of 600 miles bordering on Persia and 400 on Afghanistan. The latter country contains much inflammable material, but the explicit orders of the Czar, as conveyed through the Ministries of War and Foreign Affairs, are that there shall be no disturbances on the Afghan frontier. So scrupulous is our regard for the status quo, that whole tribes have cast themselves on our protection in vain. The Piruzkhins, Khezaris, and Jamshiois have crossed our borders in troops of as many as 1000 families, but we have always repatriated such refugees by means of armed force. There have been similar cases in our dealings with Persian subjects. The whole population of Khelat, in Khorassan, headed by their Khan, came to us with entreaties to protect them against the oppression of the Shah's officers. Our reply was the despatch of troops, who conducted them across the frontier. Turkestan proper has been free from war since the occupation of Ferghana, twenty-one years ago. The Bokhara frontier has remained intact since the capture of Samarcand in 1868. It is true that within the last few years the Pamirs question has been reopened, and slight modifications have been made in our boundaries towards Ferghana ; but, as far as we are concerned, the operations have been carried out against our wishes-I may almost say, under compulsion. For the Ameer Abdurrahman infringed the terms of the arrangement entered into between England and ourselves in 1873, when it was agreed that the Afghans should not cross the Oxus, by pushing his boundary beyond that river, and occupying tracts in the Russian territory. The last complication on the Persian frontier dates from 1829-nearly seventy years ago.

"I am led to be explicit on these points by a sincere wish that the public may be convinced that we have a settled Asiatic policy which is no way inimical to Great Britain; and that we are perfectly satisfied with our present boundaries."

The occupation of Kiao-Chau by Germany was followed by the entry of a Russian squadron into Port Arthur (Dec. 18), and it was at the same time announced that the only object of this move was that the squadron should pass the winter in the above port, and that it was made with the entire acquiescence of the Chinese Government, in accordance with the convention of 1896 ("Annual Register," 1896, p. 290). Nine days. later (Dec. 27) it was announced that Russia had occupied the harbour of Kinchau, a short distance to the north of Port Arthur, on the opposite side of the peninsula. As by the convention above referred to the port of Kiao-Chau was leased to Russia, its occupation by Germany must have taken place with the consent of the former Power, which apparently compensated itself by the steps it subsequently took to secure its hold on Northern China. Besides entering Port Arthur and Kinchau, Russia made an important advance in strengthening her position in Korea. That island had, by a treaty concluded

in 1896 between Russia and Japan, been virtually placed under the control of both of those Powers; but by an agreement concluded in October between Russia and Korea a Russian, M. Alexieff, was appointed adviser to the Finance Department and Superintendent of the Customs of Korea, with power to provide for the taxation, revenues, and expenditure of the country, submit the Budget, superintend the receipts from taxation, pay into the Korean Treasury such sums as may be necessary to defray outlays, manage the Government's expenditures in the strictest and most cautious manner, render an account to the Korean Government of moneys received and obligations incurred or discharged, and submit to the Korean Government a general statement of the country's finances. The various departments and their officers were to conduct financial affairs in accordance with the directions of the Financial Adviser, and to assist him. The Financial Adviser was to provide a suitable person to be Superintendent of Customs in lieu of the present incumbent, who would submit his accounts to the Financial Adviser and report to him. The period for which the arrangement was to last was unlimited, but none but Koreans or Russians were to be appointed to the post of Financial Adviser in future.

As an Englishman, Mr. M'Leavy Brown, was actually holding the post of Chief Commissioner of the Korean Customs when the above arrangement was made, it was agreed that the Russian Financial Adviser should work in concurrence with him.

The chief concern of Russia in the war between Turkey and Greece was to prevent the other Balkan States taking part in it, and thereby producing a European conflagration. A compact with Austria-Hungary having been concluded with this object shortly after the war broke out, the conflict was consequently localised. Russia was too busy in the Far East to wish for any disturbance of the status quo in Eastern Europe, and Austria-Hungary readily took this opportunity of putting an end to a rivalry in which she was of late being gradually supplanted by her northern neighbour.

II. TURKEY AND THE MINOR STATES OF EASTERN EUROPE.

The Cretan question ("Annual Register," 1896, pp. 296299) absorbed the attention of the Powers, the Porte, and Greece throughout the year. In January a large number of Armenians, both in the capital and the provinces, who had been imprisoned by the authorities were liberated after taking the oath of allegiance to the Sultan, and the intervention of the Powers was then transferred almost entirely from the Armenians to the Cretans. Ineffectual efforts were made by the "European concert" to induce the Porte to make reforms in the government and administration of Turkey generally, and

they had to be abandoned as it was found impossible to obtain an agreement among the Powers for a policy of coercion, and the Sultan was not to be moved to adopt any real reforms except by force. At the beginning of February the whole of the island of Crete was given over to pillage, murder and incendiarism; the Government lost all its authority, and incessant encounters took place between the Mahomedans and the Christians. This produced great agitation at Athens; and the Government was urged on all sides to intervene for the protection of the Greeks in the island. The Cretan insurgents proclaimed union with Greece on February 8. Prince George of Greece was sent to Crete with a torpedo flotilla on February 10, and he was followed on February 13 by Colonel Vassos, aide-de-camp to the King, with a force of 1,500 men and two batteries; a regiment of artillery under Prince Nicholas being at the same time sent to the Thessalian frontier. A collective note from the Powers protested against these proceedings, which it described as opposed to existing treaties and dangerous to peace; but Greece paid as little attention as Turkey to the remonstrances of the European concert. Colonel Vassos' expedition landed in the island on February 14, and Canea, the capital, was occupied by detachments of sailors from the fleets of the Powers. Berovitch Pasha, the governor-general, then resigned and left for Constantinople. At Athens the reserves were called out and ordered to rejoin the colours within fortyeight hours, and volunteers, commanded by officers who had resigned their commissions in the Greek Army, proceeded to Crete to join the insurgents. Meanwhile the Italian admiral, Canevaro, was appointed to the chief command of the combined forces of the Powers, and under his orders the other towns on the coast were occupied by detachments from these forces, which had been strengthened by military reinforcements, the operations of Colonel Vassos and the insurgents being thus. restricted to the interior of the island. At the same time steps were taken at Constantinople for putting the Turkish Army and Navy on a war footing, and six divisions under Marshal Edhem Pasha were despatched to the Greek frontier. The Turkish troops in Crete, however, owing to the representations of the Powers, were not reinforced, and they were driven from their positions in the interior by Colonel Vassos, who established a local administration in the island in the name of the King of Greece. Towards the end of February Germany proposed, in order to prevent any further assistance being given by Greece to the Cretan insurgents, an international blockade of the Greek ports; but to this England and Italy objected. The fighting between the Greeks and the Mussulmans continued, and much ill-feeling was created by the international fleet bombarding the Greeks when they came within range of their guns in their attacks upon the Mussulmans and preventing the landing of men and supplies for the insurgents from Greece. The situa

tion now became so critical that (March 2) the Powers determined to address a joint note to the Greek Government, in which the following decisions of the concert were announced :—

"(1) Crete can in no case be annexed to Greece in the present circumstances.

"(2) Turkey having delayed the execution of the reforms settled in concert with them, so that they are no longer suited to the altered state of things, the Powers are resolved, while maintaining the integrity of the Ottoman Empire, to endow Crete with an absolutely effective autonomy, which shall assure her a separate government under the suzerainty of the Sultan. "The Cabinets are convinced that these views can only be realised if the Greek vessels and forces now in the waters or on the territories of the island, which is occupied by the Powers, are withdrawn. We, therefore, look with confidence for this decision from the wisdom of the King's Government, who cannot wish to persist in a course opposed to the determination of the Powers, resolved as they are to bring about a speedy pacification which is as indispensable to Crete as it is to the maintenance of the general peace."

The note concluded with a threat that, if within six days the forces and ships of Greece were not recalled, the Powers were "irrevocably determined not to hesitate at any measures of constraint."

The Greek Minister for Foreign Affairs, M. Skouzes, then suggested that the Greek troops in the island should be entrusted with the mandate of keeping peace between the Christians and Mussulmans, as the gendarmerie had ceased to exist, the great majority of them having mutinied and been shot or dismissed. All the Powers, however, with the exception of England, rejected this proposal; and, on the other hand, Greece declared that she could not withdraw her forces from Crete so long as the Christians there were in danger of being massacred by the Mussulmans, and that this danger could not be removed by the grant of an autonomy, even if the Turkish troops were withdrawn from Crete. The Cretan insurgents at the same time declared that they would not accept any solution except union with Greece; and the Greek Government suggested that their real wishes should be ascertained by a plebiscite. The Porte, on the other hand, accepted the proposal of an autonomy for Crete; but both Greece and Turkey now hastened their preparations for war. The Powers, as a first step towards coercing Greece, proclaimed a blockade of the Cretan ports and sent a mixed force of 3,600 men to occupy the island (March 18). Colonel Vassos at the same time transferred the troops under his command to Sphakia, in the most mountainous and inaccessible portion of the island, and on the arrival of the international troops the insurgents were more active than ever, attacking with cannon forts in the vicinity of Canea, notwithstanding continual bombardments from the fleets. On

March 27 the Crown Prince of Greece left Athens to take the command of the troops on the Turkish frontier. On April 5 the Powers addressed a warning to both the Greek and Ottoman Governments that if either country should take the aggressive on the Thessalian frontier, the aggressor would be held responsible, and would not be permitted to derive any advantage from the result of the war. This warning, however, produced no greater effect than the blockade of Crete. On April 8 a force of 3,000 Greek irregulars crossed the frontier near Krania, and several engagements took place between them and the Turkish troops, who at length succeeded in driving them back into Greek territory. Further raids by Greek bands followed, and on April 17 Turkey declared war. On April 18 Edhem Pasha moved his army to the Milouna pass, which had been occupied by the Greeks, and, after a battle which continued for twenty-four hours, captured the pass and then proceeded to Reveni, where another obstinate engagement took place. Another Greek army crossed the Arta River with the object of invading Epirus, while a Greek ironclad bombarded the fortifications of Prevesa, at the entrance to the Gulf of Arta. On April 19 the Turkish army was camping in the plain of Thessaly and the Greeks were in full retreat towards Larissa; and on April 25 they evacuated Turnavo and Larissa and fell back upon Pharsala. Meanwhile Ghazi Osman, the hero of Plevna, was appointed commander-in-chief of the army of Roumelia, but Edhem Pasha's rapid advance left him little to do. On April 29 the King dismissed the Delyannis Cabinet and appointed a new Ministry under M. Ralli; but it was too late to retrieve the Greek losses. A brave stand was made by Colonel Smolenski at Velestino, and Colonel Vassos with twenty-five Greek officers was recalled from Crete. The Turks, however, were victorious all along the line, and the Greeks had to evacuate both Epirus and Volo. On May 8 the new Ministry notified to the Powers that it would gradually recall the Greek troops from Crete, and expressed its desire for the conclusion of peace; and on a formal assurance being given that Greece would withdraw her troops and accept an autonomy for Crete, the Powers obtained from the Porte an armistice to continue while the peace negotiations lasted. The armistice was signed at the beginning of June, but great difficulty was experienced by the Powers in inducing the Sultan to give up the portions of Thessaly which had been conquered by his troops, and he insisted in any case that they should be occupied by Turkey until Greece paid her indemnity for the expenses of the war. The preliminary treaty of peace, the text of which is subjoined, was signed on September 18:

"ARTICLE 1.-The Turco-Greek frontier will be rectified in accordance with the line traced on the accompanying map and detailed description. It is understood that slight modifications, from a strategic point of view, may be inserted to the advantage of the Ottoman Empire, by agreement between the delegates of