"Fang, what do you think? The chartered bank plan has really reached the point where it must be implemented. Now business owners need a lot of funds to revitalize their companies, including purchasing raw materials, updating equipment, paying wages to employees, and turning around the business, as well as

Distributing state funds to remote areas, etc., these businesses must be carried out by banks."

"Finance is the blood of a country. If the blood of a country does not flow, then the country will die. Now Russia has too much blood shortage, even to the point of terminal necrosis. What happened at the border, I believe you are too

Clear.”

Gaidar's deep voice was full of helplessness and sadness, with a hint of pleading.

Fang Chen nodded solemnly. He naturally knew the situation at the border. Although it had been more than a year since Yeltsin was sworn in as president and more than half a year since the demise of the Soviet Union, the Russian border had never been completely settled.

Chaos, after all, during this period, the Kremlin really had no energy and no funds and materials to import to the border.

Nowadays, all kinds of vicious incidents are happening on the border of Russia. This is why Kadenikov and Chubais will arrange fighter jets to escort him as soon as he crosses the border during his two visits to Russia.

This is not polite, I am really afraid that he will be beaten down.

After pondering for a moment, Fang Chen asked: "How many banks are you planning to issue franchise qualification certificates to?"

"The first batch will be at least ten banks. After all, the more participants there are, the more intense the competition between banks will be, and the lower the loan interest companies can obtain from banks."

“The first ten banks include your Hua Xia Bank, Bridge Bank, International Commercial Bank, Capital Savings Bank, Alfa Bank, Menatep Bank, Credit Commercial Bank of Russia, Gazprombank, UniCredit Bank of Italy,

Société Générale." Gaidar said while counting with his fingers.

Hearing these names, Fang Chen suddenly felt like his head was going to explode. All the big Russian oligarchs came out at once.

Among these ten banks, there are six of the seven major Russian oligarchs in the previous life. It can be said that except for Berezovsky, the other six oligarchs have all appeared on the stage.

But when he thought about it, Fang Chen's expression suddenly became a little strange. Although Berezovsky's United Bank was not here, there was his Hua Xia Bank, which was equivalent to the gathering of all seven oligarchs in disguise.

Fang Chen really didn't know what to say now. Should he say that Gaidar was very lucky? Or should he deny it?

But that's what Fang Chen thought in his heart. In fact, he also knew that Gaidar was not to blame. In his previous life, it was because Gaidar granted franchise rights to the banks of these seven oligarchs that the seven oligarchs were born.

In other words, no matter who Gaidar chooses, these people will eventually become the seven oligarchs. Gaidar gave them the possibility to become the seven oligarchs.

This is a causal sequence in which the chicken comes first and the egg comes later.

But to be honest, Fang Chen is not optimistic about the franchise bank plan conceived by Gaidar and Chubais.

After all, if this plan was really good, Russia would not have declined like this, let alone the birth of the Seven Oligarchs.

But what Fang Chen wants to say is that their intentions are good. Finance and banks are all indispensable for the normal operation of a country.

Even when they granted franchises to ten banks at once, it was to allow these banks to fully compete with each other and prevent banks from charging high interest rates when lending funds to enterprises.

But Fang Chen really wanted to say that their thinking was too simple.

In other words, the policy is good, but people’s hearts are broken!

No matter how good the policy is, once the person implementing it has a problem, it will only lead to a very bad result.

As mentioned just now, the original intention of chartered banks is to allow enterprises to obtain funds through banks to develop enterprises and produce more goods for Russia, which is a good thing.

But the problem is that the individuals or companies that received the loans did not do so.

After they got the money, they did not use the money for business operations, but used the money to buy other companies, and then sold these companies to foreign capitalists, or directly sold them as scrap metal.

Because by doing this, the profits they can make are far greater than the profits they can make by running a normal business, and the money comes in quickly and the turnover cycle is short.

After all, the capital they had to pay to acquire these enterprises was pitifully small. It was even given to them by Heidar and Chubais for free in order to develop Russia, solve inflation, and make Russia a capitalist country with a free market economy.

This is why Luzhkov cursed loudly when he mentioned privatization, saying that he did not want to implement privatization and scolded those people who only wanted to be business owners for an hour.

However, this kind of speculation or poaching behavior in Russia, because the profits are high enough, they can often accept higher bank loan interest rates.

Banks are naturally profit-seeking, and they will lend money to anyone who offers a higher loan interest rate.

As a result, those who really want to run a business are unable to obtain loans from banks because their profits are not high enough, the money comes in fast enough, and they cannot afford high interest rates.

This is also called bad money driving out good money.

Fang Chen once read a statistic: the Central Bank of Russia distributes tens of billions of dollars in funds to these chartered banks every year, of which only 1.2% is lent to normal business owners and the real economy, and the remaining 90% of the funds are lent to these banks.

It is a speculative, short-term transaction that can make money easily, and the remaining eight percent is allocated to the import and export business.

And even if Gaidar and his colleagues say from the government level that foreigners are not allowed to participate in Russia's privatization, that is to say, foreigners are not qualified to buy companies cheaply from auctions in Russia.

But foreigners can buy Russian companies from other Russians or companies.

Although Gaidar and the others did not want to see this scene, they could not stop it.

After all, Russia is now a capitalist country and a free economic market. It cannot prevent foreigners from buying companies from other people and companies at a normal and reasonable price.

Once he does this, the United States and other Western developed countries will slap various labels on Russia and launch sanctions, saying that Russia is not free, free, and not capitalist.

However, in order to get closer to the Western world, Russia in Yeltsin's era gave up all face and kept showing its warm face to the cold face of the United States and other Western developed countries.

In addition, funds distributed by the Russian Kremlin to other states, regions, and borders will be intercepted by these franchised banks and delayed for a period of time.

You know, for banks, funds represent profits. Banks can lend this money to other people and companies and earn interest.

What's more, the funds issued by banks to states, regions, and borders are promissory notes, which are familiar acceptances in China. It takes a while to redeem them. If you want to redeem them in advance, you need to pay interest to the bank.

As for the most egregious bank, relying on its special relationship with the Russian government, the funds it distributes to states, regions, and borders are discounted, or even not provided at all, and they directly withdraw it themselves.

And the most important thing is that at the current rate of depreciation of the Russian exchange rate, franchised banks can also find ways to convert the money given by the Russian Central Bank into US dollars or commodities.

Fang Chen has probably done the math. Although the current depreciation of the Russian exchange rate is not as crazy as before, the money he got at the beginning of the year will still be so much money when he pays it back at the end of the year, and interest will be added. The value is only equivalent to one-fifth of what it was at the beginning of the year, and the remaining four-fifths have become the bank's own money due to the depreciation of the exchange rate.

It is through various means like this that Russia's big oligarchs accumulated a huge amount of wealth and gradually grew into a man who in later generations has the power to control the economy and government in Russia.

"Fang, what do you think?" Seeing that Fang Chen didn't express his opinion for a long time, Chubais became a little impatient.

Fang Chen smiled slightly, showing four white teeth, "I have no objection, I completely agree."

Indeed, as mentioned above, there is a big problem with the franchise policy, but the question is, why does Fang Chen oppose it?

Where you sit and what you say, your head is never as important as your butt.

For him and Hua Xia Bank, the franchise policy is equivalent to opening up another source of income. If he doesn't agree, it means he can't live with his own money.

In addition, Fang Chen couldn't stop this. After all, no matter what, the taxes collected by the national government must be spent in some way, and there must be a channel such as a franchised bank.

Just like in China, when the Ministry of Finance releases project funds to local governments, the local governments do not directly withdraw the money from the Treasury's treasury, but also transfer it from the Ministry of Finance's bank account to the local bank account.

As the blood of a country, banks cannot be cut off and must exist.

But now the Russian people's hearts are broken. No matter how good the policy is, there will definitely be problems in its implementation. This is human nature and cannot be changed by Fang Chen on his own, not even Heidar and Chubais.

Hearing what Fang Chen said, Gaidar and Chubais immediately beamed with joy.

"Then let's talk about the voucher. What do you think about the voucher?" Gaidar said while the iron was hot.

voucher?
Chapter completed!