| Spain realized that the last thing they needed was to go to war, since they had a country to rebuild. However they did join the Reich by allowing the formation of the Blau Div.
As a neutral country, they understood that a debt was owed for Germany's assistance in the civil war. There was a mutual respect, between AH and Franco, one of the many reasons AH never invaded Spain. AH also respected the Spanish soldier, so much , the 25oth was the only Div. AH commissioned a medal for them.
Gen. Franco had no plans to re-create the Spanish Empire, he could have started with Portugal if that was the case. Therefore he was not the classic Facista, as many tend to believe. As promised to Nixon, he re-instituted the Crown, and created a Middle-Class, both non-existant in 30's and 40's.
The Swiss also had contracts to manufacture items for the Germans,
Bare in mind that many of the countries that were also occupied, had their own NS parties, and many had no problems witht he Germans being there, it was not until the Allied Countries decided to fund terrorist organizations (they were called Partisans those days) that things started to get bad.
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Viva Franco, Arriba Espana
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