African Entrepreneurship Records

Chapter 420 Peace of mind

 “There is no hope at all!”

Klein roared in pain and then collapsed in the trading hall. The staff around him looked at Klein with sympathy. However, everyone was having a hard time now, so no one came forward to say a word of comfort. This kind of It's something that everyone has become accustomed to.

Klein issued a soul torture: "Who can save us now?"

 The answer is no. The stock market is inherently a high-risk gamble, and the risks must be borne by the investors themselves. From the day the exchange was established, the responsibility has been completely shied away, just like the statement printed on the cigarette package that smoking is harmful to health.

Of course, the collapse of the stock market will also have a huge negative impact on the Austro-Hungarian economy. The government's active actions can still reduce some losses.

If it is Germany, a country with a very strong government execution ability, it is still possible, forget about the Austro-Hungarian Empire. In terms of economic policy, the financial situation of the Austro-Hungarian Empire has always been unstable, and its economy also suffers from imbalances and protectionism. The typical trend is Austria and Hungary.

 Now the real big capitalists in Austria are trying every means to pass on the crisis, and Hungary next door is also one of their goals. Similarly, the great nobles of Hungary also want to sell their grain as quickly as possible. You want to dump industrial products to me, and I also want to dump agricultural products to you! Both sides raised tariffs.

As for the central government, it can only stare blankly. It even has financial difficulties in normal times, and it is impossible to have money to rescue the market. Now the banks cannot protect themselves and have no place to borrow money.

 At the same time, the Vienna branch of the Bank of Hechingen.

“President Naggins, your bank is the only one that is still able to provide excess funds during this economic crisis. You can’t just ignore it!”

"Mr. Sellers, I'm really sorry. The entire Vienna banking industry is in turmoil right now. We are just barely maintaining operations and ensuring the safety of depositors' accounts, so there is nothing we can do at this time."

“President Nakins, we are old friends. My company just has a small problem with its capital chain. We don’t need much. We can survive the crisis with only 350,000 guilders.”

"Three hundred and fifty thousand guilders is not a small amount, and it is not something I can transfer at will. Mr. Sellers, if you listen to my advice, you should sell all the factories in your hands at a low price! The business you do is highly and The railway industry is bound. According to the current market conditions, if you keep it in your hands for one more day, you will lose a lot of money. Don't think about the order. It is estimated that your customers will not even be able to pay liquidated damages."

“Well, actually I want to sell it, but now I can’t sell it at a high price, and no one will take it over.”

“Then there’s no other way. It’s better to declare bankruptcy directly than to hold on. Employees will cause trouble if they don’t receive their wages.”

Sellers was also a capable person, able to tell at a glance that the Bank of Hechingen was running well despite the turmoil.

 Actually, this is not a difficult matter. As long as you inquire in many places, you can still find signs. Other banks are laying off employees or failing, and only Hechingen Bank is sitting on the sidelines and watching the situation.

The business staff of the Bank of Hechingen did not show any signs of trouble at all. They stand out among their peers. This shows that the Bank of Hechingen is confident, and the only thing that can give them such confidence is sufficient funds and good health. operating status.

Of course, the Bank of Hechingen can be so cool because of its previous efforts. If time went back to a few months ago, it would be the opposite.

At that time, Hechingen Bank carefully sorted out its own problems and eliminated all possible risks in a timely manner. After all, Hechingen Bank was only a novice among European banks and had many inexperiences.

  The Bank of Hechingen reorganized itself, streamlined its personnel and institutions, lowered storage interest rates, raised loan application thresholds, and sold non-performing assets. It caused uproar at the time.

 Many customers turned to other banks and financial institutions as a result, but when the economic crisis broke out, they completely regretted it. Salles was one of them.

So Nakins was indifferent to Cyrus's request. Of course, even without this matter, Nakins would not have any friendship. "Okay, Mr. Sellers, it's better to ask for others than to ask for yourself. You'd better ask for your own blessings!"

Sellers also wants to fight for it: "..."

However, Nakins said directly to his assistant: "Andy, see the guest off."

After Sellers was asked to leave, Andy said: "President, affected by the crisis, our bank's recent business does not seem to be very good, and we don't know how long this crisis will last."

Nakins said: "Haha, don't worry, the market is just cold in winter. Is it because of the snow in winter that people won't go out! The economy will still operate, but it won't be as hot as before. We just have to do our own thing well. Well, and we have accumulated enough credit during this crisis, it will be obvious who our customers will choose next time. Maybe because our competitors have been eliminated, our business will be better in the future."

“By the way, President, here is a telegram from the headquarters that just arrived. The headquarters requires all branches to continue to lower the deposit interest rate by one or two percent.”

Nakins drank coffee leisurely and said: "Then we will announce it tomorrow morning! Now that other banks and companies are experiencing thunderstorms, there is really no need to continue to maintain such high interest rates."

 In fact, Hechingen Bank's deposit interest rate has been maintained at a very low level after the last adjustment. It has been further reduced by one percent. Basically, the interest earned by depositors on deposits can be ignored.

After all, customers are lost, companies go bankrupt, workers are unemployed... a series of chain reactions have resulted in the banking industry not making much money now, or even losing money. It is normal to reduce the profits to depositors. Although the interest rate is reduced, it is still better than losing all their money. If you still have interest, just enjoy it secretly.

at dusk.

 Wiggins got off work and as soon as he walked out of the bank door, he saw the clerk of his old rival Cruz Bank arguing with the depositors with a frown on his face.

Wiggins moved closer and listened carefully to what the crowd was saying:

“Don’t worry, everyone, it’s time to get off work now, we are closing!”

“Asshole, you guys want to get off work before we have withdrawn our money. Aren’t you treating everyone as fools?”

“That is, if you don’t cash out the money today, we won’t let you go.”

“I heard that the railway company went bankrupt and you couldn’t collect your debts. The capital chain has been broken. Why do you want to trick everyone into going bankrupt with you?”

 “Repay our deposit!”

 “Money back!”

 …

Looking at this lively scene, Nakins clicked his tongue and said: "What a troubled time!"

The Bank of Hechingen is a sure winner, but due to the economic downturn, everyone's enthusiasm for saving money has also decreased. The Bank of Hechingen has also been affected. Many depositors have withdrawn their money, but it has no impact on the Bank of Hechingen after it has lost weight. , Hechingen Bank encountered it once a few months ago. At that time, the economy was still very hot, there were many takeovers, and they actually made a lot of money. Now, the number of depositors of Hechingen Bank has been reduced due to the drag of the entire industry. This kind of The situation is only temporary. After a while, everyone will find out who is the real winner in the crisis.

 (End of this chapter)