The homeland cannot be sold, but as for the colonies, negotiations are still possible. Although the Russian government appears to be managed domestically, many regions actually function as colonies. A specific example is the tax farming system. Even after Alexander II reformed the tax system, many areas of the Russian Empire continued to use tax farming. It was not that the Russian government was unaware of its drawbacks, but the empire was simply too vast. Tax revenue from many remote regions was not even enough to pay the salaries of tax officials. To prevent an already struggling treasury from collapsing, the Russian government had no choice but to sell tax collection rights to capitalists. In some cases, to further cut costs, administrative authority in certain regions was directly delegated to local nobles. Of course, these were wartime measures with time limits. If the financial situation improved, the Russian government would reclaim these powers once the term expired. Alexander III said nonchalantly, “Let’s negotiate first. No matter what plans the Austrians have, we just need to focus on our own preparations. This time, we must learn from our mistakes. We have to survey the local resources in advance so that we can negotiate prices with the Austrians. We cannot let them take advantage of us again.” The Russian government was not lacking in territory, and Alexander III was one of the most peace-minded tsars, with arguably the lowest territorial ambitions of any Russian ruler. If Austria had not forcefully pushed the issue, he would not have initiated a Russo-Turkish War at this time. Newly occupied territories cannot generate wealth in the short term. On the contrary, they require a large amount of administrative funding, and for a long time, they will operate at a financial deficit. For the Russian government, which is already struggling financially, expanding territory now would only add to the burden. As long as the price is right, granting a portion of the spoils for the Armenians to establish an independent state would not be a problem. Foreign Minister Nikolay Girs said, “Your Majesty, we just received a message from the embassy in Vienna. An epidemic has broken out in the Anatolian Peninsula. It is highly contagious and suspected to be the Black Death. Several medical experts believe that the area is no longer suitable for human habitation. To minimize casualties, the Austrian government has activated the Emergency Evacuation Act and is preparing to relocate the population from the newly occupied territories. They intend to outsource this operation and are offering substantial resettlement payments. Depending on the distance traveled, the compensation ranges from 15 to 40 guilders per person. As long as these people are taken away from Austria and resettled elsewhere, a subsidy of at least 15 guilders per person can be obtained. If our government is facing financial difficulties, perhaps we could consider…” There was indeed an epidemic, but it was neither a large-scale plague nor the Black Death. Otherwise, Austria would not be taking action only at this moment. Capitalists may be greedy, but they value their lives even more. Human trafficking may be highly profitable, but it also comes with great risks. The mortality rate during ocean voyages was already high. If an epidemic was added to the mix, entire ships could be wiped out at any moment. Even if the passengers were not completely lost, if most of them died along the way, how would there be anyone left to collect money from? Disguising it as a resettlement effort was ultimately about maintaining a good reputation. If the people were going to die en route, they might as well just hire butchers instead. Why spend such a fortune? Alexander III furrowed his brows. Deep down, he found this kind of business repulsive. The Russian Empire was, after all, one of the world’s four great powers. How could it degrade itself to the level of human trafficking? However, reality was harsh. Seeing the eager expressions on the faces of those around him, Alexander III knew that they were hoping to earn a profit to supplement the treasury. After all, the price Austria was offering was too tempting. Even at the lowest rate of 15 guilders per person, relocating a million people would bring in 15 million guilders. The purchasing power of the Guilder was not insignificant. At current prices in Russia, 15 guilders could buy three tons of rye or five tons of potatoes. The actual price was likely even higher. Alexander III knew Franz’s ways very well. That man was more than willing to spend lavishly for the sake of a good reputation. Calming himself, Alexander III voiced his doubt: “Do you know why the Austrians want to relocate these people?” There was no way he could believe that they would go to such great lengths and pay such a high price just to free up space. Nikolay Girs shook his head. “We still don’t know the exact reason. There are rumors that oil has been discovered in the Mesopotamian Basin. However, that explanation is not entirely convincing. Austria’s demand for oil has been rising rapidly in recent years, but oil is not a rare resource. Their annual imports amount to only a few hundred thousand guilders. Spending tens of millions, or even over a hundred million guilders just to save a few hundred thousand in import costs does not make sense. Besides, extracting oil only requires securing the oil fields. There is no need for such an overblown operation. Another theory is that the Austrian government intends to build a railway connecting to Baghdad in preparation for expanding into Persia. They fear that the Ottomans might try to sabotage it. Even that explanation is not entirely convincing. As a colonial empire, Austria is hardly known for its kindness. If the Ottomans remain obedient, that would be one thing. But if they dare to cause trouble, the Austrian government would have no hesitation in responding with bloodshed. The war has already inflicted heavy casualties on the Ottoman territories. After the war, less than one-tenth of the young and able-bodied men would remain. As long as some nobles are sent to govern the region, ruling it should not be difficult.” Although “granting noble fiefs” was a primitive method, it was still one of the most effective. Austria, known as a stronghold of conservatism, continued to apply this practice widely in its colonies. Even the Russian government adopted this policy after reclaiming Poland, and in the short term, it had proven to be quite effective. Truth and false information blending together are the most confusing. Alexander III reluctantly realized that he was getting dizzy from it all. The costs and benefits were clearly out of proportion. He would rather believe that the Austrian government had lost its mind and made a foolish decision than accept either of these “rumors” as true. After a moment of contemplation, Alexander III slowly said, “Use our resources to investigate. It would be unsettling not to uncover the Austrians’ true intentions.” “Yes, Your Majesty!” replied Foreign Minister Nikolay Girs. The eager Finance Minister, Alisher Gulov, could not help but speak up. “Your Majesty, if the Austrians have no ulterior motives, should we consider selling part of the newly occupied territories to them?” Seeing that Alexander III did not respond immediately, Alisher Gulov continued, “According to the prewar agreement, we are set to gain half of the Anatolian Peninsula and parts of the Greater Caucasus after the war. Due to the war, these areas have been largely abandoned and will require central government funding for at least the next decade. The only region of real value to us is the western plain near Constantinople. The rest could be sold off. If the deal goes through, we would not only gain revenue from the land sale but also receive payments for resettling the population. In theory, we could secure hundreds of millions of guilders in cash. Even if the Austrian government insists on using debt to offset part of the payment, we would still be able to significantly reduce our liabilities and ease the government’s financial burden.” It was not that Alisher Gulov wanted to sell land. The main issue was that the Ministry of Finance was truly broke. If Austria had not agreed to defer debt payments after the economic crisis, the Russian government would already be bankrupt. Under such circumstances, taking on more financial burdens would be like walking straight into the abyss. If Russia defaulted on its debts, the Austrians would seize collateral according to the terms of the contract, and it would not just be these worthless lands in Anatolia that they would take. Seeing Alexander III hesitate, Minister of War Pyotr Vannovsky quickly objected, “Absolutely not! The Russian Empire may be vast, but not a single inch of its land is expendable. If we sell Anatolia today because of financial troubles, tomorrow we might sell the Balkans, and the day after that, Ukraine. What next? Are we going to sell the Holy Land too?” Staring at the Minister of War’s righteous expression, Alisher Gulov was furious. This man was practically branding him a traitor. He snapped back, “Nonsense! Who said anything about selling the Holy Land? Pyotr, do not slander me here! Anatolia belongs to the Ottomans. I am proposing to sell enemy territory. What is wrong with that?” Selling one’s own land and selling the land of an enemy were entirely different matters, especially when the land in question belonged to a defeated foe. Pyotr Vannovsky scoffed, “Anywhere the Russian army marches is Russian land.” Unwilling to back down, Gulov retorted, “Fine. Then go ahead and cling to Anatolia, but do not come asking me for money when it is time to pay war pensions.” Money always holds the greatest power. With war pensions as leverage, Pyotr Vannovsky had no choice but to take the matter seriously. Though inwardly uncertain, he remained defiant and said firmly, “If you dare withhold the pensions, I will bring my men to block the entrance of the Ministry of Finance every single day…” Before he could finish, Alexander III interrupted, “Enough. Both of you, be quiet. This is not the place for your arguments. If you want to fight, do it at home. You are here to discuss matters of state. Whether or not to sell Anatolia is a complex issue that requires careful consideration. It cannot be decided based on personal opinions alone.” Although he did not state it outright, it was clear to everyone that the tsar was leaning toward selling Anatolia. After all, this was an opportunity to secure two major sources of revenue, and once it passed, there was no guarantee they would ever get such a good price again. Even the strongest warriors can be brought down by a lack of money, let alone a government facing a financial shortfall of several billion gold rubles. Industrialization could not move forward without financial support. At the very least, basic infrastructure had to be in place. Unfortunately, the losses from the Russo-Prussian War had been devastating, leaving behind a mess that the government had to clean up. The enormous debt, in particular, was suffocating the Russian administration. To make matters worse, defaulting was not an option. The creditors this time were not to be trifled with. The Nordic Federation and Austria, positioned to the north and south, were working together to collect the debt, leaving Russia no room to escape its obligations.
* * *
https://postimg.cc/gallery/PwXsBkC (Maps of the current territories of the countries in this novel made by ScH)
[Previous | Table of Contents | Next]
Comments
Post a Comment