"Your Excellency, this is the strategy that the Cabinet has formulated to deal with the impending fiscal deficit!" Constantine was apprehensive and handed over a document to Ferdinand.

Taking the information, Ferdinand carefully flipped through it. In fact, as soon as the cabinet meeting ended, Ferdinand received the news, and he was not surprised by the result. Frankly speaking, there is nothing wrong with the Cabinet's decision, and it does not blindly pursue political achievements while ignoring the actual situation.

But that doesn't mean Ferdinand was willing to accept the result! As a traverser, he knows the cruelty of the future war!

Looking at the performance of the Balkan countries in the First World War: Serbia, as the fuse, was directly abolished; Romania was beaten and swayed; Greece is confused about soy sauce, and its own problems have not been solved; Bulgaria is on the wrong team, no matter how good it is, it will be in vain!

Ferdinand knew very well that if he couldn't accumulate enough strength before the First World War, he would inevitably be cannon fodder at that time, and the ending would be a "miserable" word anyway!

The projects launched in 1893 will not change, and the projects that the cabinet plans to cut are all in the next three years. It was easy to stop the cabinet's decision, Ferdinand could easily veto it, but it would be troublesome to solve the deficit!

International loans?

No way!!

The strings attached alone are enough to make anyone infamous!!

So do you issue bonds?

It seems to work, but only if someone is willing to buy it!

Right!! On the issuance of bonds, it is a big deal to sell a part of it, anyway, it is all business, and the currency of this year is directly linked to gold, and there is no depreciation!! Then at least the deficit of 1894 can be solved!!

"My Prime Minister, hasn't your cabinet thought of any other way? You must know that these projects are crucial for the future development of Bulgaria!! Ferdinand said with embarrassment

Konstantin was shocked, and sure enough, it came! He said in a hurry: "Your Excellency, in addition, you can only borrow money from the international financial market!" But you know, now that the economic crisis continues, the price to pay for us to find international loans is just too great!! As a last resort, we can only cut some items that are not particularly important! ”

After listening to Constantine's explanation, Ferdinand's face did not change in the slightest, and he said calmly: "I know all these things when you say this!" But why didn't you think about domestic?? With the reputation of the government, we can accept the issuance of bonds at home and abroad, even if the interest rate is set a little higher! In that case, the price we pay is just some financial benefit!! ”

Listening to Ferdinand's words, Konstantin's eyes lit up, and then dimmed. He smiled bitterly and said, "Your Excellency, I'm afraid this is very difficult to do!" The funding gap of the 'Second Five-Year Plan' is too large, and it is difficult to sell so many bonds, even if we set the interest rate a little higher, and there is no consortium subscription, it would be good to be able to sell 10 million! ”

Ferdinand said casually: "Even so, we can solve the turnover of funds in 1894, can't we?" Later, when the time comes, I will talk about suffocation, if there is really no way, then implement the current plan to suffocate!! ”

Konstantin thought for a moment and said, "Your Excellency, these are theoretically feasible, but we also have to take into account the issue of interest!" Now we have to pay more than 12 million leva in loan interest every year, and if we add these debts, then our interest expenses alone may be as high as 30 million leva in the future, which is close to two layers of fiscal revenue!! ”

"Oh, it's two layers of revenue now, right?" Ferdinand asked rhetorically

"Yes!" Constantine

"That's easy! Don't forget that our economic growth rate is not slow, and the fiscal revenue will definitely be much higher than it is now!! Then interest is not a problem either! If you can sell it! Ferdinand said confidently

What are you kidding, when the "Second Five-Year Plan" is completed, Bulgaria's national strength will surely increase greatly, and it will not be easy to divert the crisis!!

……

Having sent Konstantin away, Ferdinand knew it was time to raise money. He already knew that the interest of the international financial market in Bulgaria was limited, and now that there was an economic crisis, everyone was busy! Not to mention the domestic, except for Ferdinand, a big buyer, the others are not worth mentioning!!

Ferdinand was still thinking about how to raise money, and the cabinet government was already preparing for the issuance of bonds. After leaving the palace, Konstantin did not delay and quickly convened an economic meeting of the Cabinet.

Konstantin didn't say anything long-winded, and said the matter directly: "Gentlemen, I called you here now, it's still the previous fiscal deficit problem!" I just went to the palace to report to the Grand Duke about the collective decision of the Cabinet, but it was not approved!

Moreover, a new idea was put forward, which is to issue bonds with the government and borrow money from the people to solve the deficit! Now it's up to us to determine if it's feasible? If so, how should bonds be issued? ”

Listening to Konstantin's words, a new window undoubtedly opened, and everyone fell into deep thought. In fact, the issuance of bonds is nothing new.

However, unlike later generations, in the 19th century, the purchasing power of ordinary people was limited, and it was the conglomerates that could really afford to buy. Bond sales can usually only be endorsed by banks and sold to all sectors of society on their behalf.

Anyway, the bank has to take a layer of money, so many times, people would rather go to the bank for a loan than issue a bond that may not be able to be sold!!

"Your Excellency Prime Minister, there is no problem in issuing bonds, but how to sell them? You must know that our funding gap is not 8 million leva, but as high as 170 million leva, and may even eventually exceed 200 million leva!! There are not many financial institutions in the world that can afford to eat, and there are not enough benefits, so I am afraid that it will be difficult to drive them? Chekov questioned

Everyone turned their expectant eyes to Konstantin, hoping that he would have a good solution.

Konstantin explained: "This problem, in my opinion, can be solved in batches!! Our funding gap does not happen all at once, and we don't need to issue so many bonds at once!

It can be gradually introduced to the market in batches, so that there will be more financial structures to undertake, and we can also pay as little as possible! ”