1627 Rise of the South China Sea

Chapter 3804

For plans like military expansion that require a huge investment of resources, there will always be voices of opposition in the Executive Committee, and sometimes even long-term disputes will arise due to differences of opinion.

Seeing that Ning Qi and other civil servants had more doubts to say, Tao Donglai first directed the conversation to another direction: "Lao Shi, let's put aside the expansion of the army for now, and tell everyone more about the local development and management conditions."

Shi Diwen understood what Tao Donglai meant. After all, the Executive Committee's funding did not fall from the sky. All investments must take into account future returns, and this is often the most concentrated target of opposition.

The Executive Committee certainly knew why the Special Operations Division established strongholds and ports in the Middle East, but how long would it take and how much investment would be required to achieve production and returns in the early stages of construction? None of the people present knew this, as Shi Diwen, who had never been to the local area to investigate, knew.

Shi Diwen introduced in a deep voice: "According to Tian Yeyou's preliminary exploration results, at least three underground oil fields that can be exploited for a long time have been found within a radius of 30 miles from Fubo Port. The production capacity after production is expected to be comparable to the Dumai oil field we developed in the Strait of Malacca."

"As for the area under the control of the Xihu country we support, there are not only more underground oil field resources, but also a copper mine and a coal mine that are currently being mined. Their reserves and quality are also worthy of large-scale mining."

"It is difficult for us to calculate the exact amount of profit that these mineral resources will generate in the future, but one thing is certain: compared to our current investment, this is definitely a very profitable business, and it will also have a great impact on our future global layout. I don't think I need to explain the reasoning in more detail."

Qian Tiandun took the initiative to send troops to the Indian Ocean in order to set foot in the Middle East as soon as possible. The main purpose of establishing a control zone in the Middle East was to obtain the local energy and mineral resources buried deep underground.

Although Hai Han’s current oil production capacity seems to have exceeded actual demand at this stage, the Executive Committee is well aware that industrial development in the next 100 years will inevitably become dependent on oil energy. It is particularly important to make early arrangements at this stage. Controlling the Arabian Peninsula is equivalent to buying an insurance policy for Hai Han’s industrial development.

To achieve these goals, of course, military occupation is the prerequisite, and the role played by the special operations division is particularly important.

Shi Diwen then introduced the situation in Phuket and Hamban Port in Ceylon. These two places were developed earlier than the footholds in the Middle East, and the natural environment is relatively better. Now some business projects have begun to make profits.

Shi Diwen was accompanied by a large number of private businessmen on this inspection trip. Many of these businessmen have decided to set up offices in the areas under the jurisdiction of the Special Operations Division and invest in some local business projects. This can alleviate the local urgent demand for funds and immigrants to a certain extent.

Shi Diwen then showed the registration information of the accompanying merchants to the audience: "Currently, there are 27 companies with a total of 74 investment intentions signed with the areas under the jurisdiction of the Special Warfare Division, with a total investment of more than 10 million yuan. It can be said that the private sector is still quite optimistic about the development prospects of the local area and has great confidence in the Maritime Silk Road promoted by the country." "I think that if the country can increase its investment in the Indian Ocean region, it will not only help the Special Warfare Division's military activities in the local area, but will also greatly promote the outflow of private capital. If my country wants to become a global maritime hegemon, it is far from enough to rely on official promotion alone. The participation of the private sector is also very important. Looking at the practices of those European maritime powers, almost all of them cannot do without the participation of private forces."

What Shi Diwen said was the norm during this period. The activities of countries such as Portugal and the Netherlands in the East were mostly led by private maritime merchants. The Dutch East India Company in Batavia was a commercial organization dominated by private capital.

Although Hai Han has made some attempts in this regard, they were mostly limited to East Asia and the South China Sea, where Hai Han has a higher degree of control. Private commercial activities outside this region are mostly in a disorderly state without clear management and guidance.

Shi Diwen had discussed this with Qian Tiandun. Qian Tiandun naturally hoped that more resources from the country could flow into the area under his jurisdiction. Shi Diwen also believed that it was necessary to follow the European approach in some aspects and encourage more businesses to take the initiative to go abroad and seek broader opportunities.

Schneider was the first to express his attitude: "I support Lao Shi's suggestion. The overseas expansion of private commercial capital will not only be beneficial to the development of the shipping industry, but will also have a good promoting effect on the financial industry. If the currency issued by our country can be circulated in a wider range, or even become the reserve currency of other countries, it will be much more valuable than simply exporting goods."

In recent years, Schneider has been committed to improving Hai Han's financial system and promoting the circulation of currency overseas. In his opinion, Hai Han has relied on leading technology to gain an advantage over contemporary countries in military, industry, and navigation, but its progress in finance is obviously lagging behind.

At present, the circulation of Hai Han currency abroad is mainly limited to neighboring countries with which the currency has close trade relations, and it is still far from the international currency that Schneider dreams of. He also hopes that with the advancement of the Maritime Silk Road, Hai Han currency can also become a part of the influence of going abroad.

To achieve this, Schneider must of course choose to support further expansion of overseas trade and investment.

As for whether the money comes from the government or private funds, and whether it is invested in business projects or overseas troops, in his opinion, the effect is not much different. The key is to allow the money to have the opportunity to circulate overseas.

In fact, among the officials who accompanied Shi Diwen on the Middle East inspection, there were also Schneider's men. It was imperative for Haihan Bank to open a branch in the Indian Ocean, and Schneider also hoped that the bank's overseas branch construction progress could keep up with the expansion speed of the special warfare division.

After some discussion, it turned out that most people supported Shi Diwen. The trade activities in the region were closely related to the special operations division, and even had to be based on the expansion of the special operations division. So Qian Tiandun's application was naturally approved.

However, there are still many details that need to be discussed further, such as where the large number of warships and personnel needed by the special operations division will come from, whether to assign a higher level of organization to the special operations division, and how to ensure that the Executive Committee can continue to enforce the orders of the special operations division.