4 FEBRUARY 1871, Page 2

The Austrian Government is increasing its army. Count Beust, in

defending certain pecuniary demands before the Austrian Delegation, said he was avoiding war, and declared that the Emperor's Government tried to be on the most friendly terms both with Germany and Italy, but still it was absolutely necessary for Austria to be strong. The fidelity of Austria to her new engagements was all the more reason why she should be let alone in her own home. There was a strong undercurrent of alarm running through his speech, produced, we imagine, by reports from Roumania, where it is stated Prince Charles intends to resign, thus surrendering the Principalities to an anarchy which will be very tempting to Russia.