Chapter 958: Know What to Do
Joe Ga didn't really figure anything out; rather, he suddenly understood the essence of wealth concerning the 'gold mine' and 'small town' issues, as well as the internal logic of capital harvesting.
Money is always either paper or numbers in a bank; the truly valuable assets in this world are always assets.
Mining is labor-intensive and is considered wealth creation through labor.
Whereas a small town creates an economic zone, takes the profits from gold production, and establishes a series of economic chains.
According to privatization logic, both are tradable valuable assets!
Financial capital profits are largely asset transactions.
Equity, real estate, factories, commercial facilities, infrastructure, and even various bonds are all tradable assets.
By suppressing your economy, causing both your currency and assets to depreciate, once I've cashed in the proceeds from short selling your currency, I'll come in with euros or dollars to acquire your valuable assets.
As long as the injected capital is sufficient, the economy will quickly stabilize and rise.
This is the approach taken by those super asset management companies!
Buying low, then holding, managing, and upgrading increases the asset value, and finally, depending on the situation, they can choose to sell.
After cashing out, they wait for the right time to do it again, reverting you to your original state, repeating this cycle.
US dollar capital repeats such operations worldwide every few years, which is why 70% of the globe's top 50 asset management firms are in America.
Countries that build their political systems according to Europe and America and carry out privatization to the end cannot resist the harvesting of strong currencies.
In today's globalization, only countries like China, where state capital is united, can barely resist this 'Grey Wolf' tactic within the rules.
That resistance only ensures not suffering major losses and not regressing for decades, like Southeast Asia did in '97.
Even so, they face criticism!
Earlier, Qiao thought it would be very troublesome to deal with the financial shock created by France.
But now he suddenly realized he's already aware of potential situations; as long as the bank doesn't hold a lot of Congo Franc, losses can be avoided.
And not to sound unpleasant, except for the money deposited by friends, all other money in the bank belongs to the depositors. What losses should he worry about?
Even if the Congo Franc depreciates to mere paper, if you deposit 100, I'm not going to give you back 1000.
Understanding the internal logic, Joe Ga suddenly felt that big capital entering the market might not be a bad thing.
Congo's finance is controlled, which is inevitable.
Most of Congo's foreign exchange reserves are stored in the French Bank; the rest comes from loans or aid from other countries, and most of this aid is conditional and targeted.
For instance, China aiding with $5 billion in infrastructure, on the condition that the projects go to Chinese enterprises.
This money won't enter Congo's banks, nor China's; it exists in several international banks in the form of US bonds or others.
Those wanting to short Congo are actually targeting the foreign exchange reserves stored in the French Bank.
Qiao suddenly understood that France's capital actions might not be against him but could be cyclic.
Last year, Congo generated substantial foreign exchange surplus due to North Kivu's development and mineral exports, and this money is tempting!
No wonder 14 African countries are so poor, no wonder African nations are increasingly impatient with France!
Finally acquiring some foreign exchange, they not only keep it for me but use financial methods to take this hard-earned money when they need it, which feels like extracting the last drop!
Following France leads to starvation, who can tolerate that?
Understanding this, Joe Ga also realized why Claverley advised him not to get too involved in Niger and Mali's issues?
Congo just started showing progress, and France is already plotting, proving their tight fiscal situation.
Syria and North Africa engagements will continue to deteriorate France's fiscal situation.
The old fox Claverley must have noticed France's external strength but internal weakness, hence encouraging Joe Ga to establish a British Investment Company and let British capital enter Congo to vie for benefits against France.
The old man sees Congo's budding development and wishes to reap some developmental dividends.
On the other hand, France can't wait and wants to take a bite of ready-made benefits.
This conflicts with Joe Ga but not fundamentally, as his core assets in Congo are banks and mining resources.
Joe Ga just needs to fiercely guard Kivu Province; ultimately, regardless of what capital plans, they will have to spend real money to acquire assets for maximizing profit.
By then, there will be ways to hold them, forcing continuous investment into those assets.
If I can't beat you, can't I at least drag you in?
Congo doesn't have virtual assets like stocks; holding onto non-liquid fixed assets requires investment for appreciation.
If you want to be like Li Shoufu, hoarding land without opening it, eventually aiming to resell, ha, when the time comes, you'll need my approval to sell.
In a different light, this might be beneficial.
Without Joe Ga having to act, others help break Congo's economy and invest real money to seize valuable assets.
When Joe Ga leads development efforts, resistance will be significantly reduced.
Because those people know what kind of people are governing Congo; they must support Boss Joe to wait for the day when their assets appreciate.
Otherwise, if Boss Joe goes crazy and keeps igniting civil wars, all their investments would go down the drain.
It's not only a good thing, but a fantastic thing; as long as enough capital is tied up, Boss Joe's position will actually become safer.
It's like owing the bank a thousand bucks makes you the grandson, but owing it a billion makes you the grandpa.
If Central Africa is the foundation, then Congo is the big net that binds external interest groups. This broken place has lots of potential; it just depends on whether you support me or not!
Money is important, but in this level of game, money needs to take a backseat...
Because your capital is not as big as theirs, if you're only thinking about money, in the end, you'll be eaten up entirely!
If previously Boss Joe was a bit worried, now his point of concern has changed...
He's worried that those big capitalists won't come, worried they're not coming enough, worried Congo doesn't have enough valuable assets for them to acquire.
Joe Ga sat on the sofa in a daze for a long time, and when he came to his senses, the lab coat kneeling on the ground not far away was already wetted by the floor.
The atmosphere was too tense!
Dorian had experienced Boss Joe's daze incidents many times, and each time such a situation occurs, P.B would make a leap forward.
So when Boss Joe was lost in thought, especially when it was his 'inspiration' that led to it, Dorian excitedly commanded everyone to seal off, then blocked the mouth of the lab coat, providing Boss Joe with an extremely quiet environment.
By the time Joe Ga came back to his senses, the lab coat was already scared stiff...
He felt that the man in front of him was very frightening, because this man's eyes were looking at him but had no sight of him.
That kind of 'inhuman' feeling generated by the environment scared the lab coat so much he peed himself.
At first, Joe Ga was interested in the lab coat, but now his mind was occupied by new ideas...
Frowning, he glanced at the lab coat and waved to Grey Wolf and the others, saying, "You found a gold mine; I originally wanted to give you all bonuses, but now I have a new idea.
Go back and ask your families whether they want to come to Congo for a while?
If they're willing to come, go around major cities in Congo, see if there are any worthwhile investment projects.
I'll provide the startup funds. For a ten-thousand-dollar project, aim for a one-million-dollar project plan, and the PPT has to follow, boast it big.
When it makes money, the project leader can take 30%."
Dorian resisted the urge to feel the boss's forehead to see if he has a fever, and whispered, "Boss, what do you mean?
Most of our families wouldn't know how to do business; otherwise, we wouldn't be reduced to mercenaries..."
Joe Ga looked at Grey Wolf and the others' empathetic expressions and laughed loudly, saying, "You don't need to know how to do business; go build hotels, restaurants, run transportation, anything related to food, clothes, and shelter can be done.
But a hotel must be boasted into a chain hotel, with the land well reserved.
Opening a restaurant also has to be boasted into a chain restaurant, regardless of whether more open afterward or not, first occupy the space.
Understand boasting?
If you don't, find a dedicated company to do corporate development planning and PPT.
You might be the boss of a small workshop, but you have to see yourself as a chairman of a listed company.
These are projects that will make money once societal development starts, and even if they don't make money, at that time I can find someone for you to finance or take over."
Saying this, Joe Ga got up and patted Dorian and Grey Wolf on the shoulders, laughing, saying, "This is a business secret, but I can tell you in advance...
As long as your families are willing to do as I say, they'll be able to enjoy life with investors' money in the future."
Dorian and Grey Wolf exchanged a glance; Boss Joe's current state is a bit terrifying. They couldn't understand the content of what he said, but inexplicably thought it was very impressive.
Grey Wolf blinked at Boss Joe, hesitated for a while, saying, "Sir, can this really be done?"
Joe Ga waved his hand and said, "No problem!
Notify all the special forces mates, any family who wants to join can, I'll provide the startup funds, success means a 70-30 split, failure is my loss.
I've come up with a big plan, but I don't have enough manpower, I trust you guys, and I absolutely trust your families.
You all risk your lives for me, I have to consider for your whole family; doing this job won't guarantee great wealth, but it will ensure you save enough money to let your kids live with dignity and pursue their dreams.
I damn well am going to have a son; I understand this feeling!
We're working so hard, not just to achieve ourselves...
But to make our families live better, make the world a bit better, so that when we finally close our eyes, there won't be any regrets!"
Saying this with great ambition, Joe Ga suddenly gazed at the lab coat and said, "You're a scientist of G.I.D, you're lucky!
You can manufacture a Zika virus vaccine, right?
I want to build a pharmaceutical factory, you become the technical supervisor, whatever medicine you can make, the factory will produce...
FUCK, it still seems not enough..."