Chapter 503： New heights for drawing big cakes (1/2)

Outside the Palace of Versailles, Alexandrovic had no interest in visiting, apparently this trip to Paris was not smooth.

Napoleon III's release of goodwill to Russia was just for purely political needs. Demonstrations to European countries did not mean that France really wanted to win Russia.

Without the humiliation of the ”Frankfurt Peace Treaty,” the proud French could not despise Russia as a savage barbarian.

Especially after the alliance between Britain, France, Austria and Austria, France ’s diplomatic pressure no longer exists, and the world can no longer find an enemy that they take seriously, at least on the surface.

Prior to Alexandrovic's visit to Paris, the St. Petersburg government had high hopes, trying to use the French's opportunity to win Russia and obtain financial assistance.

The reality is very cruel, and the money of the usury empire is not easy to get. Bankers are shrewd, especially to the tsarist government, which has lost its credibility.

Even the 500 million francs loan promised in advance now has problems, and the French require them to use gold and silver as collateral.

Don't be surprised, Alexander II is also carrying out currency reforms, but the steps taken are very small, and now the French are paying attention to their reserves.

Since the reform of Alexander II, the development of industry, railway construction, and agricultural reform have become the government's three major strategies.

Although the plan is good, it all needs financial support. Because of the war, it caused a large outflow of gold and silver in the Russian Empire, resulting in a serious shortage of its own capital.

The tsarist government came up with the idea of ​​attracting foreign investment. Regrettably, European banks refused to provide them with loans, and even invested very cautiously.

Alexander II's reforms are better than in history, and there is a ready-made example to learn from next door. Any other problem can be solved, only money can't be learned.

Austria has developed to this point, and has issued bonds to the outside several times, raising hundreds of millions of SHIELD funds. Until now, the Vienna government has repaid tens of millions of SHIELD debts every year.

Because of credibility, the tsarist government could not borrow at all. Even if the right of way or the mortgage of taxation has no effect, the tsarist government says that it depends on the account.

Under the debt crisis that year, Alexander II had to declare a debt default, and now the aftermath of the outbreak.

This is not to say that Alexander II's decision was wrong. If the account is not bad, the finances will be overwhelmed by external debt, and the situation will only be worse.

To put it plainly, even if it is not bad, they can't borrow much money. Bankers are too savvy to even lend money to those who have no ability to repay.

Originally, the French borrowed money from the Russians, and they were forced to do nothing. The pressure on national defense is too great, and we must draw allies to share the pressure.

In the end of the 19th century, France suddenly lost its comprehensive national strength, for this reason. The government borrowed a large amount of money, and the domestic development funds were reduced.

Don't worry about it now, the French will definitely not support them. Even with usury, the French will only lend money to those who have the ability to repay.

For example, Austria is now owed a French debt. The development of both the homeland and the colony is definitely not enough based on the fiscal revenue of the Vienna government.

The accumulation of Austrian private capital is not rich enough. In this context, Franz naturally borrowed foreign debt. Of course, it is not simply international loans. Most debts are in the form of bonds.

Most of the bonds are raised in the name of projects, and not all of the debts are from the Vienna government.

It's almost like Americans borrowing money to build railways, mortgage the railways to British banks, and use the borrowed money to build railways.

In the event of an economic crisis and the railway company went bankrupt, the British bank was locked up.

The same is true of many projects in Austria, which owed a large amount of debt to banks and issued a bunch of bonds to the private sector. The government invested only startup funds.

Anyway, these projects are standard commercial operations. In case of an accident, the big deal is that a company goes bankrupt.

Economic convergence is also an important factor in the alliance between Britain, France and Austria. From a global perspective, whenever an economic crisis occurs in Britain and France, Austria will be implicated, and vice versa.

To get rid of this situation is actually very simple, just one word-wait. After the accumulation of domestic private capital is completed, there is no need to go outside to borrow money.

Everyone also needs what they need. One side needs excess capital to export, and the other side needs a lack of funds. The two sides are just cooperating.

This is how the Americans in the original time and space developed. Without the World War, they would not turn around so quickly, and they would change from debtor countries to creditor countries.

Of course, debtor and creditor countries are not absolute. The domestic banks of foreign companies have also gone abroad for development, and they are also issuing loans.

Even if the Russian Empire lacks capital, there are also banks exporting capital overseas. These are normal economic activities, mainly for the benefit.

Having figured out the French's position, Alexandrovich did not continue to struggle. After visiting French industry, he sailed directly to London.

This time he relaxed, the Tsarist government had no illusions about getting a loan from the British. This situation is unlikely to happen unless British bankers get their heads in the water.

You can't expect the London government to help guarantee it? The two sides are enemies. Even if the Russian Empire is declining, the British rivals are already behind, and the hatred accumulated in the early stage is not so easy to resolve.

Moreover, Prussia and Poland are the younger brothers of the British, even if they are not to chill the people.

...

The Russian diplomatic actions still attracted the attention of the Kingdom of Prussia. Even without Bismarck, William I dominated the kingdom of Prussia.

After a series of political struggles, the Junker nobles who were united because of the war for a short time are now divided.

For example: industrial Junker, financial Junker, combat Junker, court Junker, House Junker and rural Junker.

The men were no longer monolithic, and the king's rights were naturally consolidated. Prussian politics began to return to normalization, and the military was still very powerful, but it was no longer a monopoly.

A new balance of power was formed internally, and William I set his sights on continental Europe. As an enemy, he knew everything about the Russians.