Chapter 652 Continuation of the Struggle for Hegemony

In the living room of the British Foreign Office, the atmosphere was extraordinarily strange. One party in the negotiation was very nervous, but had to smile; the other party was obviously not interested, but pretended to listen carefully.

This bizarre scene was the scene of negotiations between the UK and Prussia. From the moment the negotiation started, the two sides were in an unequal position.

It’s almost like an ordinary person who has no money in his pocket and is hungry and has to borrow money to eat. To borrow money, that's...

British Foreign Secretary Edward waved his hand: "I'm sorry, Your Excellency. I can't do anything about this matter. Loans are the business of banks, and you should talk to the bankers."

Just relying on attitude, obviously can't borrow money. Without enough interest, how could John Bull possibly pay for it?

Federal Foreign Secretary Friedman: "Sir, we have communicated with the bank and need your government to provide endorsement. Please rest assured, this time we are very, very sincere.

Interest can be increased by 30% on the basis of the international average interest rate, and we can also use fiscal revenue, colonies, railways, mines, and ports as collateral. "

Although international loans are lucrative, there are also huge risks. Without the government's "endorsement", whoever dares to make international loans is a fool.

With government "endorsement", once a debt default occurs, the government will step in to collect payments. Although there is no guarantee that it will be recovered, it also increases the cost of the other party's breach of contract.

If there is no government "endorsement", then go for the account yourself! There are many similar lessons learned, for example: the previous tsarist government defaulted on its debts.

There are debts "endorsed" by governments of various countries, which are finally settled through negotiation and can be recovered to some extent. Debts that were not "endorsed" by the government were simply wiped out.

The outcome of the Russian-Prussian War is unpredictable. Whether there will be a Commonwealth of Prussia after the war is unknown. Without the endorsement of the London government, the bankers would naturally dare not take this business, no matter how high the interest rate is.

These days, the government's supervision of the financial market is almost lax, but without government support, it is impossible to raise hundreds of millions of pounds from the financial market.

British Foreign Secretary Edward shook his head: "Your Excellency, I feel your sincerity, but it doesn't work.

Everyone knows how destructive the war is. Now the Russo-Prussian war is on the verge of breaking out, and the debt can only be fulfilled if your country wins.

This is only possible. The Russian Empire is not so easy to deal with. Even if your country can defeat them again, it will pay a big price. What will your country use to repay these debts after the war?

War reparations?

With all due respect, the war would not end if the Tsarist government had money.

The spoils that your country can obtain are nothing more than land, population, and factories. These things are indeed precious, but unfortunately they cannot be realized.

Even because of the war, your country has to invest a lot of money in reconstruction. It will be a financial burden for a long time to come.

This is still the best state. It will be even worse if the war gets into a frenzy and turns into a protracted confrontation.

If one day your country is really unable to perform the contract, should you let everyone live with these collaterals?

You should be clear, Your Excellency, that the collateral your country puts out has no real effect on the banker. "

Edward's words have been very restrained, and he did not mention the issue of the defeat of the Pope Federation, but in reality, it must be considered.

If you win the war, you cannot guarantee the normal performance of debts, but if you lose the war, you can still pay.

Friedman still has confidence in this war. However, his confidence does not mean that the British are also confident.

Whether they admit it or not, the comprehensive national strength of the Russians is above the Commonwealth.

They were able to win the last war because all the European countries wanted the Russians to lose, and the Tsarist government really invested in fighting them, at most, half of it.

Today is different from the past. The weakened Russian Empire is not so feared by everyone. If you want countries to contribute money and help them, you must speak with interests.

After hesitating for a moment, Friedman asked directly, "Sir, what does your country want?"

The Commonwealth of Pubo now has no confidence in negotiating conditions. Rather than wasting time in negotiations, it is better to directly showdown. Anyway, as long as the British are willing to pay, everything can be negotiated.

British Foreign Secretary Edward waved his hand: "Your Excellency the Earl has misunderstood. We don't want anything. You have to believe that the friendship between our two countries can stand the test, but the bankers need a guarantee.

If your country can deposit the reserves in the Bank of England as a guarantee, everyone's confidence in you will be greatly improved, and your country can get at least 60 million pounds of loans. "

Friedman's face instantly turned ugly. The loan of 60 million pounds sounded very tempting. In fact, the reserves of the currency issued by the Commonwealth of the Commonwealth now have 478.6 tons of gold.

Of course, due to the relationship of international settlements, the Commonwealth of Population still has to keep a part of the gold, and the gold that can be deposited in the Bank of England is worth about 60 million pounds.

It's not just about gold, it's also about currency issuance. Once gold fell into British hands, it was difficult to get it back.

The reserves are in the hands of the British, and the future currency issuance of the Commonwealth of Poetry will have to be influenced by the London government. Similar to the Fed in later generations, it can influence the world economy through monetary policy.

It's no surprise that the Americans themselves learned from the British. nothing more than

It is because the United States is more powerful and its hegemony is much more stable than that of Britain.

Due to Franz's butterfly effect, the SHIELD force was killed, and the pound could not exclusively enjoy currency hegemony. In this context, it is not surprising that the British are eyeing the Commonwealth of Pubo.

For the Berlin government, depositing gold in the Bank of England was not only a simple loss of monetary autonomy, but also a political stand-up.

Choosing to support the British will naturally offend France and Austria. No, it should be said to have offended Austria.

Because of the lack of gold reserves, in this round of currency hegemony, the franc has been the first to go out.

Without hesitation, Friedman gave the answer: "The loan of 60 million pounds is too little, and the value of the gold in our hands is no less than this amount. Not to mention the additional political and economic value.

Once gold is deposited in the Bank of England, we are bound to offend the Austrians. In the following Russian-Prussian War, Austria's voice was the heaviest.

Not long ago, the Vienna government made a similar request, and the conditions they gave were much more generous. "

Whether the Vienna government has made a request, as a competitor, the British have no way to verify it. Even if it is not, the Berlin government is willing to send it to the door, and the Vienna government will not refuse.

Edward smiled slightly, not surprised that Friedman raised the price under the guise of Austria, which is common in diplomacy.

However, William I placed the first stop of his visit in London, which meant that the Berlin government was more inclined to cooperate with them.

He said tentatively: "Your Excellency Count, this issue can be discussed slowly, we will not let our friends suffer.

As for the Vienna government's higher bid, it would only be necessary for them to deliver on their promises. Although the Russian-Austrian alliance has ended, the Russian-Austrian relationship has not yet broken down.

In the last three decades, the economies of Russia and Austria have been tied together. Even if the Vienna government is willing to abandon the tsarist government, it cannot be done in a short time.

No matter what choice your country makes, it is impossible for Austria to cut itself off from the Russians for your country's sake. This is determined by interests. "

Friedman nodded. This is an indisputable fact. Economically, Russia and Austria are indeed standing together. The Russian-Austrian alliance would not have been dissolved if both countries had not had ambitions for hegemony.

The Berlin government would rather choose the British with a worse reputation to cooperate, rather than seek help from Austria, which comes from the same source, because of the deep fear of Russia-Austria relations.

After a pause, Edward continued: "If your country wants to win this war, you need more supporters. As friends, we are happy to help your country."

Edward said this with confidence. Although Britain has a bad reputation in Europe, its diplomatic influence is still huge.

Not to mention small countries, the most important thing is the impact on France. Since the restoration of Napoleon III, the Paris government has been filled with a large number of Anglophiles.

If the British government is willing to go out and get these people, it will be much easier for the Commonwealth to seek the support of the French.

Friedman was tempted, not because he had shallow eyelids, but because there were too few chips in the hands of the Popo Federation.

The so-called colony is just a small piece of the Indo-China Peninsula. The Berlin government does not manage it very much, so it is not worth much at all.

The so-called "financial revenue" is a joke. In the past ten years, except for the year when the land was sold, when have there been any balances?

Even if it is taken out as a mortgage, the government must be maintained, or else the bankers will collect taxes themselves?

Railways, mines, and ports can only be heard. Most of these industries are private, and only a very small number truly belong to the Berlin government.

Private property is sacred and inviolable, and the government has no right to dispose of it. What the Berlin government can mortgage are all assets belonging to the government.

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