Father of France

Chapter 216 A Military Trade Contract Worth 20 Million

The French Air Force currently has around 1,200 aircraft, two-thirds of which are British and American.

If we were to sell to Ali Khan, although it would be close, British India was not yet independent, which could cause friction with Britain. Therefore, British and American aircraft were definitely not an option.

That leaves the aircraft that France manufactured itself and those captured from Germany during the war, which could be sold. These aircraft cost between 600 and 900 ounces to manufacture at the time, and there were only three or four hundred of them in total, including French Bloch and German Messerschmitt models.

If Ali Khan makes large-scale purchases, he can offer substantial discounts on ammunition, as we are currently in the transition phase from propeller-driven to jet fighters. France has already begun testing its first jet fighter, the Arsenal, but it is still in the prototype stage.

At the same time, they were also actively seeking to acquire first-generation jet fighters such as the British "Vampire" and the American Meteor.

“In that case, three hundred complete aircraft would cost 450,000 tolla, 150,000 ounces, which is about five tons.” Koman didn’t pay much attention to the details, just calculated a rough figure, and then he was shocked. It was quite cheap, especially for Ali Khan.

These propeller aircraft models are nearing obsolescence, but that's mainly in Europe and America.

For most regions, forget about it for at least the next five years. Three hundred light and heavy fighter jets and bombers appearing in a location that isn't exactly a regional hotspot would indeed pose a significant threat, especially considering it only amounts to five million US dollars.

This is actually normal. Before and during World War II, there was a very special period in which tanks were more expensive than fighter planes. Germany was a typical example of this. The cost of a Bf 109G or other fighter plane was roughly the same as, or even slightly higher than, a Panzer IV or Panther tank.

This means that, from the perspective of resource input, the resources consumed in producing a mainstream fighter jet are roughly equivalent to those in producing a main medium tank.

Therefore, the 300 fighter jets and bombers that Koeman sold were equivalent to 300 Panzer IV tanks, which was actually much cheaper than the light and heavy weapons of an infantry division.

“Twenty million dollars isn’t a lot.” Ali Khan didn’t think for long before suddenly asking, “Major Koman really wants to close this deal?”

“To be honest, yes, but I believe His Majesty needs it even more.” Koman showed appropriate candor while also preventing himself from being manipulated. He paused and continued, “If this deal goes through, not only will I benefit, but I can also provide His Majesty with some information so you can guarantee your interests.”

Ali Khan nodded, appearing all ears, and said, "Then I'll listen to how you plan to persuade me."

"Britain faced a massive debt crisis after the war. The whole of Europe had been devastated, leaving us extremely short of cash. That's why Britain didn't continue investing in the subcontinent. Fearing it wouldn't be able to quell Indian resistance, it chose to give up. Britain's funding gap reached three billion pounds, and the need for a tougher stance on Indian independence would only increase that. So, choosing between Hyderabad and India was quite easy. As you know, Hyderabad was the one that was abandoned."

Ali Khan could sense that the situation in Britain was very serious, but he did not expect it to be this serious. Even for him, three billion pounds was an astronomical figure.

"The international settlement currency is now shifting from the British pound to the US dollar, and the exchange rate of the British pound is too high. Not only the British pound, but the exchange rate of the French franc is also inflated. However, the situation in France is much better than that in Britain."

Koeman continued, explaining that the world is currently in a period of transition, "Given that our situation is similar to that of Britain, there is a tacit secret among our senior leaders that we can share with Your Majesty: within three years, both Britain and France may resort to currency devaluation to get rid of some of their foreign debt."

“You’re going to renege on your debt.” Ali Khan’s heart skipped a beat when he heard this. This was indeed closely related to his interests, because as a British colony, the subcontinent was within the sterling zone.

Ali Khan's vast wealth, especially his bank accounts, is also measured in pounds sterling. Cash accounts for only a small portion of his total wealth, with the majority being fixed assets. However, even a small portion of his cash and gold exceeds £100 million.

In today's arms trade, the weapons and equipment of an infantry division plus three hundred aircraft would cost no more than twenty million US dollars, or about five million pounds.

If there's even the slightest fluctuation in the exchange rate, £100 million in cash could instantly add up to the debt of several infantry divisions.

"You mean to say Britain is unreliable? No, you're saying France faces a similar situation," Ali Khan muttered, frowning slightly. "Are there no reliable banks left in Europe?"

"Actually, there's another one, Swiss banks." Koeman was forthcoming with his information; how could he forget the goblins of Zurich that the British had mentioned? Swiss banks weren't France's competitors, at least not now, but rather Britain's. "Your Majesty, it's hard to imagine the weakness Britain exposed in this World War of the Century. Think about it, if Britain were still incredibly powerful, how could I be here on the subcontinent?" This world war, though perilous, actually meant that even without the United States' involvement, the Central Powers still had a higher probability of victory. The US's entry into the war turned that high probability into a certainty of victory for the Central Powers.

The Axis powers were all late-developing industrial nations, lacking the military bases and raw material supplies provided by their overseas colonies. In the end, the world war was a contest of resource depletion.

The combined strength of Britain, France, the Soviet Union, and China alone was enough to deplete the Axis powers' reserves of manpower, material resources, and financial resources. Meanwhile, the vast overseas resources of the British Empire would provide a continuous supply for the war. The longer the war dragged on, the more advantageous it would be for the Allies. Ultimately, the entry of the United States into the war would inevitably create an overwhelming advantage.

The United States will certainly enter the war at the appropriate time, leaving Britain speechless. During the war, the United States will calculate when it will be most advantageous for it to enter the war.

Americans were not really worried about Germany's eventual victory or the Soviet Union's expansion; on the contrary, they were more concerned about the power of the British Empire after the war.

Therefore, the United States hoped to weaken Britain's power as much as possible during the war, so that the post-war world would be dominated by the United States.

The United States has its sights set on Britain's hundreds of billions of dollars in "idle assets" overseas, which is exactly when Britain needs the money, forcing Britain to sell them off at a fire sale.

At the height of the war, the United States began using the Lend-Lease Act to force Britain to transfer shares of companies in which it had invested in the United States before the war to American investors, without informing Britain or obtaining its permission.

The United States has always been the most demanding towards Britain. Even Axis powers like Italy received a 50% debt relief from the United States. Germany even received a large amount of dollar investment, and France also received a significant debt relief. Only Britain has been exceptionally stingy, with the United States always demanding that Britain repay its debts on time.

In the final stages of the war, the United States will liquidate its debts. This liquidation will be an economic bomb for the British. The enormous costs of the war have forced Britain to stockpile large quantities of war materials before final victory. Once the war ends, these surplus materials will be converted into debts that Britain owes to the United States.

With severely insufficient foreign exchange reserves, Britain also faced enormous post-war reconstruction work, requiring money everywhere.

Even more serious is the fact that Britain owes the United States a debt, as well as the costs incurred by its colonial vassals for the war. The sum of these two debts is bound to be a catastrophic figure.

These are long stories. From how Britain showed paternal love to the United States after World War I, to how the United States betrayed Britain during World War II and forced Britain to sell its businesses, ports, and military bases in North America.

Finally, when talking about Switzerland, Koeman explained, "Actually, in the first few months after the war, I was recovering the German embezzled funds held by Swiss banks. Switzerland had obtained a large amount of German wealth. Whether it was the United States, Britain, or even France, they all pressured Switzerland to hand over the hidden embezzled funds, but the Swiss just wouldn't hand them over. How much Switzerland actually got from the Germans was a complete mess, but the German fugitives we intercepted were only a small part of it."

Koeman recalled that Alan had only received a little over 20 million dollars before he left Europe, but that was negligible compared to the profits the Swiss bank made during the war.

Under normal circumstances, Ali Khan would have kept a large portion of his cash wealth in British banks due to his association with British India. But with the arrival of Coman, the British were in for a world of opportunity.

“When it comes to the crucial moment, it seems that the French are far more reliable than the British,” Ali Khan said softly.

"This isn't the first time; France also stepped forward when the United States gained independence." Koeman didn't claim all the credit, mentioning Louis XVI's contributions to American independence. This answer also enhanced his credibility; the British stirred up trouble in the world, while France specifically stirred up trouble in Britain.

“You’ve helped me find a better collaborator, esteemed Major.” Ali Khan wouldn’t immediately jump ship because of a few words, but he had already realized this because of Koman.

Then I must use my connections in London to investigate and see if it's true.

However, considering that India's independence was imminent, Ali Khan could directly report Koman's reminder and instructed the Finance Minister, "Prepare 450,000 tora of gold. Withdraw 15 million US dollars from the bank in the United States to complete this arms sale."

“Since Your Majesty is so generous, I can no longer conceal this. I can offer another helpful suggestion.” Koman was pleased that his efforts had not been in vain; a deal had been struck on the very first day of his arrival. He couldn’t suppress his honest and reliable nature any longer and had to thank Ali Khan.

(End of this chapter)