Prague, Treaty of 1866

a treaty between Austria and Prussia ending the Austro-Prussian War of 1866. It was signed on August 23 in Prague, which was occupied by Prussian troops.

The Treaty of Prague confirmed the major provisions of the Preliminary Treaty of Nikolsburg (Mikulov) of July 26, 1866. Fearing French intervention in the war and hoping for rapprochement with Austria, O. von Bismarck brought about an end to military operations and arranged for the preservation of the territorial integrity of the Austrian monarchy. Bismarck acted in spite of opposition from the Prussian king and the generals, who wanted to destroy Austria completely. By the terms of the treaty, Austria recognized the dissolution of the German Confederation, consented to “a new organization of Germany” without the participation of Austria, and promised to recognize a new confederation of German states north of the Main River headed by Prussia, as well as future Prussian annexations in northern Germany. Austria renounced all its rights to Schleswig and Holstein in favor of Prussia, recognized the transfer of the province of Venice to Italy, and paid Prussia an indemnity of 20 million Prussian talers. Prussia became the dominant power among the German states.