Having no money was always the most agonizing thing, especially when a huge crowd depended on it to eat. Resolving the fiscal crisis had become urgent.
Saint Petersburg, Winter Palace
The newly appointed Finance Minister Yevgenkis reported with a mournful face, "Your Majesty, this is the expenditure report for the past month. If we do not take action, we will go bankrupt in three months at most."
Fiscal bankruptcy was not the first time it had happened to the Tsarist Government. Under normal circumstances, bankruptcy was simply bankruptcy; at worst, they could declare that they would default.
The problem now was that the newly organized land reclamation campaign could not be halted. Otherwise, those tens of millions of people would go hungry. Not only would the reforms be ruined, but even the Tsarist Empire might collapse because of it.
After taking the report and giving it a cursory glance, Alexander II tossed it aside and rose to pace the room.
Plans could never keep up with changes. The number of people actually taking part in the reclamation effort far exceeded the Tsarist Government's estimates. Many hands made light work, but they also made for heavy expenses.
After hesitating for a long while, Alexander II finally asked, "If we suspend payments on our international debts from now on, can we weather this crisis?"
Defaulting was hardly an ideal choice, but the Tsarist Government truly had no money left. Whether continuing to seek international loans or issuing bonds, the Tsarist Government had tried everything.
No one was willing to lend money to a pauper. Even if Russia could offer collateral, everyone feared it would be unable to honor its promises.
Because of the war, they had lost part of Eastern Europe's fertile soil, and the Tsarist Government's fiscal revenue had shrunk drastically