Persian Empire 1845

Chapter 241 Reinvesting Income

News from the front lines kept pouring back, and the news of the capture of Trabison undoubtedly boosted the morale of the Iranian people once again. They launched pro-government demonstrations, and some even hoped to march directly to Istanbul and capture the Ottoman Sultan alive.

Of course, not many people believe this because it's too far-fetched. Their level of acceptance is limited to the recapture of Mesopotamia, since both the Safavid and Afshar dynasties owned that territory.

"Such results have been achieved after only one month of fighting. It seems that the military reorganization has been effective."

Naserdin looked at the battle reports from the front. Iran was currently blocked at the Van city line. Capturing Trabison would help break this stalemate.

"Congratulations, Shah. This is the agreement reached with the Mexican president. Please take a look."

Said, who had gone to attend the Mexican presidential inauguration, returned with a pile of documents signed by the president, Nasser al-Din.

This Mexican presidential inauguration ceremony saw the largest number of national representatives in history. In the Mexican Congress, the newly elected President Lawrence confidently proposed to restore Mexico's status, develop the Mexican economy, and enable the Mexican people to live a better life.

In order to develop the economy, reorganize the military, and repay foreign debt, money is needed. The first thing he did after becoming president was to discuss investment matters with his former employer.

Mexico remains largely untouched by investment, with its largest asset being the railway group controlled by the president. To boost the economy, foreign investment is needed, and accompanying Said are representatives from the Lion Corporation, who will explore suitable investment opportunities in Mexico.

Besides the usual demands, there was another requirement that Said had to fulfill: Iran had to control all oil exploration rights in Mexico. This request was readily agreed to; the two countries jointly established an oil company, with Iran receiving 65% of the annual profits.

This isn't Iran taking advantage of the situation; rather, exploration takes time, and the costs must be shared by both Iran and Mexico. Giving Mexico this much is already quite generous; if it were the United States, they probably wouldn't even get half that.

“Mexico is in dire need of investment right now. Our people are assessing Mexico, and if things go well, we should see results in the next few years.”

Mexico has good mineral resources, with large silver mines waiting to be tapped. It also has a nationwide railway network and a kerosene market of over seven million people. Iran, on the other hand, needs to focus its efforts on the New World. This cannot be allowed to be monopolized by the United States alone.

The investments in New Continent generate millions in revenue annually. Part of this money is distributed to the Arab shareholders, and the remainder is reinvested or used elsewhere. It's also worthwhile to invest in Mexico and Venezuela as well, since we can't just focus on the US.

How are our investments in Africa going?

"Based on the current situation, we can earn 1000 million riyals a year by growing crops such as sugarcane and cotton."

The rising international prices of commodities like cotton and sugarcane in recent years have spurred the cultivation of cash crops in East Africa. Based on current planting conditions, sugarcane can be processed into sugar and cotton sold, generating a total of 4500 million riyals. Add to this coffee, a major South American crop, and tea trees transplanted from British-ruled Ceylon, and these cash crops become key to the Shah's profits. It's worth noting that East Africa, occupied by Iran, has ideal conditions for tea cultivation: a warm and humid climate with high annual rainfall, favorable for tea tree growth. The local soil is rich in minerals and nutrients, especially nitrogen, phosphorus, and potassium, which contribute to tea tree growth and nutrient accumulation in the tea leaves. Furthermore, most of the region is located at altitudes of 1500 to 2700 meters, where cool climates, abundant sunshine, and ample rainfall further benefit tea tree growth and flavor development. Therefore, the tea industry is also a promising direction for development in East Africa.

However, making money was secondary; their primary concern was ensuring food security, so they continued their journey inland. After discovering several kingdoms near Lake Naserdin, trading with them became another way to earn money.

"People nowadays have no idea that Africa is not a dark continent, but a continent of treasures. Such a place that can grow good things cannot be wasted."

Although it may be unfair to the indigenous people to say this, we have no choice but to do so for the sake of Iran.

Meanwhile, investment income from the Far East also came in for the new year. 2465 million riyals—a figure that truly startled Nasser al-Din. More than half of this came from land revenue, including rents from Shanghai, Guangzhou, and Hong Kong, as well as land use rights in Saigon. These areas saw land prices guaranteed due to the influx of people, with even the smallest increases reaching tenfold.

Other sources of income included the trading revenue of the merchant firm, profits from the resale of Japanese gold, and dividends from the Banque de l'Indochine. Because the merchant firm spent a great deal of money advertising kerosene lamps, sales skyrocketed in the Far East, to the point that a barrel of kerosene cost 10 pounds in Batavia and several tens of taels of silver in Shanghai and Nagasaki.

While it's uncertain how long this situation will last, it's not necessarily a bad thing. Following the economic crisis, global industrial activity continued to surge, and the prices of various raw materials on the international market increased several times over. Making a fortune in the process isn't out of the question.

Investments have already been made in various places, including scientific research, electricity, oil, communications, and weapons. There is still 1000 million rials left. Since his accession to the throne, the Iranian royal family has not held many banquets or events, because the cost of holding one is at least 80 rials.

With such cost-cutting measures, he didn't know what to do with the remaining money. After all, the boldest investment he made in his previous life was putting it into Yu'ebao (a money market fund), earning a small profit every day. He dared not invest in the stock market because he had once read a story about a writer who borrowed 300 million yuan to invest in the stock market and made a lot of money, then announced he was quitting after writing 15 chapters. Then the stock market crashed, and he had to come back to continue writing.

Therefore, investment requires caution; it's better to continue investing in technology and colonization. The chosen partner for technological cooperation was Prussia.

Prussia established a comprehensive education system, including primary, secondary, and higher education. The founding of the University of Berlin and its principles of "academic freedom" and "the integration of teaching and research" not only cultivated a large number of highly qualified personnel but also promoted scientific research and technological innovation. Iran, on the other hand, possesses considerable wealth, making cooperation a suitable option for both sides.

Some Prussian companies, such as Krupp and Siemens, have also established branches in Iran. The Shah funds their research projects, which has significantly accelerated their development. Everyone knows that the Shah of Iran is very interested in new technologies and wants to allocate some funds to their research. However, it seems that the Shah is not interested in investing more at present; he only invests in projects that are beneficial to the country.

"Forget it, I'll just buy government bonds instead."

With just a word from Nasser al-Din, a massive influx of funds was converted into government bonds.

(End of this chapter)