Chapter 1608: Chapter 1608 - 1514: Power and Profit

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Joseph continued: "The most crucial thing to maintain the Empire’s influence in South America is to dismantle the monopoly of Creoles over local politics."

Charles IV and others immediately nodded in agreement.

Indeed, while it appears that the officials in the South American colonies are all Peninsula People sent by Madrid, it is the Creoles, with their large population, who are the true administrators there.

Any decree issued by the Colonial Governor ultimately has to go through the Creoles to be delivered and executed by the Mixed-race people, Indians, and blacks—the landlords, plantation owners, craftsmen, even lawyers and clerks, over 90% are Creoles.

Therefore, this group is the most troublesome for the Spanish Government.

Joseph smiled as he met the curious eyes of several people and said, "The solution is quite simple: use the ideas of liberty and equality that Creoles highly esteem to win over the more numerous Mixed-race people, and even Indians, to divide the influence of Creoles."

Count Florida Blanca widened his eyes: "You mean appointing Mestizos as officials? Indians are unlikely; they are just uncivilized folks..."

Joseph shook his head: "Uncivilized people are even easier to manage. You must remember, they are numerous, and according to the Creole ideology, ’everyone is equal,’ so Mestizos and Indians should absolutely have seats in Congress, and they are likely to hold the majority of seats.

"Meanwhile, Mestizos and Indians lack political foundation and must rely on support from Madrid to maintain their positions without being overrun by the Creoles..."

Charles IV suddenly interrupted him, face full of shock: "Wait a minute, are you asking me to establish a Congress in New Granada?!"

Joseph, as a matter of fact, said: "Yes, that is the fastest way to gain the support of all people in the colony."

"No, that’s impossible..." The King of Spain shook his head repeatedly, "Congress? That would cause chaos..."

Joseph looked at him in surprise: "Congress is merely a political form, the specific management model can be specifically set."

Charles IV still kept shaking his head.

Campos stepped forward two steps, whispered: "Your Highness, what His Majesty is concerned about is that the convening of Congress in the colonies will cause some people on the mainland to consider this as permissible."

Only then did Joseph understand that the King was worried that Spain’s Liberals would be encouraged by the appearance of a parliamentary system in the colonies and implement the same domestically.

He rubbed his forehead, thinking to himself that this conservatism really is quite stubborn, as if you think Spain will never have Congress as long as you disagree?

In the future, the bourgeoisie will come to "reason" with guns.

He could only patiently say: "You see, France has also convened a parliament without any issues."

"That’s because you are in Paris." Charles IV’s face was still full of rejection.

Joseph could not help but frown. He knew persuading Spain to implement autonomy in its South American colonies would not be easy, which is why he personally came to Madrid; the result is as expected.

If there’s no Congress... he suddenly thought of something, since the King of Spain dislikes Congress, perhaps change the "skin" instead?

He immediately nodded: "If you are determined not to convene Congress, maybe we can make some adjustments based on the Governor’s Palace."

Charles IV finally relaxed upon hearing "Governor": "What do you mean by adjustment?"

"Set up 150 ’Executive Officers’ under the Governor’s Office to assist the Governor in managing various important affairs, especially colonial law, taxation, and official accountability.

"Executive Officers discuss and submit specific matters for the Governor to sign, and then transmit them for execution in various places.

"And the selection of Executive Officers is nominated by major towns in the colony."

Charles IV was stunned for a moment, feeling this seemed not to overthrow the current set by the Governor’s management, but the "Executive Officers" were not appointed by the Governor.

Then Campos was the first to respond: "Your Highness, can the Governor veto the decisions of Executive Officers?"

"If it aims to mobilize colonial resources and manpower as much as possible, it is better to sign directly."

Campos got a bit annoyed. Isn’t this just a Congress, just voting in the Governor’s Palace?

Joseph directly looked at Charles IV: "Your Majesty, you have driven the Bragança family out of Iberia, they are sure to seek revenge in South America."

Bragança is the surname of the Portuguese Royal Family.

"New Granada is just the first step; with military superiority, they will inevitably expand north until they occupy Mexico. Only by implementing the ’new governor’ model can we defeat the Portuguese."

Mentioning Mexico immediately softened Charles IV’s attitude.

The Regent of France was right, the Portuguese Royal Family is now truly South American, how could they not covet the rich Mexico?

If Mexico encounters an incident, not to mention being occupied by the Portuguese, even just affected by the war, the Empire’s finances would immediately collapse.

All things considered, a slightly "unique" Governor’s Palace seems acceptable. Even if "abandoning" New Granada, as long as Mexico is preserved.

He hesitated somewhat: "Can we really win the war like this?"

"Of course." Joseph nodded positively, "As soon as the Executive Officers enter the Governor’s Palace, they will immediately enforce policies such as tax reduction, abolishing monopolies, and lifting trade restrictions. The Creoles in various places, for these long-desired benefits, will join the army without hesitation.

"And the Executive Officers, in order to maintain their power, will find ways to raise military funds.

"I believe, within three or four months at most, New Granada can muster an army of tens of thousands to fend off the Portuguese in every village and river."

The Spanish Finance Minister Compones suddenly focused his gaze, leaned forward and said: "Your Highness, if the colonies are allowed to reduce taxes and abolish monopoly systems, the Empire’s fiscal revenue will inevitably decrease significantly!"

Charles IV initially thought to say, "Let New Granada’s revenue decrease, then let it decrease," but saw the Regent of France shook his head: "It will decrease a bit in the short term, but I guarantee, in no more than two years, or even just a year, the Empire’s income from New Granada will increase."

"How is that possible?"

Joseph smiled: "Please think about it, which has more surplus every year, the Empire’s finances or the Madrid Guild Bank? Note, surplus, not income."

Compones replied without hesitation: "Of course it’s the Guild Bank, Your Highness."

No kidding, Spanish finances only barely avoided deficits for one or two years after mining the California gold mine; surpluses are not even worth considering.

While Madrid Guild Bank is Spain’s largest private bank, earning hundreds of thousands of Escudo gold coins in interest on loans to the Royal Family annually.

"Exactly." Joseph nodded, "You only see the Empire’s revenue from the colonies decreasing, but neglect that you’ve also shed a tremendous burden at the same time."

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