Chapter 32: This Damned Time!

In other words, Mayor Zhao is really miserable, since 92 years after the plan for the development of Pudong, the Pearl Municipal Government began to actively prepare, and the urban planning and design drawings alone took more than a year, until 93 Pudong Development Zone finally began to be officially opened.

After half a year of investment and planning, dozens of real estate companies in Pudong Development Zone have been stationed in Pudong Development Zone in 93 years, but unfortunately there are unforeseen circumstances......

With the bursting of the island real estate bubble in 93, the sharp fall of the Pearl stock market, inflation and financial turmoil, the financial and real estate market in China began to enter a slump.

Everyone knows that Huaxia's real estate enterprises rely on bank loans to support the capital chain to engage in development!

After the beginning of macroeconomic regulation and rectification of the financial order in 93 years, all banks began to tighten the monetary system to recover illegal loans, and most of the capital chains of the companies that were carrying out real estate development projects in Pudong were immediately broken.

In an instant, dozens of real estate projects in Pudong Development Zone fell into the danger of breaking the capital chain and the project was facing suspension, and Pudong Development Zone finally ushered in its first catastrophe.

As Mayor Zhao, who is in charge of the construction of Pudong Development Zone, of course, he can't watch the construction of Pudong Development Zone stop like this, so Zhao City recently took those real estate developers to various banks every day to ask grandpa to sue grandma for loans.

However, because of the bursting of the island real estate bubble, the major banks have long been unable to protect themselves, so there are no banks willing to approve loans for real estate projects with great amounts and risks at this time.

"It turns out that the situation in the Pudong Development Zone is so difficult! No wonder Tang Junnian agreed to me so happily when I proposed to take a stake in Tomson Group's golf course project yesterday, I originally thought he would refuse. Jia Lei suddenly realized.

Jia Lei originally thought that Tang Junnian would definitely negotiate with him for a long time before making a decision. But yesterday Tang Junnian agreed so happily was indeed out of Jia Lei's surprise, although Jia Lei knew that Tomson Group was a little short of money recently, but he didn't expect that the other party's capital chain was about to be broken.

If he hadn't found you as an investor, Tomson Group would have been acquired by a state-owned enterprise because of a loan debt, and you had saved his life by accident. Mayor Zhao explained to Jia Lei.

This kind of thing is only known to high-level government officials like Mayor Zhao, so now there is no rumor that Tomson Group is on the verge of bankruptcy, and Jia Lei saved Tomson Group's life in a daze.

"Oh my God! In this way, it seems that Tang Junnian is indeed miserable enough, you two Pu Donger are really deserved......" Jia Lei looked at Mayor Zhao sympathetically and said, sure enough, the more capable people are, the more miserable they are.

"Since you know I'm miserable, then you can help my godfather!" Mayor Zhao said.

"It's okay to help, but it's not okay to borrow money!" Jia Lei thought carefully for a while, then shook his head and refused.

"Why can't you borrow money? What I lack now is money, if you don't lend me money, how can you help me? Isn't what you said contradicting yourself?" Mayor Zhao asked angrily, he felt that Jia Lei was deliberately embarrassing himself.

"Godfather, don't be angry first, do you listen to what I say!" Jia Lei hurriedly said.

"Okay, I want to see what reason you can say?" Mayor Zhao said as he looked at Jia Lei with his arms crossed.

"Actually, I can really take out 500 million US dollars! But have you thought about it, in what capacity are you and I borrowing this money?" Jia Lei asked him.

"In what capacity do you want to borrow money? Of course, I'm borrowing this money from you as your godfather, and I'm embarrassed to say this if you're not my godson." Mayor Zhao replied confidently.

He just borrowed some money from relatives and friends when he was in trouble, and this kind of thing is so common among the people.

"But the crux of the matter is that, according to you, you have borrowed this money from me in a private capacity!

With such a large sum of money, you must not have to pay it back yourself, right?

As the saying goes, you think that after you leave, the city government will recognize you as a private person and borrow this money from me?" Jia Lei asked.

"You're right, I did ignore that! After all, I can't guarantee that I will be in this position for a few years, and if I really borrowed this money from you in a private capacity, I am afraid that you will have to fight with my successor over this money in the future. Mayor Zhao said with a wry smile.

"I really want to lend you this money, but I don't want to end up in trouble with the city government because of a little money, and end up with a thankless effort. Jia Lei immediately nodded and said.

"Since you are willing to borrow this money, then I will go back tomorrow to discuss with the others, and let the city government be the guarantor to borrow this money from you?" Mayor Zhao thought for a while and said.

"It's a good idea for the city government to be the guarantor, but I don't think the other leaders in the city will agree to your proposal.

Because if any of the following companies that borrowed money can't survive and suddenly goes bankrupt, the tens of millions of dollars will be gone. Do you think the city will be willing to take on the repayment responsibilities for those developers?

This matter is too risky, and the people in the city will definitely not take such a big risk!" Jia Lei rolled his eyes and said, that group of politicians are absolutely unwilling to take this kind of risky responsibility on themselves.

"yes...... The city government will definitely not come forward to guarantee such a thing as borrowing money, otherwise what if it comes time to lose money! But this doesn't work, that doesn't work, so what do you think I should do now?" Mayor Zhao sighed and said.

"Actually, this matter is very simple, you don't always think about taking the responsibility on yourself!

Since it is the real estate developers in the Pudong Development Zone who are short of money, I advise you not to take the matter of borrowing money on your own.

In this case, you just need to be an intermediary to pull a line for them, and then let them come to me to talk to me, and then we can negotiate the relevant loan contract ourselves.

When the time comes, if I lend them this money, whether they will pay me high interest or use the land project as a guarantee and mortgage, it really doesn't work, and they will let me buy shares, that is our own business.

You and the municipality should always remain outsiders in this matter, and just be a notary public to supervise this commercial activity between us. That way, no matter what the end result is, it's best for you, me, and even for the person who borrowed the money.

And this plan is also the best and most beneficial for the city government!" Jia Lei explained.

"You're right, it's the best for you, for me, for everyone! Mayor Zhao nodded in agreement.

"Yes, then we will decide! But godfather, I will advise you one last word, don't let the rest of the city government know about the fact that you and I have borrowed such a large sum of money. It's best to pick out a few key projects and have them communicate with me privately. Jia Lei said to Mayor Zhao.

"But your willingness to borrow money is a great thing for the development zone, why should I keep it secret from the people of the city government?" Mayor Zhao asked puzzled, originally he planned to use the money to stabilize people's hearts.

"Because this time, I can only lend up to 500 million US dollars to those developers who are short of money, 500 million US dollars seems like a lot, but this amount of money is more than porridge for the entire Pudong Development Zone, right?

Once you leak the news of this matter, I am afraid that many people in the city government will immediately come to you to intercede and go through the back door, and then you will be in trouble. Jia Lei reminded him.

Everyone is a relational household, and it is not appropriate for Mayor Zhao to refuse any of them at that time. After all, when all domestic banks have tightened their capital chains in an all-round way, there are more than one or two real estate developers in the entire Pearl City who are short of money.

500 million US dollars is indeed more monks and less porridge!

"You're right! Now almost every family in your various enterprises is short of money, and once I have such a large sum of money revealed, I am afraid that the threshold of my family will be flattened. Mayor Zhao said with a wry smile.

"It's good to break through the threshold, I'm afraid that someone will hold a grudge against you because you didn't lend him money!

After all, for enterprises, if they can't survive this financial turmoil, it is a death!

Who can put the mentality so right in this kind of life-and-death matter, and now this money is the lifesaver for various enterprises, who can't see it.

It's a pity that straw is straw after all, you can't save everyone!" Jia Lei said with a sigh.

In the huge era of Pudong development, how many people died halfway without finding real money!

"In fact, our Pearl City is very good in terms of geography and people, but unfortunately our Pearl City is not very good!

In the 80s, when several economic development zones were built in China, our Pearl City did not catch up with the first batch of places and was missed by the above.

Finally, in the 90s, the top finally remembered that our Pearl City came, and now the top has begun to vigorously support our Pearl City to build a special economic zone, and all kinds of good policies have been given to the Pudong Development Zone.

It's a pity that Pudong Development Zone has just started construction for more than a year before the island real estate bubble burst and the financial turmoil.

I don't know if our Pearl City and Pudong Development Zone will be able to survive this time......" Mayor Zhao said with a sigh.

"Don't worry! I believe that with the joint efforts of all of us, Pudong Development Zone will definitely survive this time......" Jia Lei said with certainty, and then Pudong will become the most dazzling pearl in China.

"Even if we can survive this time, I'm afraid that the enterprises in the Pudong Development Zone will be greatly damaged!" Mayor Zhao said helplessly, adding that the development cost will be at least double that of the original under the condition of high inflation.

"Then I can't help it, who is going to let us just catch up with this damn era! At least we are much worse than the bankrupt Soviet Union and Russia next door, whose people are in dire straits. Jia Lei said with a wry smile.

"This is a damn era!" You said that this financial turmoil will not come sooner or later, why did it come when our Pudong Development Zone was just starting?" Mayor Zhao said indignantly.

"Probably because of the bad luck of the Pudong Development Zone!" Jia Lei said with a wry smile.

How serious was this domestic financial turmoil in '94?

Jia Lei can give you a brief summary of a few key words, the island real estate bubble burst, the depreciation of the yuan, inflation as high as 24%, the financial and securities markets entered a three-year stock market crash, and thousands of multimillionaires and billionaires who had just risen in China disappeared overnight.

Even a large foreign-funded enterprise like Tomson Group almost went bankrupt in this financial turmoil in China!

Although the most expensive golf course project of Tomson Group has been invested by Jia Lei, Tomson Group finally sold two pieces of land to survive the financial turmoil of 94 years.

Jia Lei took advantage of the financial crisis to use the $500 million to get some shares of more than a dozen large projects in the Pudong Development Zone, and became one of the largest behind-the-scenes developers in the Pudong Development Zone overnight.

It's a pity that Jia Lei doesn't have enough money to save everyone!

In the end, there are still several real estate developers in the Pudong Development Zone because the capital chain is broken, and the municipal government has taken back half of the projects and land that have been developed to rearrange them, and Jia Lei took advantage of this time to buy several plots of land at a low price.

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