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After Baron Aehrenthal, in January 1909, had mollified the Young Turks by an indemnity, and thus put an end to the boycott, Russia in February of the same year liquidated the remains of the old Turkish war indemnity of 1878 still due to itself by skilfully arranging that Bulgaria should pay off its capitalized tribute, owed to its ex-suzerain the Sultan, by very easy instalments to Russia instead.

Counts Aehrenthal and Berchtold destined Bulgaria and Roumania to coalesce and form the nucleus of a permanent Balkan confederation to be patronized and protected by the Habsburgs. But circumstance thwarted the design.

I do not think there are many monarchs or heirs to the throne who would have suffered, as the Archduke did, Schwarzenberg's sayings and doings. Franz Ferdinand was on very bad terms with Aehrenthal, who easily became abrupt and repellent. Still, there was another reason why two such hard millstones could not grind together.

Europe had not recovered from this shock, still less Belgrade and Athens, when, two days later. Baron Aehrenthal announced the formal annexation of Bosnia and Hercegovina by the Emperor Francis Joseph.

In 1900 he contracted with a Slav lady, the Countess Chotek, a morganatic marriage, which brought him into strained relations with the Emperor and Court. A silent, resolute man, he determined to lessen German and Magyar influence in the Empire by favouring the law for universal suffrage , and by the appointment as Foreign Minister of Aehrenthal, who harboured ambitiously expansive schemes.

For a short time the aggressive Balkan policy of Count Aehrenthal, as exemplified in the annexation of Bosnia and the diplomatic duel with Russia, was hailed as worthy of the Bismarckian tradition; but it soon became clear that he was far from being the genius whose advent the Monarchy was so anxiously awaiting.

The moral responsibility for these forgeries was subsequently brought home to Count Forgách, the Minister in Belgrade, and indirectly, of course, to Count Aehrenthal himself as Foreign Minister.

I do not believe that the many reproaches launched against Aehrenthal by the Archduke were consequent on political differences; it was more Aehrenthal's manner that invariably irritated the Archduke. I had occasion to read some of Aehrenthal's letters to Franz Ferdinand which, perhaps unintentionally, had a slight ironical flavour which made the Archduke feel he was not being taken seriously.

In his speech to the Austro-Hungarian Delegations Aehrenthal declared that he intended to continue "an active foreign policy," which would enable Austria-Hungary to "occupy to the full her place in the world." She had to act because otherwise "affairs might have developed against her." Thus the Eastern Question once more became a matter of acute controversy.

The actual formation of the Balkan League by King Ferdinand and M. Venezelos may not have been known, but it was realized that action of some sort on the part of the Balkan States was imminent, and that something must be done to forestall it. In February 1912 Count Aehrenthal died, and was succeeded by Count Berchtold as Austro-Hungarian Minister for Foreign Affairs.