What factors had an impact on Italy’s foreign policy in the 1930s?

1. The impact of fascism

 Mussolini pursued Fascist foreign policy from the mid-1930s: glorification of war (Abyssinia,
Spain, Albania) + pursuit of imperial expansion + move away from diplomacy/cooperation
 Continued to assert anti-French territorial claims
 Moved away from good relationship with British  closer to Hitler/Germany = Italo-German
agreements:
 Rome-Berlin Axis
 Pact of Steel

2. The impact of domestic economic issues

What was the impact of the depression on Italian Foreign Policy?

Negatives:

- Overvaluing lira exasperated economic problems

- Investment from US withdrawn
- Grain prices fell = Italian farmers badly affected
- Industry declined
- Unemployment grew to 2 million
Government response:
1. intervention  bailouts for industrialists
2. 1931 The Bank of Italy = brink of collapse
3. 1931 = gov set up Istituto Mobiliare Italiano  gave financial support to banks +
industries
4. Allocation of raw materials = brought under gov control
5. Direct control of major industries increased

1933 = Istituto per la Ricostruzione Industriale set up  took over shares of companies +
banks  Italy developed largest public sector in EU (excl USSR)

6. Wages that had already fallen before the depression were cut further

End 1930s: gov controlled 20% of the capital of key companies

Positive actions:

- Public work programs set up

- Removal of ban on emigration
- Mussolini managed to prevent social + political upheaval that the depression had caused
elsewhere in EU

Mussolini needed to distract Italian public from Italy’s internal economic problems by fostering the
‘revolutionary’ spirit that fascism espoused  foreign policy needed to be more dynamic +
inspirational now

Results:

- From 1936 = Italian economy undermined further by Mussolini’s emphasis on autarky +

costs of Il Duce’s wars
 - = domestic economic factors may have been a factor in Mussolini’s choice to invade
Abyssinia + intervene in the Spanish Civil War  high price for the Italian economy
- (even though taxes were increased)  wars led to an annual budget deficit of 28 billion lire
by 1939
- = negative political impact + undermined support for the regime from the elites

What was it? How significant to

diplomatic relations
The Four Power Act - Meeting in Rome 1933
- Signed on 15th July
1933
- Set out that smaller
nations should have
less say in ‘Great
Power’ relations 
unlike their role in the
League of Nations
- Signed by:
1. Britain
2. France
3. Germany
4. Italy
France never ratified
- Signatories agreed to
adhere to the League’s
covenant + Locarno
Treaties + Kellogg-
Briand Pact
- Aim was to
demonstrate Italy’s
central role in
European diplomacy
- Intention was to
develop an
alternative League
of Nation for
European diplomacy
- Allowed for further
‘Great Power’
cooperation  in
reality this pact had
little meaning and
dismissed by the
other powers
- In Italy though it was
heralded as a
success for
Mussolini

Murder of Austrian Chancellor - Italy had promoted an - 1934 = Mussolini’s

Dolfuss independent Austria action seen as
since the end of WW1 significant
= Mussolini opposed domestically + by
Anschluss (Austria other EU nations
unification with
Germany)
 - 25th July 1934 =
Stresa Front April 1935 - German rearmament
Stresa = Italian town
- Agreement was too
Austrian Nazi
supporters murdered
Austrian chancellor
Engelbert Dolfuss 
Mussolini mobolised
his troops to the
border + deter any
attempt by Hitler to
achieve Anschluss
- Aim to prevent any
1935 promoted this future changes to EU
agreement between settlement (no
France, Britain and breaking Treaty of
Italy which pledged to Versailles + reaffirm
prevent more revisions Locarno Treaties)
of the Paris Peace - For Mussolini the
Settlement (was agreement was
essentially anti-Nazi) significant as he felt
the British and
vague to bind the French had agreed
powers to direct action to invasion of
Abyssinia. It also
(Italy took firmer
protected Italy from
stance than Britian). In an independent
June, Britain signed a Austria.
naval agreement
(Anglo- German Naval
agreement )with
Germany (allowing
naval rearmament) =
broke principles
agreed at Stresa
without consulting
Stresa allies = end of
Stresa agreement

Italian foreign policy, 1935-39

 Why did Mussolini invade Abyssinia in October 1935?

 Nationalist aims = build an (Roman inspired) empire + become great imperial power like
Britain and France
 Consolidate Mussolini’s personal power (Il Dulce)
 Fascism = war ideology  would be easy victory as Abyssinia was not modernized
 Revenge for the defeat at the battle of Adowa 1896
 Divert attention from domestic economic problems (effect of the G Depression). Abyssinia
= Territory for emigration + provide export market for Italian goods. Hoped to find oil.
 Stresa conference convinced Mussolini that Br and Fr would not oppose invasion (though
Mussolini never made his plans clear)
 Wanted to appear strong to Hitler

What was the most important factor? Or give them each a factor and they have to say why it’s the
most important

The Events – What happened?

1923 - Italy supports Abyssinia’s entry into the LON

1928 – Italy signed a treaty of Friendship with Abyssinia

1929 – Italy dew up a plan to annex Abyssinia

1932 – Italian invasion plan

Dec 1934 – Italian forces clash with Abyssinians at the Wal Wal Oasis. 30 Italians killed. Mussolini
demands an apology and compensation. Haile Selassie, the emperor, goes to the LON and asks for
an investigation. Italian troops (secretly) invade (‘total conquest’)  army personnel 500,000 
soon Abyssinians are forced to retreat

Sept 1935 – LON neither side responsible for Wal Wal incident.

3rd Oct 1935 – full-scale invasion

6th Oct 1935 – Italian forces capture Adowa (where Italy was defeated in 1896)

7th Oct 1935 – LON condemns Italy as the aggressor

11th Oct 1935 – LON Assembly vote to impose sanctions on Italy

18th Nov 1935 – Limited sanctions put into effect

¬¬¬During War¬¬¬

(relationship between Ita + Br = tense in Mediterranean cuz Br had 2 large naval bases  Br + Fr
wanted to retain good relations with Ita = maintain Stresa Front = contain Hitlers Germany)  Dec
1935 – Hoare and Laval Plan (secret pact in which Italy to be given half of Abyssinia for swift
resolution of the crisis) but plan was leaked and received great public criticism

6th April 1936 – Abyssinian army defeated at Lake Ashangi

5th May 1936 – Capital taken (Ababa) + Emperor Haile Selassie fled to Britain
9th May 1936 - Abyssinia formerly annexed by Italy  became part of Italian East Africa with
Eritrea and Somaliland

What were the results of the Abyssinia War? (p.138)

Positives:

 Mussolini gave Italy an Empire + showed Italian military strength = peak of foreign policy
success
 War was won quickly + only cost 1,000 Italian casualties

Negatives:

 Raised tensions with Britain = ‘Mediterranean scare’  Italy’s naval army incomplete =
not take on Britain
 High cost of war (debt increased to 16 billion lire, was 2.5) and cost of maintaining 250,000
occupying troops
 Oct 1936 = Lira devalued by 40% = Italian trade had to shift to Germany due to the
sanctions imposed by the LON (lifted in July)
 Italian forces gain a reputation for brutality
 Italy had to continue to fight guerrilla was in Abyssinia until it fell to Britain in 1941
  Weakness of LON shown
 Italy moves away from Br and Fr and makes concessions to Germany:
- 6th Jan 1936 = Mussolini told German ambassador he no longer had objections to Austria
becoming a German satellite
- 22 feb 1936 = Italy agreed to German rearmament of the Rhineland = Ita no longer uphold
its Locarno obligations

Most important consequence for

a) Italy b) International relations

Task 4: Changing diplomatic alignments in Europe 1936-40

Causes (of Italian Events (of Italian Results (For Italy and IR)
intervention) intervention)

 Success in Abyssinia  Mussolini did not  War not popular amongst

Spanish Civil War = encouragement for
pp. 141-42 further military  Italy sent more
greatness
 Fascist ideology
(war)
 Hoped for naval
bases in the Balearic  War was longer
Islands from General
Franco in return for
his assistance
 Expansion into the
Mediterranean to
re-establish
Mediterranean
Roman Empire
 Ideological
sympathies with the
Nationalists and
desire to stop spread
of Communism 
received requests
for assistance from
militarist rebels to
help fight against
liberal
democracy/socialism
 close connections
to right-wing groups
in Spain since new
Spanish Republic
1931
 Weaken France who
had links with the
left Popular Front
have a clear plan Italians  no clear
‘nationalist’ goals that
assistance than could appeal to wider
any other Italian population
country (70,000  High economic cost (14
troops) billion lire)
 Lira devalued + lost half its
than anticipated foreign currency reserves
 Increasing trade with
Germany and closer
diplomatic ties
 1/3 of Italy’s arms were
used
 Exposed military weakness
of Italy e.g. defeat at the
Battle of Guadalajara in
March 1937
 Weakened relations with
Br and France due to Italy
submarines attacking
supply ships
 General Franco maintained
his independence + Italy
helped secure right-wing in
EU + was on winning side
BUT Spain did not become
an Italian satellite state
 Key result = Mussolini
committed to formal
Alliance with Germany
 gov that Franco
wanted to
overthrow  Italy
would prevent
France from gaining
influence in a left-
wing Spain =
strengthen position
in Mediterranean

 25 Oct 1936 = Rome-  1938 Italy  Not popular in Italy 

Anschluss Berlin Axis Alliance accepted Creation of Austria had
pp.143-145 (coalition Anschluss been a key strategic gain
agreement) for Italy at Versailles
 Anti-Comintern Pact
in November 1937
(Ita + Jap + Gr) =
against the
Communist
International + if any
attacked by USSR =
help  AXIS Powers
(turning point for
Italian foreign
policy)
 Dec 1937 Italy left
the LON
 M
promoted/protected
Austrian
independence +
warned of H of the
Aschluss (1934) 
1936 M told Austria
to deal with
Germany = Ita no
longer protect it =
1938 H invaded
Austria
  Chamberlain’s
Sudetenland failure to gain a
Crisis pp. 145- peace deal over the
146 Sudentenland after
two meetings in
Germany 
Mussolini stepped in
as the ‘peacemaker’
at Munich
 Took a leading  Mussolini became
role in the subservient to Hitler 
Munich simply put forwards Hitlers
Conference in plan
September 1938  Hitler broke the Munich
Agreement in March 1939
by invading the rest of
Czechoslovakia
 Showed weakness of Br
and Fr = Nov 1938 M
instructs Italian parliament
to annex Corsica, Nice and
Tunis.  M believed he
could win war against Fr
with Gr + Br avoids war at
any price

Causes Events Results

 Emulate Hitler’s  25th March 1939  15th April 1939 - Albania

Albania pp.146- success in Czech King Zog refuses withdraws from LON
149  Albania already a Italian  Albanian fascist gov
satellite state ultimatum to created under Shefqet
 Intimidate Yugo agree to Italian Verlaci (set up by Italians)
 Dominate the occupation  Albanian army under
Adriatic  5th April Italian command
 1934 King Zog of ultimatum  Italian king Victor
Albania signed becomes public Emmanuel crowned King
trade agreements  Mussolini sent of Albania (was also
with Greece and 100 planes to fly already crowned king of
Yugo  refused to over Tirana Ethopia)
be intimidated by dropping  28th Oct 1940 - Mussolini
Mussolini even leaflets to uses Albania as a base to
when troops were submit invade Greece
sent to region  6th April Anti-
Italian
demonstrations
 Many Albanian
officers and gov
officials flee the
country  King
Zog broadcasts
his resistance to
Italian
occupation
 7th April 1939
invaded Albania
with force of
 100,000 men
and 600 aircraft
 Albania only
1500 badly
equiped
 8th April Royal
family flee to
Greece
 22nd May 1939 –  H invaded  Egypt and Greece
Second World Pact of Steel = Poland on 1st offensives fail due to
War pp.149-152 declaration of Sept 1939 = British response
trust/cooperation + general EU war  Italian failure = German
union of (M warns H, forces drawn into the
military/economic Italy will not be Balkans and North Africa
policy ready for a
 German invasion of general war
Poland Sept 1940 until 1943) = Ita
 Italy announces declared itself
non-belligerence non-belligerent
but this was an WHY?
embarrassment to  June 1940, Italy
M and against declares war
Fascist ideology against Br and Fr
 Germany was  Italy invades
winning the war Egypt from Libya
 War could bring (Italian colony)
territorial gains ad and Greece from
control over Med Albania  both
 Economic failed due to Br
motivations; 1940 response  M’s
Britain blockaded failures =
all German coal German forces
ports. Italy was drawn into
dependent on Balkans+ North
German coal. Africa
 April 1941 =
German forces
take Yugo and
Greece 
pushed Brits
back + advanced
to El Alamein in
Egypt in June
1942.

Why did Italy join the war in June 1940?

Even if non-belligerent, difficult to keep Italy out of war:

 - Contrary to fascist doctrine + he’s meant to be ‘Il Dulce’
- M didn’t want Ita to become lesser rank power by staying neutral  ‘another Switzerland’
- Opportunity to radicalize the regime + remove influence of conservatives and the Church
- If Germany won war whilst Ita stayed neutral = EU dominated by Gr = would be hostile to
Ita for staying neutral
- Could bring territorial gains + control over the Mediterranean

Predominantly economic reason:

- Gr principle buyer of Ita foods/textiles

- Au 1939 Gr owed It 40$ million
- Ita received coal in return = became dependent on Gr for it (2/3rds of the Ita supply)
coal had to be delivered by sea
- March 1940 Br blocked all German coal ports = June 1940, M declares war on Br + Fr