Target: Liquidity
Of course, due to the need for confidentiality, Rosily's remarks did not involve specific tactics, but that's enough for now.
Joseph arranged for him to present the navy's strength at the all-army operational conference primarily to boost morale and ensure the full implementation of his strategy.
Sometimes, it takes even more confidence to hold a sharp blade in your hand without stabbing it.
His biggest worry now is that the army might act impulsively and seek a decisive battle with the Austrian Army.
After finalizing the overall strategic direction, Joseph handed over the specific Ministry of War tasks to the officers of the General Staff Headquarters and then left the Conference Hall.
Such an important operational conference concerning the entire Europe landscape certainly wouldn't end in just a day or two, but Joseph's focus wasn't on this, and professional operational planning wasn't his forte.
He intends to personally oversee another core "battlefield," namely, guiding international public opinion and trends of thought.
His true "weapon" for defeating the enemy was to closely integrate economic, military, and public opinion strategies!
In fact, this morning, senior executives from the Paris News Agency, the French Cultural Propaganda Association, and several major Newspaper Office were notified that they would be attending a very important meeting at the Versailles Palace in two days.
Before that, Joseph had another important task: taking his son to the amusement park. It was almost noon, and the little guy was probably already eagerly anticipating it.
Netherlands.
Amsterdam.
France Trade Department Bayei Carriage, frowning as he rubbed his slightly sore lower back.
Having grown accustomed to the comfort of France asphalt roads and Rubber Tire over the years, he felt as if he had endured torture today, having driven for more than 40 minutes on a gravel road.
He looked up at the ancient stone archway of the Bank of Amsterdam, and thinking about the interest rate of the loan agreement he was to sign today, he couldn't help but take a deep breath to relax.
His mind immediately conjured up the Regent's astonishing plan, and his breathing quickened.
France spent over 8 million Franc on interest alone for this project, barring any unforeseen circumstances.
If the United Kingdom economy stubbornly remains intact, France will have to spend nearly 5 million Franc more each year.
His concern stemmed not only from the potential for huge interest losses, but also from the possibility that the plan would implicate France Insurance Company. The core of the plan was to cripple Prussia's economy, and most of Prussia's factories were insured by France Insurance Company Insurance Company, which in France were linked to several major banks and even the Industrial Development Fund.
In other words, while the Regent was launching a financial attack, France's own economy would also suffer a severe blow.
Although the Regent had hinted to him that the Insurance Company company wouldn't cause any problems, he couldn't think of any other possibility besides the Insurance Company forcibly defaulting on its contract.
Such a large default would also devastate the entire France insurance industry, and would ultimately impact banks and the national economy.
Even more serious in the long run would be the collapse of national credibility, with incalculable negative impacts on France's trade and finance.
Bayei's face showed a resolute expression, as if he were walking to his execution.
Yes, he has decided that if the worst happens, he will take full responsibility and will never say that it was the Regent's arrangement.
Even if it means being condemned by the entire nation, he will protect the future of France – His Regent.
It wasn't until the rousing music around him that Bayei's thoughts were pulled back to reality.
Behind him, officials from the signing delegation gathered around, Bayei quickly put on a polite smile.
Then dozens of senior executives and key directors of Dutch Bank came forward to bow to him and escorted the France toward the bank's office building, which was already heavily guarded.
It's no wonder they made such a grand gesture; after all, this France delegation was about to sign a massive loan agreement totaling 17 million Franc.
More importantly, the loan interest rate is as high as 6.5%!
This isn't some government mired in financial crisis; it's France with one of the highest solvency rates in Europe!
And this was during peacetime.
Recently, inter-country lending rates have typically been around 4%, with major countries like the UK and France often lowering them by a few tenths of a percentage point.
The French Government was clearly in dire need of funds, and the bank's negotiators seized on this, pushing interest rates firmly to the France people's bottom line.
With such a large loan disbursed, the bank's profits for several years are guaranteed.
Since the loan terms had been agreed upon beforehand, Bayei quickly signed the agreement, followed by the usual reception banquet.
As required by the agreement, the Bank of Amsterdam will transfer 1.36 million Dutch Guilder worth of Gold Coin, equivalent to 17 million Swiss Franc, to the Paris Trade Bank in installments over three months.
The following day at noon, Bayei received a message from his assistant.
The French Ministry of Transport also successfully obtained a loan of 11 million francs from Van Rancho Bank in the Netherlands.
Of course, the Ministry of Transport was merely acting on behalf of Bayei. To persuade a private bank like Van Lanschot Bank to lend money, the Ministry of Transport's railway and bridge projects were clearly more convincing.
The interest rate offered by the Ministry of Transport is slightly lower, but it's still 6.1%.
By this point, Bayei had essentially drained the liquidity of Amsterdam's major banks. Although he had only borrowed from two banks, such a large sum of money was actually borrowed from banks throughout Amsterdam.
The 28 million Franc may seem like only about 30% of the lending volume of major banks in Amsterdam, but these banks have a large number of long-term clients, and the bulk of the loans have already been taken out. They don't have much readily available liquid capital.
Just as Bayei was setting off back to France, Rochefoucauld was in Frankfurt on the Main River of the Main River, trying to secure a very important loan.
Simon Mori von Bethmann, the manager of Bethmann Bank, looked at the portly businessman in front of him with an apologetic expression and said in French, "As you know, our bank usually only deals with government bonds. Although your factory has a very promising future, lending to private companies is not our main business."
Rochefoucauld reluctantly put away the farm implement factory documents on the table, and pulled out his last trump card. "If we raise the interest rate a little, say 7%..."
Bethmann was clearly tempted. After thinking for a moment, he said, "How about this? I can provide you with commercial Bill of Exchange worth 600,000 Franc, which will solve your problem as well. The discount rate will be 7%, as you said."
Rochefoucauld firmly shook his head. "No, what I need is a loan. You see, my expenses include wages for workers and payments to many small vendors who don't even use bank accounts."
Commercial Bill of Exchange are somewhat similar to credit cards in later times. When the drawee wants to buy goods but cannot come up with cash, the accepting bank will advance the funds for him, deducting the discount rate.
The issuer then repays the money to the bank at the agreed time.
Bethmann tentatively suggested, "You could use commercial Bill of Exchange to pay for the raw materials, and use the cash to pay the workers."
Rochefoucauld firmly stated, "I can only accept a maximum interest rate of 7.1%, but it must be a loan. If that's difficult for you, I'll have to try my luck at Metzler Bank."
He insisted on taking out a loan because last month the France Ministry of Industry suddenly announced an interest subsidy policy to promote the development of important industries.
Large factories like his can receive a 35% interest subsidy from the government when taking out loans.
This is also why he decided to mortgage his company shares to obtain a loan of 600,000 Franc to build a branch factory in Mainz.
However, the France Ministry of Industry's requirements were somewhat strange: the loans had to be obtained from banks in northern Germany, such as Frankfurt, Gotha, and Dresden.