Chapter 81 Government Treasury Bonds (4,000 Words)
After awarding medals to those who had helped the royal family make money during the rubber crisis, Edeler considered what to do with the money. After deducting the final payment of £420,000 to the power plant, there was also £630,000 from the Ploiesti Machinery Factory, and a profit of £1.21 million. Just when the crown prince was thinking about how to use the money, someone came up with the idea of a small royal treasury.
At the home of Prime Minister Sturre. He was in his study with his nephew Karaturi discussing the fruits of the crown prince's harvest. As the leader of the ruling Liberal Party, Sturl is not only the great steward of the kingdom, but also the interests of the party. (The other major political party is the Conservative Party, which is now a multi-party system in Romania, but the basic ruling party is a swap between the Liberal Party and the Conservative Party.) )
"Uncle, the government's finances are too difficult now, do you want to find a way for the royal family? I heard that the crown prince recently sent a large sum of money. Karaturi suggested to his uncle, who was struggling financially.
"I probably know a little bit about this, it should be an income of more than 2 million pounds." Sturrell did not answer his nephew's offer head-on.
"Uncle, now the Bredian Yanuna gang in the party has been in tandem, and I guess I want to be unfavorable to you, uncle." Karaturi voiced his concerns.
Bredianu was another giant of the Liberal Party, the late founder of the Liberal Party, Jan Brown. The nephew of C. Bredianu, he had a large number of supporters. However, Sturl was not a vegetarian either, and after the death of old Bredianu, he kept his nephew at bay. If it weren't for the peasant uprising of 1907, he would not have been able to replace the old prime minister.
However, due to the role of Eder's little butterfly, there was no way out of the 1907 uprising. Now that the old prime minister is still in power, he can only continue to hibernate. It's just that the old prime minister supported the crown prince's reorganization of the army and industrial construction, which caused the government's fiscal deficit to rise. Seeing this as an opportunity, Bregdianu began to join forces within the party in an attempt to seize the position of party leader, which Sturrell saw in his eyes.
In fact, there has always been a voice in the Liberal Party that the old prime minister is too obedient to the royal family and has not achieved the position of the prime minister at all. Sturil was dismissive of these remarks, knowing full well that it was time for the kingdom to change powers, and that the old king Carol I wanted to gradually put power in the hands of Crown Prince Eder. During this period, any irrational behavior will invite reprisals from the royal family, and a party that does not have the support of the royal family in Romania will not have a basis for governance.
"I'll think about this, Karaturi, you have to follow in the footsteps of the crown prince, I don't think I will have much time in power." The old chief said what he thought to his nephew.
"Uncle, in fact, you can still work for a few years, you can consider postponing it for a while." Karaturi was visibly surprised by his uncle's thoughts.
"It's a thought I've thought through. I've been doing this for almost ten years, and it's time to retire. Otherwise, everyone will be dissatisfied with me, and by the way, it can also lay a good foundation for you in the future. Sturrell explained to him.
When Karaturi heard his uncle's words, he naturally knew that he couldn't do it. For him, it was smooth sailing for his uncle to be prime minister. Now that my uncle is planning to retire this year, it will be a question of how to position himself.
"I will respect my uncle's decision." Despite this, Karaturi still had a look of loss on his face.
Sturre's reluctance can be seen at a glance as his nephew's unwillingness. Looking at his somewhat lost nephew, Sturl was comforted. "There will be some time before I retire, you must continue to lead the family forward, you must not be discouraged."
In the face of his uncle's encouragement, Karaturi perked up. "Don't worry, uncle, I will bring the family back to its current position."
"I believe in you."
After seeing off his nephew, Sturr sat in a chair, and his nephew's bold words Sturl knew it wouldn't be easy. Don't look at the fact that he is now the Minister of Industry, it seems that he is very close to the Prime Minister, in fact, after he retires, he will find that it will not be possible for at least 15 years.
He couldn't blow his nephew's confidence too much just now, he had seen too many people in a high position and retreated, and the family was not right. It's much better than their own family, at least there's enough friendship with the crown prince, and Kalituri is also of great use to the crown prince now, which is not bad.
Early the next morning, Prime Minister Sturll arrived at the Prime Minister's Office by car. After entering the office, the secretary Fyanscu stepped forward and spoke to him. "Prime Minister, the army has come to demand funding again. The eight million lei that we should have allocated at the end of last month have not been moved. ”
"What did Listerling say?" Sturrell asked the secretary. Fiyanscu knew what the prime minister meant, and replied. "The Minister of Finance said, 'After deducting the unusable emergency funds and daily expenses, there are now only two million lei in the account. Moreover, the current issuance of government bonds, the Minister of Finance is not optimistic. Mainly, except for Germany, all countries do not support our issuance of government bonds, and Germany is not having a good time now, and it is too late to do so. And the autumn agricultural tax is still three months away. Now the Chief of the General Staff, Preshan, is sitting in the lounge and waiting for you. ”
After hearing the secretary's words, Sturil also secretly hurt himself. Now before Britain, France, and Russia are all facing each other, Romania has cooperated with Germany and Austria in the Bosnia-Herzegovina region. It would only be a ghost if it was possible to issue government bonds in the financial markets of the three countries, and Austria-Hungary and Romania were recently in Lantesivarya because of the oppression of local Romanians. Germany, the only one who could help them, was also financially strapped for the battle with Britain over dreadnoughts. At present, the domestic financial market cannot meet the needs of the government at all, so it can only roll up its own belts and live a hard life.
Thinking of this, Prime Minister Sturrell can only appease the first person in the military for now, and he is trying to find a way to solve the financial problem.
"Invite the Chief of the General Staff to me." The old minister said to the secretary.
Feuyanscu, who had been instructed by Sturre, went out to ask for Prissan, and in a few moments he pushed the door in.
The Chief of the General Staff single-handedly stated his purpose. "Your Excellency, Prime Minister, I am here for last month's payment."
In the face of Prieshan's straightforward speech, Sturrell said without hurry. "General Pressan, the government can't take out this money now."
Faced with the Prime Minister being so relaised, Preshan almost couldn't help but scold his mother. Whoever dared to talk to him like this in the army would have been kicked out of the army a long time ago. But fortunately, I knew that this was the Prime Minister's Office, so I couldn't help it, so I was not polite and asked directly. "When will I get the money?"
"Now we can only wait for three months after the agricultural tax revenue is collected." Sturrell replied slowly.
When Preshan heard that it would take three months, he almost jumped to his feet, and directly retorted. "This can't be done, the army's salary will not be paid in a month, do you know the consequences of this?"
Preshan breathed a sigh of relief and said the bottom line of the army. "I will see that fund for half a month at most, otherwise I will let the soldiers come to the Prime Minister's Office to receive their salaries."
With that, Prieshan strode out of the Prime Minister's Office, leaving behind a group of people attracted by the sound of the quarrel. Thus came the news of a quarrel between the Prime Minister and the Chief of the General Staff, and Eder got the news at noon, and was also shocked by the government's financial woes.
In the evening at Sturil's house, Karaturi was also asking the old prime minister about what had happened in the prime minister's office this morning.
"Why did Uncle have a big quarrel with General Preshan, it doesn't do us any good."
Faced with Karaturi's question, Sturil looked at his nephew, who was a young man with no experience. The old prime minister sat on the chair with his hands on his stomach and asked his nephew with a calm face. "Isn't it surprising?"
Seeing that his uncle was calm and did not look like a person who had quarreled in the morning, Kalituri was a little difficult to answer.
Seeing that there was still a little confused nephew, Sturil could only explain why he did it. "General Prishan came this time because I spread the news the day before yesterday that the government did not have enough funds and that it was necessary to reduce the cost of army reorganization and complete the reorganization by one year later."
Karaturi looked at his uncle, not expecting such an outcome.
"Why do you want to do this?"
Faced with his nephew's question, Sturrell went on to explain. "Otherwise, Prishan would not have come, otherwise the news of a big quarrel between the army and the highest levels of the government would not have come out so quickly. How can I ask the crown prince for that money with sufficient reasons? ”
Looking at his uncle in front of him, Karaturi suddenly felt that he still had a long way to go. But I still asked a little puzzled. "Uncle, how can you be sure that General Prieshan will definitely come."
Faced with his nephew's question, Sturrell said with a smile. "Because he's a smart man, it's good for him."
Hearing his uncle's answer, Karaturi was still a little confused. Seeing that his nephew was still a little confused, the old prime minister could only elaborate. "Isn't it strange that Prishan was known for his composure twenty years ago, and five years ago he began to grow more and more tempered? I give him such a good stage this time, and he will definitely come. ”
Hearing Sturl's explanation, Carituri was amazed at his uncle's cunning.
Seeing his nephew's surprised expression, Sturl continued. "But this method can only be used once, and it is only available when I retire. Otherwise, the king would be displeased. ”
"Uncle, what do you mean ......"
Sturil nodded to his nephew, indicating that he was right. "Yes, this method cannot be concealed from the king. But I'm retiring, and he won't be too careful, after all, I have no credit and hard work. ”
Early the next morning, Sturil came to the palace to meet Crown Prince Eder.
"I've seen Your Highness."
Edel asked, looking at the prime minister in front of him. "I wonder why Your Excellency the Prime Minister came to see me?"
"Now the government can't turn over funds, and wants to issue treasury bonds."
Eder had known for a long time that yesterday the Prime Minister and the Chief of the General Staff had a big quarrel at the Prime Minister's Office over funding. He also learned that the government did not have enough money and that the purchase rate of government bonds was low. This time, I specifically asked him to report on the treasury bonds, and I was afraid that I would take a fancy to the funds in his hands. After all, there is no precedent in Europe for the royal family to lend money to the government, and there are examples to be found in changing it to buying government bonds.
Even though he knew that he was not forced to do so, the prime minister would not use this method. Eder was still a little unwilling and planned to ask again. "Is there really no other way?"
"Your Highness, there is really no way but to issue treasury bonds, otherwise the collection of agricultural taxes will go bankrupt after less than three months." Sturrell also said with a scoundrel look on his face that despite his cunning, he couldn't make money.
After hearing the Prime Minister say this, Edel thought for a while and then spoke. "You can issue a two-year treasury bond of 250,000 lei, but it requires an annual interest rate of 10%, and I heard that the navy intends to buy a cruiser of 2,000 tons, so you should also support it."
In the face of the crown prince's bid, the prime minister was not ambiguous in cutting the price. "The annual interest rate of this treasury bond is too high, if the annual interest rate of 5% is enough, the navy does not need such a big ship, it would be good to have a 500-ton warship."
"This is not good, coastal defense is also the key point of Romania, a 2,000-ton cruiser can ensure the security of Romania's maritime borders, and the annual interest rate can be lowered, and the annual interest rate of 8% is very reasonable." Eder said with a look of no hesitation for the construction of the navy. I don't know who it is, I haven't raised the funding of the Navy for many years.
After some haggling, the prime minister finally got the result. Issuing 25 million lei of government bonds at an annual interest rate of 6%, the navy could get a part of the funds from this treasury bond to purchase a 2,000-ton cruiser to replenish the fleet.
After the crown prince got the results, Sturil returned to the Prime Minister's Office to discuss the issuance with the Minister of Finance. On the third day, the Romanian government issued a batch of two-year bearer government bonds worth 25 million lei to the domestic securities market at an annual interest rate of 6 percent. As soon as it was put on the market, it was enthusiastically snapped up and sold out within a week. Among them, the largest purchaser is the Industrial and Commercial Bank of Romania, which bought 81.6% of the treasury bonds, which is inexplicable.
In the palace, Eder listened to the head of the Industrial and Commercial Bank of China, Valiochi, report on the results.
"Your Highness, we have purchased 1,124,000 pounds worth of government bonds, of which 500,000 pounds of bank funds and 62.4 pounds of royal funds."
After hearing about Wariochi's return, Eder thought to himself that it was good that there were banks that could help buy government bonds, otherwise all the money earned would have been lent to the government.
After negotiating terms with Sturrell, Eder had no intention of using all of the royal family's funds. ICBC, as a royal industry, should also contribute, and after repaying the bank 1 million pounds, there is no pressure to ask Wariochi to buy 500,000 pounds of government bonds. With the rest of the money, Eder can do something else.
While Eder was listening to the state debt purchases, Carol I was also listening to the report in the old king's office. It's just a report from the spy Millock.
"Your Majesty. After our investigation, it was found that the Prime Minister and the Chief of the General Staff had not been in contact before, and it should have been the Prime Minister's own ad hoc decision. ”
After listening to the report of the secret agent, Carol I asked again. "Is it reliable?"
"It's completely reliable, we found out the news four days ago, and it took four days to review it to ensure reliability."
"Let's go down."
After Millock stepped down, Carol I was relieved. The actions of the prime minister and the chief of the general staff before made him very uneasy. That's why he asked Milok to investigate, in the face of power, no one can take it lightly, this is the tradition of the Hohenzollern family, and the old king will certainly not forget.