Persian Empire 1845

Chapter 153 The Situation in 1853
Iranian troops have already established a camp in Rustavi, south of Tbilisi, only 25 kilometers from the city. To expedite the capture of this location, the Iranian army has further intensified its efforts, transferring troops from the Baku region westward to tie down some Russian forces, while its southern troops serve as the main offensive force.

The Russian army on the other side was already quite ruthless, and Vorontsov personally led his soldiers to work tirelessly in Tbilisi. They were turning Tbilisi into a fortified city, mobilizing all 60000 residents to build defensive lines. Now they were just hoping that the Russian reinforcements would arrive in time; otherwise, the city wouldn't last long.

Vorontsov went to Sukhumi to ensure that Georgia's connection with mainland Russia was not severed.

Iran's finances are also strained. The occupied territories require investment and construction, and domestic industry and transportation also need substantial funding. The previously balanced budget has once again entered a deficit. Even with prior preparation, this year's expenses have exceeded their expectations.

Last year, due to the war, expenditures increased by 2210 million rials, double what the Ministry of Finance had anticipated. Meanwhile, the Iranian people were essentially broke, prompting the government to issue bonds in the British and French markets.

At this time, countries such as Britain, France, the Ottoman Empire, and Austria were raising funds by issuing bonds, and most of these bonds were absorbed by one family: the Rothschild family. They established branches in Berlin, London, Paris, Istanbul, Vienna, and other places, and formed alliances with other Jewish banking families. They immediately acquired any government bonds they could.

During the Crimean War, they essentially bought up bonds from Britain, France, Russia, and Turkey. However, they forgot about Iran, assuming it would issue bonds immediately. A year passed without any issuance, causing their Istanbul branch to relax. Then, the Iranian government suddenly announced the issuance of 6500 million rials, equivalent to £650 million, in government bonds. This directly resulted in their French counterparts losing £100 million; had they not been vigilant, they likely would have suffered even greater losses.

"I never imagined that our people in Constantinople would make such a basic mistake, resulting in £100 million less in bonds that should have been purchased."

This mistake has taught us a profound lesson, and we hope it won't happen again.

James Rothschild is writing to other banks to urge them to be vigilant. Since Nathan's death in Britain, he has been the de facto head of the family business. He is quite confident in Iran, this emerging power, though they have indeed underestimated it this time. This also suggests that Iran may be more important than the Ottoman Empire in the future.

Iranian bonds are now arguably the most valuable, while bonds from other belligerent nations have declined to varying degrees: British bonds fell by 8%, French bonds by 10%, Ottoman bonds by 14%, and Russian bonds suffered the worst, falling by 47%.

All nations' finances were nearing their limits, but everyone wanted to gamble, hoping for a decisive victory that could end the war. So they kept escalating their bets, hoping to secure victory for themselves.

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After a year of war, the Iranian people have also felt some changes. The price of ironware has risen rapidly, but it is still within their affordability.

At this time, anti-Russian slogans were everywhere in the streets and alleys, such as "Death to Russia" and "Kill Nikolai." And when the Iranian army won victories on the front lines, the people cheered. Years of hatred had finally been avenged.

Another change felt by the public is the increase in doctors in towns and cities; educated individuals can also take the civil service exam to enter the government. These changes can indeed be considered positive developments of the new regime. Iran has a high birth rate, but also a high death rate. This combination results in negligible population growth.

After Nasser al-Din ascended to the throne, the government began allocating funds for hospital construction. At the same time, it reprinted large quantities of previous medical books and established medical schools at universities to improve the social status of doctors. These measures are now beginning to show results.

Tehran added three public hospitals, with the government funding the construction of medical institutions to alleviate the burden on the public. The medical works of Avicenna, Kendi, and Zahrawi, among others, became essential reading for doctors; these were important physicians of the Crescent Moon Society and Iran.

From top to bottom, Iran's changes did not involve the Ottoman Empire's hasty adoption of Western models. Instead, they involved integration with Shia Islam, using interpretations of the Quran and recounting past glories to gain public acceptance. This significantly reduced resistance and prevented a rift between the upper echelons of government and the common people. The people still hold onto their hopes for a return to the golden age of the empire and continue to strive towards that goal.

The religious council operated smoothly, and as Fahta, Mirza used every means to interpret government policies. Most importantly, he emphasized that everything was aimed at restoring the Golden Age, while simultaneously maintaining contact with various Shia clerics and missions to expand Shia influence.

Najaf in Mesopotamia was the first to establish contact with Iran. The area south of Baghdad is predominantly Shia Muslim, and their ties with Iran are quite close. They preferred living in Iran to the Ottoman Empire.

Since the priests were obedient, the Shah didn't mind giving them some aid. With the Shah's support, the Shia followers in Anatolia migrated south to Syria, Mesopotamia, and Cyprus. They would settle in their new places while simultaneously acting as Iran's tentacles throughout the vast Ottoman Middle East.

Outside the Middle East, Shia Islam has established two other sectarian groups responsible for missionary work in Central and Southeast Asia. The population in Central Asia is rapidly changing, as the Russian threat has forced many to convert. While some remain unwilling to change, they likely do not wish to witness the tragedy that befell the Kazakhs.

Another direction is Southeast Asia, but only Sumatra. The Aceh Sultanate sent a prince to request Iranian support, and Iran demanded that the prince convert entirely to Shia Islam.

Given its size, the other side had no choice but to agree and sign a treaty with Iran. Iranian goods only needed to pay a 5% tariff, and missionary groups were allowed to preach and build mosques.

Aceh, a small country of only 50 people, was quickly flooded with Iranian goods. Sudan also received some assistance from Iran, including weapons and ammunition. In the Dutch-controlled southern region, Shia Muslim groups were also active. This area had abundant rainforest and a low population density; the Dutch only maintained control in major towns like Palembang. Other areas were left to local powers.

The religious order and merchants began to venture deeper into the island. On the one hand, the religious order purchased large amounts of land for cultivation, and on the other hand, the merchants traded with the local people to improve their goodwill towards Iran, which will be of great help in the future.

(End of this chapter)