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Phase 25: Burning stars

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Part 7

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Chancellor's Office

Senate Building

Coruscant

Satine took a sip of her war tea and shook herself from the morose thoughts running through her mind. She had to concentrate and continue to do her job, which right now entailed meeting the interim Financial minister, an accountant working for a Department within the Economic Development Ministry, until the powers that be could decide who they could agree on as a replacement, not to mention the directives said replacement would have to follow.

A familiar, very tall, old Muun slowly made his way within the Chancellor's office and Satine rose with a smile to greet Director Vi Shephi, the Interim Financial Minister. They exchanged pleasant greetings before sitting down for the briefing.

"We've got the preliminary data compiled and I have my department going over it." The Minister began. "As you know, Chancellor, this war has disastrous effect on the economy of the Republic and our capability to keep our revenue stream going. Yet, at the same time, the impact of the disruptions among the regular economy upon the military related industries is subdued, generally second order. A part of the reason is the relative disconnect between the needs of the regular economy and industries taking part of it and the military-industrial complexes supporting the war effort. In the later case, the primary issues effecting them is the physical loss of industrial nodes, disruption and outright loss of supply chains due to enemy action."

"I'm aware of the military situation and it's direct effect on the industry." Satine confirmed that they were on the same page. She appreciated that Shephi was one of the rare people handling the Republic's economy, who could explain things in plain Basic instead of using heavy economic therms you usually needed a protocol droid to translate.

"I'll hit the high points, some of which we've already covered, and how they are effected by newly compiled data." The Minister continued. "First, the overall economy has shrunk about fifty-five percent on Republic-wide scale, with second order effects hitting our revenue streams even worse. For this ending fiscal year, we're set up to gain less than forty percent in taxation compared to the previous year, before the war turned for the worse. Barring another major military disaster, even when taking into account potentially regaining a lot of territory in the Core, we don't foresee a major increase in revenue streams for at least another year from said territory. On the contrary, we in the Economic Development Ministry foresee the need to offer a large number of loans and subsidies to get multiple friendly local governments back on their feet and assist with rebuilding of critical infrastructure and defenses."

"This is not unexpected, we covered the possibility as likely during our last meeting. You did impress upon me that our ability to pay for the war won't suffer as bad as these numbers indicate, at least not in the short term." Satine prompted.

"That's true. The postmortem revelations from your predecessor, combined with our investigations and freezing assets of various secessionist regimes means that in the short term we might be find as far as liquid assets are concerned. Right now, we have enough credits to continue to wage the war for twelve months, coming taxes from the ending fiscal year will push this up to eighteen months if we use the planned budged for next year."

"The reason the numbers look so good is because we've lost a substantial number of industrial nodes and we won't be paying them for any more war related production anytime soon." Satine concluded.

"Correct. With the loss of industrial capacity and the fall of numerous systems, especially in the Core, a lot of resources we would have fueled their way remain available, which is a silver lining as people say. At the same time, rebuilding said lost industrial capacity, either in recaptured systems, or deeper in the Core is going to be expensive and once authorized will take a hefty chunk of the budged." Shephi pointed out. "This brings me to the other issue. While we're fine for now, liquid asset wise, and can remain so if you authorize the liquidation and use of frozen secessionists' and criminals' assets, we do face raw resource shortages as well as gaps in various vital industries, exacerbated by the needs of the military. The civilian population has been impacted to some extent and the trend will continue to grow. While we can get all the resources we really need in the medium to long term by tapping physically closer extraction sites, many of which were mothballed in the past because they were no longer economically viable, this will mean skyrocketing prices among almost everything barring essentials. You know very well that for a lot of resources it was faster and cheaper to extract, refine and transport them from the Outer Rim instead of systems in the Core which don't have convenient hyperlane connections."

"I'm well aware. Thankfully we will have the raw resources we needed to prosecute the war."

"It's just that until said mining sites are fully operational again and the logistics train is in place properly, we'll be facing about three to four months of resource shortages which will slow down production. The price of said resources will be higher, obviously, which brings us to another issue. Fuel. We're expending it faster than the infrastructure in the Core could supply it, which means that until said infrastructure can be expanded or we manage to retake critical industrial nodes intact, the military will have issues conducting sustained offensive operations. It's a good thing that we caught the trend during the intensive training General Kenobi has been conducting. That combined with analysis of what General Veil did in the Mid-Rim was a wake-up call."

"A lot of the infrastructure needed for fueling capital ships and large freighters was set up in the Mid and Outer rim to facilitate the transport of raw resources and goods in both directions. We no longer have access to said infrastructure and a lot of it was destroyed by our own forces to prevent it from falling into enemy hands. That at least in part explains why they had to pause after Corellia – the Separatists are facing logistics issues with sustained offensive as well." Satine said. "After the currently ongoing operations, we'll need to slow down, rebuild both our fleets and logistics before we can even think about launching any sustained offensives."

"Especially if our military manages to secure a hyperlane leading to the Mid-Rim Alliance, in which case we'll have to support them as well. After General Veil's campaign, they're going to be in sore need of both military and economic aid provided that the Separatists haven't dealt with them." The Moon continued. "I've got teams making plans to offer economic aid and figure out what resources we can spare to send their way if doing so becomes viable. Such an eventually will bite into our liquid assets as well, however if the Mid-Rim Alliance still stands, reconnecting with it for good would significantly increase our revenue streams in the mid to long term, not to mention, we'll regain access to a lot of cheap resources, which will be a sorely needed boost for the economy."

"Our military-industrial complex should be good for now, barring a disaster then?"

"That much I can confirm." The Minister agreed. "The overall economy won't be recovering anytime soon and on micro-economic scale, there are millions of small businesses filling for bankruptcy, primary due to unsustainable price hikes among the products they sell, loss of manufacturers, either total or due to severed logistics chains. We'll need to do something about them, however the amount of aid we can offer given the budget constrains will merely soften the impact for some of them."

"There are going to be even more jobless people with no good prospect for finding decent work anytime soon. The odds of sweeping as many of them through the military recruitment programs as possible?" Satine inquired.

"That's not really my department."

"I figured that much."The Chancellor responded with a sigh. "Skyrocketing prices and businesses going out of work will be and increasingly severe problem before things could even begin to get better. That would mean we'll have a lot of angry people with a lot of free time on their hands to deal with. The last thing we need is repeat of the planet-wide protests…"

"The economic model the galaxy operated under for the past thousand years is now gone thanks to the war. Even if there's peace signed tomorrow, it is going to be years, likely decades before the economy begins to really recover. What we can do, once we don't have to fuel as much resources in the military as we could is offer incentives for or outright support rebuilding programs, which should get a lot of people working all across the galaxy. Best case scenario, we're looking at deficit spending for at least a decade or more to come, while at the same time we won't reach pre-war revenue income for as long if not longer."

"We'll need a new economic system for the post war period." Satine stated. "Minister Shephi, you're one of the people who know that currently, barring a miracle, we won't be able to prosecute the war to a successful military resolution. When the guns finally lay silent, there will be a Confederacy Remnant surviving in one shape or another, not to mention the issue of all the secessionists who didn't quite join them. The economic system the Republic guaranteed won't be able to survive, much less thrive, under such circumstances."

"I'm aware and have trusted people looking at alternatives, especially at what the Republic's previous iterations had used in the past after recovering from major wars."

"Good. Now let's talk about the stimuli for the micro-economic enterprises and aid for those going out of job in droves…"

"Before we get to that in detail, we need to discus the Banking Clans…"

=RK=

Part 8

=RK=

Chancellor's office

Senate Building

Coruscant

Late in the evening, hours after most reasonable people had finished their work for the day, Satine welcomed her latest visitors. Padme Skywalker walked in, her rich silver gown given the appearance that she was gliding above the floor with energy that the Chancellor couldn't help but envy. Skywalker himself entered a step behind his wife, appearing like a shadow in his black robes.

"Padme, Anakin, it's good to see you." Satine greeted with a genuine smile. "Please, take a seat. We have certain issues to discuss."

"Chancellor Kenobi." The Senator from Naboo curtsied, before heading for one of the seats in front of Satine's desk.

"You keep treating me with formality you rarely showed my predecessor, no matter what I say." Satine grumbled good-naturedly.

"His position, both in the Senate and as a Chancellor has been secure for a long time. Unfortunately for everyone involved, we can't say the same for you, Satine." Padme did drop the formality at least, while her husband rolled his eyes at her antics. "And you," She glanced at Anakin, "was one of his closer friends and a Jedi too, which granted you a lot of leeway. The same isn't true for Satine here. Not treating her and the Chancellor's office with all the due respect it requires, will undermine her authority. Considering the times we live in, we can't afford even a hint of something like that in public."

"We're in the Chancellor's office!" Anakin pointed out in exasperation.

"My point precisely." Now it was Padme's turn to roll her eyes in a very un-lady like fashion.

The two of them, with appropriate escort, would do, Satine thought.

"I have a job for you, if you agree, Padme." The Chancellor began, choosing to ignore the antics of the married couple.

"I am of course at your disposal, Chancellor." Padme nodded after sitting down, followed by Anakin.

"You're going to throw us straight into the fire, aren't you?" The Jedi asked.

"It fits your job description and I do want my friend back in one piece." Satine explained. "It must come as no surprise to you, Padme, that the Republic's economy is shaky…"

The Senator from Naboo looked dead-pan at the Chancellor. "I've been using what little spare time I have to oversee various charity programs on Coruscant and the nearby sectors. I'm very well aware how the war has effected a great number of businesses, especially smaller ones that relied on deliveries from all over the galaxy. The larger corporations can at least in theory absorb the hit without going bankrupt, the same can't be said for countless smaller enterprises."

"That is unfortunately true. The need for relief is great and it will only grow in the coming months and years. That is especially true for the Mid-Rim Alliance if they're still around once we can establish contact. They'll will need substantial aid and we better have the credits and other resources at hand when the time comes. That is why I require of you to be my emissary to the Bank of Aargau in particular and the InterGalactic Banking Clans in general. Interim Minister Shephi has open communication channels with the IGBC and they will have representatives ready to meet us at Aargau. The planet as well as the whole Zug system are currently considered neutral grounds."

Anakin snorted. "That's one way to put it. They're secessionists and opportunists." He said in a tone that made his feelings on the matter perfectly clear and thus earned himself a scowl from Padme.

Satine on the other hand? She smiled at the Jedi. He was going to help send the right messages to the Banks. The Republic was ready to negotiate in a good faith, however if certain parties even thought about taking more of an advantage of the situation, then there would be consequences in the fullness of time. The war was turning and while a victory was a far away dream, likely an impossible one at this point, the Republic, the New Order and future Empire Satine staked everything on, they would preserve and there would be reckoning for those who did their best to shatter the galactic order for no better reason but their own greed and lust for power.

Anakin raised an eyebrow at Satine, possibly sensing her raging emotions. She leaned back and forced herself to relax. This wasn't the time and place for her hormones to be raging and reinforcing her feelings on the topic.

"What exactly will we negotiate for?" Padme inquired, all business.

"It is clear that the IGBC as a whole are content to stay out of the war and support both sides, ensuring that they're likely to be the only winners from this insanity. Unfortunately, we do need them, their credits and connections. While an economic collapse after the war is over is preferable to loss, it would be infinitely better if we can avoid a full economic meltdown. In order to achieve that, hasten the recovery and in the short term, better cushion the hits from the war, we need the support of the banks. I know that my predecessor toyed with the idea of nationalizing them, in no small part due to their support of the Separatists, however we're in no position to do so."

"Unfortunately." Skywalker pipped up.

"That's neither here nor there. Padme, I need you to get us the best possible loan terms and guarantee for continued services for governmental, corporate and private accounts all across the Republic. Further, I need you to broach the topic for a future incorporation of the IGBC in the Empire." At that Satine couldn't help it and paused, feeling as if she was tasting something sour. "As the core of the future Imperial Bank, guarantor and creditor for the Empire's restructured currency."

"We're going to reward treason then." Skywalker's scow deepened.

"Treason never prospers, Anakin, because when it does, no one dares call it treason. If we have an acceptable choice, we can't make an enemy of the banks." The Chancellor grew deadly serious. "However, if they choose poorly, well you'll be representing the other option we'll offer them if they don't want to come back into the fold."

"That I like." Skywalker cracked a smile that really didn't belong on the face of a Jedi.

Meanwhile, Padme groaned. "Satine, you know that not so long ago, I would have been berating you for even suggesting something like that!" The Senator exclaimed, yet her tone came out just short of being properly scandalized.

"Not so long ago, something like this would have never crossed my mind, my friend. At the same time, not so long ago, my home wasn't under siege and I was under the mistaken belief that the Republic wasn't just willing but able to help us. Now we both know better."

=RK=

CIC

CIS Providence class dreadnought "War-sworn"

Corellian system

The main holo-tank lit up the whole compartment, displaying a detailed map of the galaxy. On it, multiple angry red symbols crawled through and devoured chunks of friendly blue territory while small green formations hit the Republic's supply lines.

"The strategic situation is clear, we can't move enough heavy forces to stop Veil. We can slow down the Sith, we can hurt him, but we can't stop him before he bursts into the Core." The familiar modulated voice of Kleo Vombra echoed on the quiet CIC.

"I'm aware of the situation. Our fleets are stretched thin facing off against the enemy and covering our logistics needs. The one force best suited to deal with the Sith is out of position and I still believe it would be best that we try to take him out when he goes for Mandalore, which he'll have to soon." Admiral Trench said. "I agree that our personality profile of the man is accurate enough. No matter if he cares about the Mandalorians or merely about the political backing they offer him, he'll have to go relieve his capital world ASAP."

"The Bothan Spy Net agrees. What we gather from their own analysis is that Veil suggested this campaign after it became clear that his 'allies' in the Core won't release enough ships for a practical relief operation at Mandalore." Trest Ilroth said. "Further, as you very well know, we not only had the Republic's intelligence services penetrated long before the war…"

"One of the few good things that came from the Sith running the Republic being in charge of both sides when the war began…" San Hill pipped up all the way from Muunilinst, where he was in negotiations with the InterGalactic Banking Clans, which weren't officially backing the Confederacy.

"Yes, that." The Niemoidian agreed. "As I was saying, the fracturing of the Republic and it's intelligence services, combined with the Sith's atrocity at Bothawui has us in a great position intelligence wise. However, the fractured nature of the galaxy is double edged sword for us too, because often it takes a long time for actionable intelligence from the Core to reach us."

"Like the fact that we got word of the political changes in the Republic just before they launched their offensive so we lacked time to properly react." Trench nodded.

"This is close to our worst case scenario politically speaking." The Chairman of the IGBC faction aligned with the Confederacy continued. "We did hope that the Republic would collapse, especially when we weren't busy pushing in the Core and thus offering them a clear and present danger to rally against."

"We couldn't push any further without risking losing an unacceptable amount of ships and possibly the war due to logistics." Trench pointed out. "Even now, we have an unacceptable number of ships stuck on logistic duties supplying us all the way to Corellia. Considering the strategic situation, our best bet is to bleed the enemy as much as practical, then trade territory for time while we prepare for a counter-strike. We've been landing armies on occupied and contested worlds all over the part of the Core we currently control and the Republic will have to liberate them. They can't afford to simply blockade those systems and deal with our ground forces at a later date. Doing so would be unacceptable politically and economically for them. Supplying so many new active ground theaters will sap their strength and bleed them, especially now when they lack a good source of Clones."

"We've agreed with your reasoning and still support it, Admiral." Ilroth hurried to add. "We've had your colleagues review the strategic situation and our options, they agree. The odds of this war ending up with a clear winner barring huge strategic mishaps from one side are remote. What we need is to hurt the enemy as much as possible and be at the best possible position for a future round two. If the enemy suffers either a political collapse or a sufficient military reversal, then we'll re-evaluate our strategic stance."

"That's good to hear, Viceroy Ilroth. In that vein, I do have a proposal in need of approval. When the Sith reaches the Core and unites his forces with those, which burst out of Kuat, my position will be untenable. I don't intent to make a pointless last stand…"

"We neither require, nor expect such a thing from you." The Cyborg in charge of the Techno Union reassured Admiral Trench.

"That's good. My suggestion is the following…"

=RK=

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