Reborn as the richest man in India

"Great, this will allow the country to hold on to its foreign exchange for a while." After receiving a positive answer from Qiaogo, Narasimha couldn't help but sigh, "You may not know that nearly 50 tons of the country's gold reserves are all shipped to London. Yes, it’s only a loan of US$400 million.”

The price of gold has dropped in recent years, almost knee-deep compared to the price in the early 1980s, from US$900 per ounce to the current US$300-400 per ounce.

Why did it fall?

This is a trick used by the beautiful country to suppress the Soviet Union.

In order to defeat its opponent's economy, the beautiful country has used countless means.

First, they negotiated with major oil-producing countries in the Middle East, and finally asked them to increase oil production and suppress oil prices.

The Soviet Union earned U.S. dollars and other foreign exchange mainly by exporting oil and other resources.

The sharp drop in these prices will naturally lead to a sharp drop in foreign exchange earnings and affect the country's economic stability.

Under the shortage of foreign exchange, the Soviet Union could only use its gold reserves and sell gold.

At this time, the beautiful country has begun to suppress the price of gold again. The trick is the same as that of oil. In short, it prevents you from getting enough foreign exchange funds.

These are economic wars, financial wars.

In this regard, the Soviet Union was no match at all.

Narasimha had to sigh at Qiaogo's amazing achievements. In just a few years, this young man had grown to such a terrifying level.

He also has such huge wealth overseas.

He knew very well that Qiaogo's assets were indeed earned legally.

Rather than relying on various illegal activities to make money like some wealthy and powerful people in the country.

Besides, those powerful people can only make money at home. Do they have the ability to go abroad?

Looking at the country, even the Tata Group and the Reliance Group have not made much achievements abroad, which further demonstrates Qiaogo's ability.

To borrow money, you need collateral.

The simplest way to borrow money between countries is to use physical gold as collateral.

Qiao Ge was not surprised by this.

This is not the first time that the Indian government has used gold as collateral to borrow money from abroad. For example, in the previous war between India and Pakistan, it was used to raise funds.

Now that foreign exchange is about to be exhausted, using gold as collateral is also a last resort.

"We are still negotiating with the International Monetary Fund, hoping that they can provide loan support." Manmohan added.

"Is it not easy to borrow money from the International Monetary Fund?" Qiaogo asked.

"Yes, they have put forward a lot of harsh conditions, such as deregulation of the economy, etc. We still need to study these, and specific policies will not be finalized so soon." Manmohan said, "So this time you borrow Money can buy us a lot of time."

Jogo did not ask any more questions about these policies.

But he knows that India's reform and opening up is closely related to the various conditions proposed by the International Monetary Fund.

The government took this opportunity to launch reforms to address some domestic shortcomings.

If it weren't for such a crisis, this kind of reform would really not be possible because countless interest groups would come out to obstruct it.

Precisely because the country is in danger of bankruptcy, other opposition parties can only temporarily compromise and support such reforms.

Although these reforms also had many shortcomings, they still provided a strong impetus for India's subsequent economic development.

Overall, this reform was successful.

If it weren't for this reform, the country would have gone bankrupt, so what else could we talk about?

Next, Jogo will stay in New Delhi for a few days, waiting to sign a loan agreement with Narasimha.

The matter was settled quickly, and on the afternoon of the second day after meeting Narasimha, Qiaogo signed an agreement with them.

The efficiency is so high, of course it is forced by the situation.

The government urgently needs the foreign exchange funds from Qogo.

The agreement signed between Qiaogo and the government is actually relatively confidential and cannot be known to ordinary people.

However, big forces like the Tata family naturally learned about Qiaogo's loan.

"That kid Qiaogo dares to make such a condition?"

"Yeah, who is he? What kind of class does he have to dare to put forward the same conditions as our Tata family?"

The key power players on the Tatas side came together.

Qiao Ge's matter naturally became one of the topics they discussed, causing many people to get emotional.

"What level? Just because he can lend 500 million US dollars to the government, no one in the country can match it, not even our Tata family." Ratan Tata said.

Ratan was born in 1937. He just assumed the position of chairman of the Tata Group this year and is the fifth generation leader of the Tata Group.

These words silenced everyone.

One is because of Latan's status, the current person in charge of the family must give him some face no matter what.

The second one is what Ratan mentioned, Jogo spent 500 million US dollars.

500 million U.S. dollars, equivalent to rupees, is about 9 billion at the current exchange rate.

To their family, Rs 9 billion is nothing.

But if it were US$500 million, the nature would be different. Their family would not be able to afford it at all.

At present, Indian companies are basically focusing on the domestic market and rarely invest overseas.

The Tata family has almost no overseas business, or it can be said to be negligible.

So even if there are some US dollars, they are some of the family's private assets outside. How can these combined be compared with Joe Gogo?

Qiao Ge is definitely an alternative existence.

"Overseas markets are the direction for our family's future expansion," Latan said. "You have also seen that Qiaogo has achieved so much abroad in just a few years. So I think this direction is right."

"You can't say that. Droubai also invested overseas. Wouldn't it be a failure? He suffered heavy losses in Kuwait."

"Yes, the oil wells over there are still burning. According to this situation, it is basically impossible to put out the fire in a short time. I'm afraid half a year will not be enough. Droubai's overseas investment this time will at least result in a moderate loss, or even nothing. Return."

"Let me tell you, investing abroad is too risky, we are not familiar with the place, and we don't understand the situation there at all. Let's not talk about whether we will be cheated. Even if we invest, we will have to face various problems. It is better to concentrate on Domestic. Now the Reliance Group is eyeing us. If we distract ourselves and go abroad, I am afraid that the foundation of the country will be shaken, and that is absolutely not allowed."

"It makes sense, domestic is fundamental."

The vast majority of people support domestic development.

Although Ratan became chairman, he had just taken up the post.

Moreover, there were many people competing with him at that time.

You know, the current management of the Tata family are all old people, over 70 or 80 years old.

At Ratan's age, he is definitely a junior.

Therefore, there are still many old guys in the family who rely on their elders and do not care much about Ratan.

Regarding the group's investment abroad, there are still big differences within the group.

Ratan Tata certainly supports going overseas.

This time, he advocated providing foreign exchange support to the government.

Regarding this condition, most of the elders in the family have reservations.

In their view, the country is in great trouble now, and the Congress Party needs a lot of support from its own side, and it can definitely put forward some other domestic conditions.

For example, various acquisitions, or industry licenses, or expanding the scale of some restricted industries under your name.

But Ratan Tata thinks these conditions are unnecessary.

In Latan's view, the state may liberalize industry licenses and the like, and then there will be no license or other policies.

The old people are also skeptical about this judgment.

You must know that industry licenses and the like restrict the development of countless private companies, but this does not include the Tata family.

They are the beneficiaries of this policy because they are powerful and can obtain various licenses from the government. Naturally, they can make high profits by using these licenses.

Taking advantage of this opportunity, you can definitely ask for more industry licenses, such as some sensitive industries.

The fewer people in an industry, the more profitable it is.

If according to Latan's statement, the government might relax the policy next, wouldn't that cut off their family's financial resources?

It’s not just the Tata family, there are so many interest groups here. How dare the government cut off these people’s financial resources?

So they don't think the government will do it.

Unlike these old guys, Ratan sees things more clearly and knows more about the inside story of the government.

If it were the previous situation, no matter who took office, they would not dare to introduce these policies.

Whoever dares to step out will step down in a minute.

But what is the situation in the country now?

It will go bankrupt soon, and it will be difficult for everyone then.

Severe cases require strong medication.

Ratan already knows that this government is going to reform. This is not just a talk of reform, but a real war.

Since Ratan had just become the chairman and was young and energetic, everyone temporarily gave him a face and did not directly fight to the end.

Of course, the main reason is that the fourth leader, Jehangir Ratanj iDadabhoy Tata, is still alive.

J.R.D. Tata resigned as chairman because of his old age and lack of energy, and Fulatan Tata took over.

In fact, J.R.D. Tata consciously cultivated Ratan ten years ago.

Unfortunately, the Tata family is too large, and many problems cannot be solved in a short time.

J.R.D. Tata's power is still there, so even if these old people are dissatisfied with Ratan, most of the time they will not react too aggressively.

Most of them adopt a negative attitude of not cooperating, or slowly delay some of Ratan's decisions.

Even if Latan urges them, they will give similar answers. For example, it's not that I won't execute it, I just won't do it so quickly...

Of course Ratan Tata knows what these old guys are thinking, but he has just taken over, so his methods cannot be too drastic. He has to wait until he has established a foothold before kicking all these old guys out of the management.

Latan has great opinions on the current management.

They are all old people who are about to die, with rigid ideas and no desire to make progress.

But these guys occupy important departments of the company and have the decision-making power of major companies.

Most of them have an attitude of not seeking merit but seeking no faults. Such management is of no benefit to the company at all. (End of chapter)