Empire of the Ring

Chapter 496: A Crisis is Another Chance (2)

When countries such as Denmark, Sweden, and Britain signed a currency swap agreement with Kazakhstan, European resource-poor countries wanted to establish ties with Kazakhstan. It was not because of Kazakhstan’s status; it was because they were drawn to the fact that the Kazakh royal family had great financial resources. Turkey, Azerbaijan, and Georgia also contacted the Kazakh government in hopes of signing a currency swap agreement and that made the Kazakh finance minister exuberated.

He was worried that no country would want to establish currency swap with Kazakhstan before, but now he called Youngho asking to pick countries.

“Your Highness, Turkey, and Azerbaijan are brotherly countries, so we’ll have to establish currency swap with them, but Georgia is a loss for us. Why don’t you say no?”

“You have to think about when the Russian Canal will be blocked. If we want to get to the Black Sea, we’ll need Georgia’s help. And Georgia’s foreign debt is not a lot. Georgia must’ve been urgent when it reaches out to us first.”

“I’m afraid it might ask for some aid.”

“We’re already working together on the railroad with the royal funds, so it won’t be asking too much. Honestly, I want Georgia to ask for help. That’ll be an opportunity for our merchant ships to take full advantage of Georgia’s ports.”

“I guess I was short-sighted since I didn’t think of that.”

It was not just those countries. Even Michael from the U.S. CIA called to ask why Youngho had not contacted him. He was now promoted as the Director of the US CIA.

“Chief, you know how it’s like. We only have about a foreign debt of 110 billion dollars, so having currency swap with three to four countries would cover it. And the U.S. will laugh if we ask to do a currency swap with it.”

“Oh, our sweet Highness describes 110 billion dollars as nothing. That’s a bold statement.”

Michael was quite upset that now he was being sarcastic. In the early days of the revolutionary government, he empowered Youngho by sending patrol ships that had been used by the US coastal guards, so he must have had thought Youngho would visit the United States first when the regime was stabilized.

“I’m sorry if I’ve disappointed you, Chief.”

“Yes, I am sorry. How can you put me in such trouble? I thought we were friends, but I guess it was just me who thought so.”

“Oh, come on. What’s the matter? This is only a small issue, so I didn’t think I should tell you.”

“It’s not just this. Why don’t you even send a special envoy to the United States when he’s been everywhere lately? I’ve done a lot for Kazakhstan on behalf of the CIA, and you don’t even respect our favor. You’re making me lose my face.”

“Why do you need a special envoy when I talk to you so often on the phone? Please stop beating around the bush. If you need anything, please be honest. And there are no people hearing us now, why do you talk to me that way? I hate to be called ‘Your Highness’ by you.”

Since Michael had been the head of the European headquarters in Frankfurt for ten years, Youngho and Michael had a long friendship. He felt very awkward to be treated with respect by Michael.

“I heard that even the walls have ears. There’s no harm in being careful. I don’t want people to say that I’ve been rude to the Duke of the Kazakh royal family.”

“I know that well, but speak comfortably just for today. You’re like my father, so please treat me like you used to when we’re alone.”

“Man, when you mention ‘father,’ you always drag me into something. I’ve got to be careful.”

“I don’t have anything special to ask today. You didn’t send your agents to spy on me, did you?”

“Why would I go through that? You’ll find out about it immediately if I did.”

“Only a few people know about the special envoy to Korea or Greece, but it looks like you’re informed about it already.”

“I’m the Director of the US CIA. If I’m not aware of such matter, I’d have to resign for lack of qualification.”

“Don`t be bothered by politics, and just come to Kazakhstan. I’ll take care of your later life.”

Although Youngho said so, he wanted Michael to be in his position as long as possible, since he needed the U.S. support as much as he could get. Michael was also a person who had been a soldier before entering the CIA, and he cared for reputation and honor as his priority. He would not leave the position unless he was pushed by higher authorities. Even though Youngho had many foreign friends, there were only a few people whom he could talk openly. Michael was one of them. He valued honor, so the national interest of the United States was his priority, but he would help Youngho no matter what.

“I heard you decided to give way to China.”

“It’s a road to and from Europe, and it’s beneficial to us, so we had to support it.”

“Good job. I guess you must’ve a lot in return from China for that.”

“We earned the Kazakh and Kyrgyz sections of the route construction. I guess that’s a good deal.”

“I see. Do you have enough government budget?”

“We’ll have to tighten our belt.”

“Should I attract some American companies? But most American companies would want to make a long-term investment, does that sound okay?”

“That’s great to hear. If that’s the case, we can run the route together. It’ll be better since we also have to get a new operations management system, anyway.”

“I heard that Korean companies are also interested. Do you have room for American companies?”

“The railroad is thousands of kilometers long. If any company had the intention of participating, I would receive anyone.”

“All right. We’ll send the business survey team in the near future. Good luck.”

If U.S. companies invested in Kazakhstan, it would be like a kind of safety device. That was because the U.S. thought of the protection and safety of its citizens of companies as a priority. It would protect Kazakhstan from Russia and China’s power, not to mention that this was a good opportunity for Kazakhstan to learn skills and advanced business management techniques.

“Chief, if you recommend any company, I will accept it without a word.”

“Don’t trust in American companies too much. Check your contracts thoroughly.”

“Thank you so much for helping. I’ll send you a special envoy soon in return.”

“Why don’t you visit once instead of sending a special envoy here?”

“Me?”

“There are a lot of people in America who want to see the Queen and the Prince consort of Kazakhstan.”

***

“Greek streets were filled with demonstrators. The government had poured most of its foreign debts into shipping conglomerates and financial institutions, and it’s now only relying on usury. However, people are still upset.”

“I heard that the government office has also been put up for sale? And it can’t even pay its employees. Was that true?”

“That’s not the problem. The shipping company and shipping finance company are eating up the nation.”

“Only the working-class people are suffering.”

“What the hell have politicians been up to?”

“I’m sure they’ve been buried in the money they gained from lobbies of the shipping industry tycoons.”

“Was there a good shipping company that we can buy?”

“There are several companies that Eriksson investigated in advance, and all of them were fine in my eyes. I like most of the ships because they are new.”

Park Jong-il was sharing his trip to Greece with Eriksson.

Then Cha In-soo, who was listening to the conversation between the two, stepped in.

“This idiot talks like he’s been living in Greece for years. Greece’s situation went bad only after it joined the European Union. If it stayed still, it could have lived well with its shipping and tourism industries. Its splendid cultural heritage has been faded by its national debt.”

“Who in here has been to Greece other than me? My experience in the foreign world is longer than you, so be quiet if you don’t know.”

The situation in Greece was worse than Youngho had thought.

He was going to lend money in the hope of getting a Greek port, but it seemed it would be a negative if Kazakhstan formed a currency swap with Greece.

“You didn’t talk about the money in that situation, did you?”

“Don’t you think I’d have that much sense? I didn’t say a thing. The Greek government doesn’t seem like it’s going to make trouble for us docking warships on the island. The problem is that we have to pay taxes for the island belongs to the Greek territorial waters.”

“We’ll pay taxes if it’s what they want. Was there any other order from the Greek government?”

“They asked me if we could buy a shipping company that would be burdensome to the Greek government. The companies that Eriksson pre-picked were in their list, so we signed a memorandum of understanding with two shipping companies for now.”

“What? We’re taking over two shipping companies?”

“They have only 23 ships in total.”

“That’s it?”

“The number of ships is small, but most of them are 80,000 to 100,000 tons.”

A 100,000-ton vessel was a huge vessel that was about the size of three soccer fields. The reason Greek shipping companies dominated the world was because they owned super-sized ships.

“What kind of ships are they?”

“There’re oil tankers, dry bulk carriers, and container ships. Fortunately, most of them are container ships.”

“Why is that fortunate?”

“Yes. Container ships usually stop by three to four ports before returning, so it will always carry loads from port to port, and we’re constantly on the job, but oil tankers and bulk carriers only stop at one destination and return in an empty ship. It’s not so efficient.”

“Ooh, I’m getting excited now.”

“I knew you would. Eriksson also said that container ships’ profits are much better when the economy gets better.”

“Great job, Jong-il. Let’s start with two companies and slowly take over the whole in the future.”

“Do you know how much those two companies cost this time? It’s worth as much as two billion dollars.”

“If we combine with shipping finance, it won’t cost us half.”

“Is that a small amount?”

“And if the Greek government is desperate, we might get it cheaper. We just exchanged memorandums. We didn’t confirm the total, did we?”

“Hey! I thought you didn’t want the royal family to be seen as stealing companies.”

“When you do this, you say it’s a win-win deal.”

The cost of ordering a new ship was enormous, but the price of a ship that had been used within ten years would drop dramatically. Also, in the recent situation where sea traffic had declined sharply, used ships were sold at dirt cheap prices. As interest on ship financing was already overdue, the shipping company could not say a word even if the auction was held by the financial firm. So, it was a great opportunity for Youngho to buy shipping companies as the Greek government was eager to sell them. It would have to say yes to Youngho’s request in order to sell the companies.