Chapter 259 "Budapest Agreement"
Three sovereign states suddenly announced overnight that they used the same currency and exempted tariffs from each other. Even personnel and goods could enter and exit the border freely without being inspected by border inspectors. This scenario of existence in human ideals actually appeared in human society for the first time. How could this not attract attention?
For the three contracting countries, it is helpless to accept the plan of the Colombian Bank. Whether it is Czechoslovakia, Poland, or Hungary, the ratio of huge foreign debt to GDP has reached the point where the government cannot make the government unable to make the world come true. Looking around the world, the only one who can save them is the only Bank of Colombia. As for the right to hand over the issuance of the banknotes, it is a measure that the three governments have to take, because without the credit guarantee of the Bank of Colombia, the currencies issued by the three countries are no different from waste paper.
This scene happened in three backward small countries in Eastern Europe that sparked a heated discussion around the world, especially those in Eastern Europe that had just left the control of the Soviet Union and were in an economic crisis, and they were very concerned about the Eastern European central banks. Just after the three countries signed the Budapest Agreement on the unified market in Budapest, Bulgaria and Romania also showed strong interest in the Budapest Agreement. Representatives of the central banks of the two countries took the initiative to contact the Colombian Bank in Warsaw to discuss the issue of joining the Budapest Agreement.
Mikhail knew that when he was in trouble in Eastern Europe, signing a treaty like the Budapest Agreement was actually a last resort for all countries to collect. In order to avoid being jealous of a single business and to allow Colombian Bank's business to operate for a long time, a special clause was retained in the Budapest Agreement, that is, after governments of various countries completely repay their debts, they can redeem their own currency from Colombian Bank to issue.
Normal rights and interests such as exercise and tariff rights. This treaty was proposed by Mikhail. This also made the three countries representatives trust Mikhail and the Bank of Colombia more. But in fact, the chances that this clause can trigger are minimal. Seryosha and Mikhail are just using this clause to block the opposition of the Three Kingdoms. Just look at old capitalist countries like the United States and Britain, and you will understand that their debts will only increase, so much that they will never be able to pay them back.
Debt is always a powerful weapon for international capitalists to control the state power. The reason why American politics can be manipulated and controlled by large consortiums is not because the large consortium provides large amounts of election funds for candidates, but because the promises made by candidates for employment, social security, and even the economy during the election process require the consortium to provide real money to support it. Most of the funds spent by the government come from treasury bonds issued by the central bank. If the large consortium does not provide credit guarantees for the government's treasury bonds, then the government cannot have money to do what it wants to do. Whether this government was established by a military coup, a democratic election, or a dictator's dictatorship, this is true. As long as the country's regime wants to exist for a long time, it cannot be separated from the support of capital.
The preparation of the Eastern European Central Bank will take time, but the large amount of national debt recovered by the Bank of Colombia from international creditors over the past period has made the Bank of Colombia get rich returns. Because of the credit guarantee of Colombia Bank and investors' general optimism about the unified market of the Three Kingdoms, the government bonds of Czechoslovakia, Poland and Hungary, which were originally defined as junk by the three major international rating agencies, have regained a stable level, which has greatly increased the value of these bonds in the Bank of Colombia. The preparations of the Central Bank of Eastern Europe are actually not complicated. They only need to draw some people from the Bank of Colombia. Mikhail will naturally serve as the chairman of the bank, and Jeffrey Sachs, the father of shock therapy, will serve as the chief economist of the Central Bank of Eastern Europe. As for the design of the Eastern Euro style, they will be solicited publicly from the people of the Three Kingdoms.
In order to stabilize prices and increase employment rates, the Colombian Bank matched the contracting parties of the Budapest Agreement to sign an energy cooperation agreement with the Soviet Eurasian Natural Gas Group. According to this agreement, the Eurasian Natural Gas Pipeline Project will enter the territory of the three countries through Poland and provide them with stable natural gas supply. Because the Eurasian Natural Gas Group is a foreign-invested company that operates bot (i.e., construction-operation-transfer) project, the three countries did not regard the Eurasian Natural Gas Group as a Soviet enterprise. At the same time, some companies under the Gorky Group have also begun to enter these three countries one after another.
Volkswagen Group has taken a fancy to Skoda Auto and plans to merge Skoda Auto into a subsidiary of Volkswagen. After the merger, Skoda Auto will become a sub-brand of Volkswagen, just like Poland's Poronaz Automobile. Skoda Industrial Group, located in the Czech Republic, will receive capital injection from Blackstone Group, and Blackstone Group will provide funds to help Skoda factory improve equipment and divest debts. The British Electric Power Company is very interested in the Three Kingdoms power market and has begun to lobby for the Three Kingdoms governments to sell state-owned power grids and power generation companies. The British Water Group has also shown great interest in the Three Kingdoms water supply market. Donniya wants airports and railways in Czechoslovakia, Hungary, and Poland, Kalim hopes to dump more food and agricultural products here, while Eva hopes to become Iridium's next market.
The Gorky Group's subsidiary companies were eager to annex the infrastructure market of Eastern European countries. Seriosha was considering the issues after the collapse of the Soviet Union. From the current perspective, the independence of the three Baltic countries will be irreversible, but after these three countries are independent, whether they can be included in the Budapest Agreement is the issue that Seriosha is concerned about. If the three Baltic countries can join the Budapest Agreement, then even if the Soviet Union really disintegrated, it would be a territory that was greater than the original Soviet Union.
Chapter completed!