Chapter XXXIII Financial Turmoil
"What now?" Wariochi is now reeling from the bank's problems these days.
As a banker with a good reputation in Bachawa, Wariochi also took his reputation very seriously. After all, without a good reputation, no one comes to Wariochi's bank to deposit money and money for goods. It can be said that it is the wish of Wariochi to grow the small bank that his father left him. In recent days, the bank with the atmospheric name (Romanian Development Bank) has had a bit of a problem.
The name that gave him trouble was the National Bank of Russia. It turned out that the small bank of Wariochi made a profit by taking low-interest loans from the National Bank of Russia and giving the money to local people in need of funds, which accounted for 60% of the profits of the Romanian Development Bank. It's not that the National Bank of Russia has to be a philanthropist, it's mainly that foreign banks need the help of locals in order to better expand their business. Now the vast majority of small banks in Romania survive in this way, and who calls them weak capital can only rely on local areas to develop.
After the recent introduction of the Finance Act. Seeing the growing antagonism between foreign banks and the government, small banks like Wariochi are even more afraid to take sides. One is the food and clothing parents, and the other is the state organ, and either of them can kill their group of small banks. Now it is clear that the time has come to force them to take sides, and the Romanian Development Bank is the brainchild of Warioci, and it is the end of standing wrong, so there is now trouble.
Now there is no way for Wariochi, who called him too weak capital and no ability to resist, I believe that there will be other actions to force him in the future. This is also what Wariochi has long expected, but he will never give in until the last moment, it is not because of the pride of the Valiochi nation, but because he can't afford to lose.
The vast majority of the country's small banks are feeling the pressure to take sides, either giving in immediately or stubbornly to the end, but most of them are making the same choices as Wariochi, and the reasons are similar.
In the palace, Carol and his son were also listening to the report of the secret agent Miloke, "Now the four major foreign banks are forcing the small domestic banks to stand in line, and the Jiuerjiu City Bank, the Iasi Farmers' Bank, etc. have all fallen to them, but most of the small banks in the country are still hesitating, if after a while, it is estimated that they will not be able to withstand it." ”
Milok paused here as he spoke, "Recently, there have been many people staring at the palace and the Prime Minister's Palace, and it is estimated that they are also their heads and tails. With that, the old king waved his hand to the secret agent, and Milok walked out quietly.
Carol I vented her anger after seeing Milok leave. "Who do they think they are, the gods of Romania, and we need to ask them for forgiveness." Edel persuaded after seeing his father's venting. "Father, don't be provoked by these vampires, they will feel the power of Romania, I promise."
King Carol looked at his son and was very satisfied with his crown prince. Both the means and the strategy are good, but sometimes they can be a little soft-hearted, which can be honed, and they can afford the heavy responsibility of the king after a few years of training.
Eder still didn't know that his father's mind was turning so quickly, and continued: "The American loan is coming, and I believe we will catch them off guard." Carol listened to the Crown Prince's persuasion and said slowly. Edel my boy, I know you're good at anything. This matter is mainly left to you now, and you will give me a good result, right? ”
"Yes father, I will not let them succeed, and I will give you a satisfactory result." Edel assured his father. Then King Carroll called the prime minister and continued to discuss the details of the plan of action with the crown prince, after all, the stakes were so high that no one dared to relax in the slightest.
On the evening of the third day, a well-guarded train arrived at the Bucharest railway station, and the platform was full of Praetorian Guards. Steward Edri and Chief of the Crown Prince's Bodyguard, Calust, were waiting for the train on the platform.
An American who came down first after the train stopped and walked up to the two royal cronies said. "I've met two of you, I'm Blockley, an executive at Morgan Bank in Europe." Director Edri stepped forward first, "Hello Mr. Blockley, it's a pleasure for you to come to Romania, I believe it will give you an unforgettable memory here." ”
"Your Excellency, let's get started."
Calust waved his hand to the guards behind him, and a group of people entered the carriage to count them. After all, the stakes are high, and no one dares to take it lightly. Brockley said as he came in with Edri and Carouster. "It's all in pounds as you ask." The three of them watched as a large group of guards counted a wagon of pounds, which was not counted until it was almost dawn.
A squire in charge of the calculations walked up to the three of them. "There is no problem, and the quantity is also in line." Calust, who was scheduled to report it, instructed, "Load the truck and transport it to the vault." He turned to the two of them. Sorry for the mistake, I'll arrange transportation. The two who were sitting a little sleepy nodded, and when the chief guard went out, Brookley yawned, "I'm going to take a break, too, this train has exhausted me." "We've arranged a room for Mr. Blockley to rest." Elder Adri had a look that a man understood.
Brockley went to enjoy his 'rest', but Elder Edri was not so lucky, and returned to the palace to meet the king and his son, who had just gotten up for breakfast. "Your Majesty's things have arrived, no problem." "You can go and call Prime Minister Stuartley." Carol replied and continued to eat breakfast. Edel saw that his father was still eating, and he had no choice but to continue eating.
After breakfast, the Kingdom and the Crown Prince quickly waited in the room for the Prime Minister, and after a discussion, Prime Minister Stuart returned to the government to make an announcement.
After careful consideration by the government, the Finance Act is reasonable and feasible, and every bank needs to comply with it. Within one month, banks are required to pay the margin to the Reserve Bank of Romania, and those that do not do so will suspend their banking operations in Romania until the deposit has been paid.
The Reserve Bank of Romania was created by the royal family and the government. Among them, the royal family invested 6 million pounds to account for 60% of the shares, and the government provided 400 pounds for 40% of the shares, the main functions are: 1. Formulate and be responsible for the implementation of relevant monetary policies; 2. Supervise banking institutions and protect consumers' legitimate credit rights; 3. Maintain the stability of the financial system; 4. Provide reliable financial services to the government, the public, financial institutions, foreign institutions, etc. 5 issued currency leu.