Reborn In 17th century India with Black Technology

Chapter 606 Economic Growth 1659



The Civil War within the Safavid Empire has just come to a brief interval of peace. Both the Persian Kingdom and the Lalishsthan Kingdom were implementing drastic reforms in order to quickly control the population and form an offensive and defensive force as soon as possible, as both the nations knew that the peace was not for long.

Interestingly, both the Atashban family and the Yazidis chose to base their governance structure around the governance structure of the Bharatiya Empire, that is, constitutional monarchy.

Due to neither of the new kingdoms having any experience in such matters, they had actually requested help from the Bharatiya Empire. Vijay, who received the request, was overjoyed. If there is a way to permanently influence a country, then it is only through the constitution. And since Roxana and Ezidi Serwan personally requested assistance in setting up the constitution, Vijay realized that he now had such a once-in-a-lifetime opportunity to permanently influence the Persian Kingdom and Lalishsthan Kingdom not only through economy and military but also through politics. So, Vijay took the matter very seriously. He immediately had the Minister of Justice, Bhuvan, personally travel to the new kingdoms and help them out with setting up their constitution.

Nearly half a decade ago, for the Bharatiya Empire to set up a constitutional monarchy, Vijay had to work very hard to first remove all the embedded interests of the empire, like the nobles and the landlords. He even had to face a rebellion, a revolt, and even backstabbing from his own cousin. But most enviably, neither the Persian Kingdom nor the Lalishsthan Kingdom had to do such a thing because all the nobles and landlords had already been killed in war. So, taking over their resources and spreading them with the people didn't cause too much opposition.

In fact, it had the opposite effect. The powers of the Atashban family in the Persian Kingdom and Ezidi Serwan Sarvana in the Lalishsthan Kingdom were quickly consolidated, Making their rule more solid.

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While everything was going smoothly in the Safavid Empire, the Bharatiya Empire had not slowed down its development either.

The industrial sector continued to grow. In the last financial year, 1658, its total contribution to GDP rose from 12% in 1657 to an impressive 18%, marking a 6% growth in just one year. What's more, the Empire's economy is only beginning to take off. After dealing with the aftereffects of integration, the benefits are just starting to be realized. Beginning in 1659, industrial companies have sought to procure cheaper raw materials from the north, which is expected to reduce procurement costs, increase productivity, and market competitiveness, and, overall, significantly stimulate the economy. As a result, it is a given that the manufacturing sector will account for at least 25% of the Empire's GDP in the current financial year.

Coming to the sector of infrastructure development, due to the two mega projects that have been started simultaneously, migrants from the north have continuously emigrated to the southern part of the empire without fear. As of now, there are currently 15 million labourers working on the two mega projects. Utilizing such a large pool of human resources, almost 30% of the road for the railway has been cleared out, gravel has been paved, wooden sleepers have been installed, along with building supporting infrastructure like bridges and tunnels for the laying down of railway tracks.

To be more specific, 512 kilometres in Satavahana, 150 kilometres in Kalachirunagar, 300 km in Gangapuri, 800 km in Kakathiyapuri, 500 km in Cholapuri, 496 kilometres in Vijayanagara, 93 km in Cheranadu, and 99 kilometres in Anuradhapuri have been cleared out.

Additionally, the external state-to-state railway of 1000 km has already been laid, and for the core central transportation lines, 900 km have been laid down. In total, four thousand eight hundred and fifty kilometres of road have been cleared out.

As for the construction of the canal, two hundred and twenty-five large-scale reservoirs have already been constructed, 23 small dams have been built, diversion channels have been arranged, and most importantly, 1.2 million metric tonnes of rock, gravel, and sand have been excavated at the canal digging site near the city of Coimbatore. To put it into perspective, that is the same amount of dirt that can fit into three hundred and twenty standard Olympic swimming pools.

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The naval industry is not lagging behind any other industries in the empire either. With the massive orders put forward by the empire's navy, the top shipbuilders in the empire are quite nourished. As of now, nearly 25 Delhi-class battleships, 14 Guwahati-class armed merchant ships (among which four are special container ships), 30 Pune-class battleships, 150 Colombo-class frigates, 50 Chennai-class Clippers, 300 Amaravathi-class frigates, and finally, 150 Kolkata-class Clippers have been built.

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That is nearly 50% of the orders put forward by the Navy.

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An unusual sector that has had geometric growth since January 1659 is the financial sector. The birth of the financial sector in the Bharatiya Empire took place only a few years ago, so generally, people ignore the sector since its actions are not too public. While they do use its services, they know nothing about its workings and prospects.

However, with entrepreneurs rising up all over the empire like bamboo shoots after rain, they witnessed how the financial sector could be used as a catalyst for their growth, and people quickly took notice of this unassuming financial sector, which had the power to support the growth of the industrial sector.

Before the emergence of the banking industry, if they wanted to build a business, they had to do it with their own money, and if they lacked money, they had to borrow it from someone. But the problem was, although they could borrow from a loan shark, the transaction was always insecure since the deals were always sketchy, with the interest rates of the lender fluctuating greatly. But with the banks, that ceased to be the case almost immediately, as the banks were directly regulated by a government body, the Reserve Bank of Bharat. So, although the banks' interest rates and loan amounts were not the best rates people could get, it was still the most reliable and transparent.

Due to these reasons, entrepreneurs who would have hesitated to take a loan before now are readily going to the bank to confidently procure a loan in order to grow their business. This led to further development in the financial sector, and most importantly, the profitability of the banks increased.

Raya Royal Bank, representing the topmost echelon of finance in the Bharatiya Empire, followed by the Shetty and Cooperative Industrial Bank and Bharatiya Southern United Bank, went on to make record-breaking profits every quarter. In Q1 of 1659 alone, Raya Royal Bank made a profit of 35 million Varaha, which, amazingly, is nearly 70% of the total profits from the whole year of 1658.n/ô/vel/b//jn dot c//om

Calculating the growth trajectory for Q1 1659, the Raya Royal Bank is poised to make nearly 140,000,000 Varaha in profits. That has already surpassed the GDP of some Southeast Asian countries.

Speaking of gross domestic product (GDP), the GDP of the Bharatiya Empire has reached new heights every passing year. It used to be only 11 million Varaha, amounting to 40 tonnes when Vijay consolidated his throne in 1650, but that number kept increasing year on year. It went from 43.4 tonnes, then to 47 tonnes, then to 51 tonnes, then to 79 tonnes, then to 86 tonnes, and finally, in the year 1656, the year the war was coming to an end and the initial border integration was done, there was a huge increase in GDP as it reached 99 tonnes. With the improvement of industries and the popularization of machine tools in 1657, the GDP had reached a whopping 120 tonnes.

Last year had the biggest growth in GDP in the history of the Bharatiya Empire, as due to integration and further liberalization of trade, as well as finding new markets in Southeast Asia and Europe, the GDP directly reached 180 tonnes, amounting to seven billion nine hundred and forty-one million six hundred thousand Varaha. This is a gigantic number.

In the current financial year, 1659, in the first quarter alone, rough estimates from the Ministry of Finance, the tax bureau, and the Reserve Bank of Bharat state that the GDP has already reached 50 tonnes and is poised to make an overall total by the end of the year of at least 200 tonnes. All in all, the Bharatiya Empire has already become the richest country in the world in terms of GDP alone. However, in terms of income per capita, although it has not reached the top place due to its larger population, it has already ranked into the top 10 in the world.

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There were other sectors that greatly benefited from the economic boom, like the real estate industry, which greatly profited from the integration; the medical sector, which had constant growth of at least 15% quarter on quarter due to the constant increase of the middle class, who were the main consumers of medicines; as well as the sports sector, which gained unexpected growth due to the Aikyotsava events and, more importantly, due to the immense support of the Royal family.

Overall, the current Bharatiya Empire is in a period of rapid development, with the industrial sector and infrastructure sector taking the lead, followed by the naval sector, and the financial sector becoming the brightest and most profitable areas of the empire.


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