By the end of the war the national government had foreign debts of $8 million (mostly to French and Dutch bankers), and debts to Americans amounting to $42 million. Annual interest payments were $2.5 million. The Congress had no taxing powers, and the states were reluctant to give it money. It borrowed more from Europe. The best solution was to sell land. | By the end of the war the national government had foreign debts of $8 million (mostly to French and Dutch bankers), and debts to Americans amounting to $42 million. Annual interest payments were $2.5 million. The Congress had no taxing powers, and the states were reluctant to give it money. It borrowed more from Europe. The best solution was to sell land. |