself, it was said, is in immediate need of foreign capital and may have to approach the Democratic Powers soon for loans and credits.—United Press.

Text read from the printed page and cleaned; old type leaves the occasional error.

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