Chapter 1029: Fat meat delivered to your door (second update, please subscribe)
The world has always been unpredictable. There is no eternity in the world. Yesterday’s top power can become a secondary power. It may even decline all the way until it disappears. Like Portugal, like Spain... In history, the rise and fall of countries seems inevitable.
But what is certain is that no power is willing to become a secondary power, and no country will ignore its own decline without making any efforts.
At this moment, Macmillan was working hard for the British Empire. After the British Overseas Airways C717 White Swan landed, he looked at the airport in front of him, which was obviously more modern than the London Airport. His I couldn't help but let out a long sigh.
“When did the British Empire need to ask Asian countries for help?”
While he was thinking this, the news reporter had already recorded a classic picture with a camera - Macmillan and the C717 behind him formed an excellent picture.
The second-in-command of the British Empire and a modern jetliner made in Nanyang. They appear in the same frame at the same time, seeming to represent the past and the present.
No one thought that this photo would become a symbol of an era and also the beginning of an era.
At this time, Macmillan couldn't care so much. After all, the United States was using financial means to suppress Britain, and Britain needed Nanyang's help!
When Egypt announced that it would take back the Suez Canal, Macmillan was the earliest militant. He advocated using force to solve the canal problem. However, at that time, he believed that the United States would side with Britain. When he presented a report on the Suez War and the post-war economic situation at a cabinet meeting a few months ago, he pointed out his concerns about the pound, arguing that "as long as the United States remains firmly on our side on the main issues, There will be no sterling sell-off”
However, the United States is not firm.
In other words, he and Downing Street overestimated their relationship with the United States, and the United States had no intention of protecting British interests. Compared with Britain, the United States was more worried that the Arab world would fall to the Russian camp and threaten its interests in the Middle East, so the United States "changed sides." Originally, the United Kingdom originally expected the United States to at least remain neutral, but it did not expect that the United States' attitude would take a U-shape. In reverse, in order to stop Britain, the United States even used the "monetary weapon" that Macmillan was most worried about.
While selling off the pound, the United States even issued an ultimatum to Macmillan: "Britain must either cease fire immediately or fight a war relying on the pound..."
Faced with such blackmail, Nanyang It became the last choice.
That is to say, an attack on the pound. Faced with this kind of betrayal by the United States, and even a counterattack, now the United Kingdom can only seek help from Nanyang!
Nanyang is the last life-saving straw for Britain. If Nanyang refuses...
"Then the only choice is to compromise with the United States!"
Closing his eyes, Macmillan frowned. Yi Tuan'er, as an imperialist, he doesn't think there is any shame in asking for help from Nanyang. The most important thing is interests!
The question is, what is Nanyang’s asking price?
This is the problem we need to face next!
Just an hour or two later, Macmillan and his party just took a short break and the negotiations began.
“I think everyone should have understood the current situation. Since the coalition forces took special military operations against Egypt in order to maintain international commercial rules, in order to prevent the United Kingdom from continuing to attack, the United States directly intervened through economic means. The U.S. government The deliberate selling of the pound not only led to a sharp decrease in the UK's foreign exchange reserves, but also caused the pound exchange rate to float and depreciate by 15%, and at the same time rejected the UK's loan application to the International Monetary Fund..."
When referring to the actions of the United States, MacMillan said angrily.
“The behavior of the United States is an unforgivable betrayal of the purpose and spirit of the International Monetary Fund. After all, what it blocked was the UK’s US$1.3 billion credit line in this organization! The real problem we face now is ——Either succumb to the United States and become a slave of the United States, or obtain external funds to tide over the current crisis. Mr. General, due to the special relationship between Britain and Nanyang, London hopes to obtain a lot of money from Nanyang. An emergency loan of US$500 million to stabilize the exchange rate of the pound ”
No hiding, no beating around the bush, just a straight-forward request, as a rescue effort is like putting out a fire. Now the UK is in urgent need of funds to save the pound's exchange rate, and the UK's own foreign exchange reserves have fallen below the critical level of US$2 billion and cannot maintain the market at all.
In a month's time, the UK Treasury will publish its monthly report on the UK's reserves. It will show that Britain's gold and dollar reserves have fallen below $2 billion, a dangerous tipping point that will undoubtedly trigger a new run on the pound.
After the International Monetary Fund rejected the UK’s credit drawing rights, Nanyang became the UK’s only option. After all, Nanyang has a full US$18 billion in foreign exchange reserves!
His foreign exchange reserves are larger than those of the entire Europe - Britain only has 2.3 billion US dollars, Germany has 2.45 billion US dollars, and France only has 1.8 billion US dollars.
The foreign exchange reserves of the three traditional European powers combined are less than a fraction of Nanyang's!
As long as they are willing, a small change can be enough to help Britain get out of the current crisis.
"Is 500 million US dollars enough?" While asking, Li Guoren turned to look at the Chief of Finance Zhao Shijie and asked.
“According to our calculations, how much money does the UK need to stabilize the exchange rate of the pound and resist the selling behavior of the United States.”
Zhao Shijie adjusted his frame and spoke in a calm tone said.
“According to the information disclosed by the U.S. Treasury Department, it has approximately 70 million pounds in spot currency, and they have sold 20 million pounds so far. Affected by this, there has also been selling behavior in the market, such as Countries such as Pakistan are also selling, and it will also attract many speculators who bet on the devaluation of the pound. Taking into account various factors, the market will abandon 200 million to 350 million pounds in spot currency, which requires at least 1 billion US dollars. Only in this way can the exchange rate be stabilized. The problem is the UK..."
Zhao Shijie paused for a moment, looked up at MacMillan, and said.
“Britain’s foreign exchange is close to drying up. In this case, US$500 million is simply wasted.”
As the finance minister and former governor of the Nanyang Central Bank, Zhao Shijie himself is Financial experts are naturally very familiar with the dilemma of Britain's foreign exchange reserves.
In the financial market, a lot of information is public. Faced with the exposed reality, Macmillan shrugged helplessly and said.
"We need 1 billion U.S. dollars, maybe even more. The United States has also temporarily suspended the "Marshall Plan" aid to the United Kingdom, which means that we need more funds to purchase supplies, so now the United Kingdom is more than At any time, we need help more..."
After a pause, facing the eyes of the two chiefs in front of him, MacMillan directly stated his purpose of coming.
“In other words, the Commonwealth has reached the most critical juncture. If we cannot unite, not only will the Commonwealth become a decoration, but all our countries will also become followers of the United States, sir. We, this is not a financial crisis, but a war, a financial war related to the future of the entire Commonwealth, and Nanyang..."
Looking directly at the Nanyang officials sitting there, McMee Lun took a deep breath and said:
"I have the most abundant ammunition, so I came here to seek your help."
Li Guoren and Zhao Shijie looked at each other, this is not right Is this the opportunity for "fat meat coming to your doorstep" as you mentioned?
The question now is what kind of exchange conditions the UK can come up with. This is the most important thing.
At this time, facing the gazes of the two of them, Macmillan felt like one of those girls in a London club, dressing herself up in all kinds of ways, waiting for them to choose, which made people even more excited. Helplessly, he was even worried that the other party would look down on him.
"As you said, Nanyang does have rich foreign exchange reserves, in fact..."
Li Guoren took a drag on his cigarette, and then said,
"We not only We can provide an emergency loan of US$1 billion, and we can also cooperate with the United Kingdom in stabilizing the exchange rate of the pound in the international market to ensure the financial interests of the entire Commonwealth. We have the funds and the ability to do so, and we are also happy to help the United Kingdom. Before the negotiations started, Your Excellency already said - we can issue a check at any time if you need it, 1 billion or 2 billion, no problem!”
This is not because Li Yian is generous, but the rate of return for providing loans to big countries is far higher than that of small and poor countries. Otherwise, in another world, the bonds of European and American countries would not be so popular. To put it bluntly, the money they borrow can It's still affordable, and the money borrowed by those old friends in Asia, Africa and Latin America... is basically just meat buns beating dogs.
The foreign exchange reserves of Nanyang are earned penny by penny by the people of Nanyang with their hard work. They must not be used to squander the money or squander it. Lending to a European country with excellent international credit reputation, such as the UK, will earn you not only returns in interest, but also returns in other aspects.
Of course, this return needs to be resolved through negotiation.
“But the only question is—what happens after this?”
Putting out the cigarette butt in the ashtray and looking at MacMillan with a puzzled expression, Li Guoren continued to ask .
"This time the pound crisis can definitely be easily solved with the help of Nanyang, but the problem lies in the future. We know very well that the pound crisis will continue to be staged in the future, because it has already been doomed, isn't it?"
The sudden attribution made Macmillan fall into silence. As the British Chancellor of the Exchequer, of course he knew that the problem pointed out by the other party... was a real problem!
It is even the most embarrassing and helpless practical problem for the pound after the war!
(End of this chapter)