Mediterranean Hegemony Road

After a pause, when no one spoke, Constantine asked by name, "Mr. Kennedy, you are an expert in the financial field. How do you view this issue?"

"Your Excellency Prime Minister, with all due respect, even so, we can't do it!! The international reputation of the Bulgarian government is not enough to be trusted, unless a consortium is willing to take over! Otherwise, it is the limit to be able to sell 20 to 30 million! ' said the Chancellor of the Exchequer Kennedy.

No one refuted his judgment. In this era, the issuance of bonds by the United Kingdom and the United States must be supported by a consortium, otherwise it will not be sold! Ordinary people do not have much money at all, and there is no way to talk about purchasing power! !

"Then what about raising the interest rate?" Constantine asked reluctantly.

Kennedy thought for a while and said: "According to my personal preliminary estimate, if the annual interest rate is 7%, it will probably be able to sell 20 to 30 million; the annual interest rate is 8%, and it will probably be able to sell around 40 million; the annual interest rate is 9%, about 50 million. About 10 million; with an annual interest rate of 10%, about 65 million can be sold; with an annual interest rate of 11%, about 90 million can be sold..."

Constantine suddenly interrupted him and said, "Mr. Kennedy is fine, I don't need to talk about it later, presumably even if we know, we can't pay the interest! Let's just say, what is the highest interest rate we can bear! "

"The interest rate of 10.5%, coupled with the current international bond issuance fee rate of not less than 2.5%, the interest rate we bear has actually exceeded 13%! Once this line is exceeded, then the issuance of bonds It's not worth the loss!!" Kennedy said without hesitation.

"This is almost twice the loan interest!" Chekov exclaimed

"The account can't be calculated like this! The interest on the loan is indeed lower on the surface, but what about the additional conditions? If you take a comprehensive long-term view, the payment price of an international loan is actually higher!" Kennedy explained.

...

After some research, the cabinet decided to issue bonds. Although the interest rate is a little higher, it does not involve sovereignty! ! As long as the country completes its industrialization, then the fiscal revenue will definitely increase substantially, and it will slowly hold back. !

Issuing treasury bonds is not an easy job. Although the treasury bonds of later generations will be rushing to buy, the people of this age are poor! ! No matter what the interest is, you have to have money to buy it!

Treasury Secretary Kennedy, now in a dilemma. Although the government has decided to issue treasury bonds, the specific amount and high interest rate are all for the Ministry of Finance to calculate and demonstrate before reporting!

"Mr. Minister, all the staff are in place, you can start at any time!" the secretary reminded

Kennedy still has integrity. In order to get a reasonable number as accurately as possible, he invited all Bulgarian mathematicians and financiers to participate in the calculation together!

After listening to the secretary's reminder, Kennedy stood up and said, "Then let's go, don't make everyone wait!"

In the living room, experts and scholars gathered in twos and threes and whispered.

"My friend Stout, do you know that the Ministry of Finance invited everyone here today, what's the matter?" Ren-Holman asked suspiciously.

"Lei, aren't you kidding me? I'm doing math research, you're doing economics, or are you a consultant to the Ministry of Finance? You don't even know, how could I possibly know!" Stout glared at him One glance, dissatisfied said

"Damn, I'll just ask! You know that under normal circumstances, the Ministry of Finance has nothing to do with you, but I asked you to come over suddenly this time. I thought you knew?" Rehn Holman said gloomily.

...

Kennedy's arrival interrupted everyone's communication, and the scene suddenly became quiet.

"Gentlemen, good afternoon! It's a pleasure to meet you here. Your time is precious, so I'll make a long story short! The reason why I invited you to come here today is for the issuance of national debt, and the secretary will send you the information! You can browse it first. a bit,

But the content must be kept secret! "Kennedy said cautiously.

After taking over the file, everyone carefully browsed it, and the more the content was read, the more shocking it became! After a while, seeing that everyone had finished reading, Kennedy said earnestly:

"Everyone understands the preliminary situation, and the next work is up to everyone!! But please note that this matter must be kept secret. Once it is leaked, the consequences will be disastrous!"

Everyone nodded in unison, and everyone who sat down was subsidized by the government. At the end of the 19th century, these theoretical studies were done for public welfare, but there was not much other income! Especially in a small country like Bulgaria, it is difficult to be a consultant to a company, and it is difficult to write a presence in the newspapers. Everyone is more interested in industry than theory! !

Inviting experts to participate is not enough. Kennedy is very clear that the opinions of these experts and scholars can only be used for reference.

Ferdinand was not very interested in the interest rate calculated by the Ministry of Finance, he knew that it would not be too low anyway! How can unsecured borrowing be cheap when the international interest rates of this era are there?

For the gold standard, Ferdinand is still very troubled, and gold reserves are not easy to handle! If possible, Ferdinand really doesn't mind changing to the credit standard, of course, this can only be thought! In the current situation, whoever issues credit currency, it is estimated that inflation can compete with Zimbabwe!

The Balkans have been a major gold producing region in Europe, with mining going back to prehistoric - ancient times. How much gold reserves in Bulgaria, Ferdinand has not remembered, anyway, in the 21st century, still exporting gold to China.

Anyway, at the end of the 19th century, the Bulgarian economy was so large in history. In order to make up for the deficit in foreign trade, gold has always been in a state of outflow.

Ferdinand, who is short of money, is now targeting gold mines. You must know that the assets of the Austro-Hungarian Bank in Bulgaria were acquired before, including minerals in many areas. However, due to the short time to start, there is no time to large-scale mining.

Gold mining technology, Ferdinand is not lacking, after all, United Mining Co., Ltd. has been operating for several years, and the technical equipment is the most advanced in the world!

Oh, the mining industry in this era does not have much technical content, the internal combustion engine has not yet become popular, and there are not many machines that can be used, and most of them rely on manpower. Mining is not a good job, labor-intensive and dangerous.

Ferdinand estimated that there was no large-scale mining in the Austro-Hungarian Bank before, and not enough workers was also a reason! After all, mining is a high-risk job, but Bulgaria has a limited population, and a few miners will be recruited to do it!

"Carl, have you figured out all the gold mines under Royal Bank?"