Franco’s Spain: From War to Isolation
1. Foundations of the New State
1.1 The Footprint of the War
The Spanish Civil War left a devastating mark on the nation. Human losses exceeded one million, including deaths, exiles, and injuries. The war’s impact on the young population was particularly severe. Material destruction was widespread, affecting agriculture, livestock, infrastructure, and the transportation system. The merchant marine suffered significant losses, and numerous cities and towns were severely damaged. The war also depleted foreign exchange reserves and the Bank of Spain’s gold reserves.
Beyond the physical destruction, the war’s moral consequences were profound. Repressions on both sides led to deaths, imprisonment, purges, and social trauma that lingered for years.
1.2 Ideological and Social Foundations
Francisco Franco’s rapid rise through the military ranks culminated in his appointment as commander and political leader of the rebellion against the Republic in 1936. After winning the war in 1939, he established the New State, a regime with affinities to European fascism. This illiberal system rejected liberalism and embraced traditional Catholicism, harkening back to the Spain of the Catholic Monarchs and Habsburgs.
The Church became a key supporter of the regime, leading to the rise of National-Catholicism. The military also played a central role, controlling ministries, maintaining public order, and operating military courts. The Francoist system was further supported by a financial and landowning oligarchy.
1.3 Political Evolution of Francoism
A. The Blue Stage (1939-1945)
The early years of the regime, marked by the influence of the Falange, saw the implementation of repressive laws and the establishment of official trade unions. As Allied victory in World War II became apparent, Spain created a parliament as a step towards “organic democracy.” This system involved representatives elected through societal organs like family, municipality, and union.
Following the war, the regime enacted the Jurisdiction of the Spanish, defining Spain as a “Catholic, social, and legal state” with conditional freedoms. The National Referendum Act aimed to project an image of openness through direct suffrage.
B. Political Reaction (1946-1957)
International isolation fueled nationalism within Spain, strengthening Franco’s position. The regime sought acceptance from democratic Europe by shedding its fascist trappings. The Act of Succession declared Spain a monarchy but reserved the headship of state for Franco, granting him the power to choose his successor.
The Law on the Principles for the National Movement established the ideological foundations of the state. This period saw a political balance between Catholic and Falangist figures, which shifted with the arrival of technocrats, many from Opus Dei.
2. Foreign Policy of the New State
2.1 Neutrality in World War II
Early German victories influenced Spain, but Franco remained cautious. Despite sending the Blue Division to fight alongside the Axis powers in Russia, Spain maintained a degree of neutrality. With Allied victories, Spain withdrew the Blue Division and broke relations with Japan, aligning more closely with Portugal.
2.2 International Isolation
After World War II, the Allies sought to isolate Franco’s regime. Spain was excluded from international organizations, and most ambassadors left Madrid. However, the Cold War and the Korean War altered the geopolitical landscape. Spain’s strategic position led to U.S. support and the establishment of U.S. bases in Spain.
In 1953, Spain signed agreements with the U.S. and a Concordat with the Vatican, enhancing its international standing. By 1955, Spain had joined the United Nations, ending its period of isolation.
3. Autarky and Economic Stagnation
Post-war isolation and the Civil War’s destruction contributed to Spain’s economic stagnation. However, the misguided autarkic policies of the Franco regime played a significant role. Interventionist measures, such as the National Wheat Service, disrupted agricultural production and led to shortages. The black market flourished, transferring capital from agriculture to industry.
The National Institute of Industry (INI) promoted industrial development in sectors like steel, shipbuilding, and aviation. However, Spain’s isolation and exclusion from the Marshall Plan hindered its economic progress. The lack of free competition and profitability considerations further hampered growth.
The creation of RENFE nationalized the railroads, and an ambitious road project yielded limited results. Autarky and interventionism led to economic imbalances and regional disparities. Only after 1959, with the introduction of liberalization measures, did Spain’s economic situation begin to improve, although this growth was accompanied by inflation.