( Five days later )
The news of an imminent war spread throughout the Empire like wildfire once the Emperor's official letters reached the nobles and while the commoners remained unaware about the situation, the information quickly reached influential merchants and high-ranking government officials, who began hoarding grain and weapons in anticipation of potential supply chain disruptions.
In just a week, grain prices soared by 50%, and the cost of weapons nearly doubled, marking the sharpest rise in inflation the Empire had ever seen.
Under these circumstances, Wade's foresight to invest in weapons proved to be highly profitable for his Trade firm, while it left the other merchant groups puzzled on what their next move should be, as the market became extremely overheated for no apparent reason, with every fast moving commodity becoming more expensive than the next.
Fortunately for Leo, he had already established a granary in his Barony, storing ample grain, and had placed orders for weapons and armor months earlier, which safeguarded him against this sudden wave of inflation.
But it wasn't just him who benefited from this foresight, as it was the people of his Barony who were the biggest winners, as while neighboring regions started to face acute food shortages, Leo sold grains at a subsidized rate within the Crest-Hill Barony, keeping prices stable for the average household.
By now, the residents of his Barony had wholeheartedly accepted 'TheBoss' as their new lord and savior, likening him to a great and merciful Messiah, while his other persona, 'Leo Skyshard,' was revered as a great employer who provided nearly everyone with dignified jobs and stable incomes.
Insulting either persona became a social taboo within 'Crest-Hill' Barony, with the youth ready to commit crimes to defend their lord's honor.
The situation within the Barony had changed so drastically over the past three months that travelers who lived in nearby regions were shocked to see the new and transformed Crest-Hill Barony, which looked completely unrecognizable from just a few months ago.
News about the new Baron's employment scheme and subsidized food rates had spread to nearby villages by now and it had caused many youths and unemployed people to migrate to 'Crest-Hill' Barony which was now considered as a land of opportunity.
The current Crest-Hill Barony was so famous that most displaced migrants from border villages chose to come to Crest-Hill Barony instead of other more historically prosperous regions, drawn by Leo's promise of shelter, food, and employment.
No matter how many migrants arrived, they were integrated into factories, construction projects, or, if fit for service, the military, as regardless of their number, everyone was given employment and shelter.
Naturally, managing this influx was no easy task, but Leo somehow handled it expertly, preventing the refugee crisis from overwhelming civil services and social welfare.
With the addition of newbie players and refugees, Crest-Hill Barony's population nearly quadrupled, rising from around 22,000 to about 85,000 in just the first three months of Leo's administration.
And just when Leo thought that the rate of migration into his territory could not get any higher, the situation took a further turn when representatives of various major merchant groups arrived in Crest-Hill Barony, demanding meetings with 'Master' alchemist Leo Skyshard and the local Baron 'TheBoss.'
These merchants sought to establish trading offices in the region and form trade ties with 'Leo Skyshard,' presenting new opportunities and challenges for Leo's burgeoning Barony.
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"What's the status report George?" Leo asked, as he sounded genuinely tired from the non-stop paperwork that he was being forced to do for the past few days ever since the news about the demon war had broke-out.
"Another 1200 migrants showed up at our migrant registration office today and while we have accepted them into our fold, we are finally running out of your personal funds…..
Nearly all of the 2 million gold coins you provided us with are gone and soon we won't have any money to pay salaries anymore.
While the food, housing and security situation within the Barony is stable now, the tax revenue is still near 0 and the state has no viable sources of income" George reported as Leo pursed his lips under his mask and nodded.
"I know…. But the payment that Merchant Leo has promised me won't come for another 35 days.
We have to run the state until then somehow….. I told you to work on a solution, have you not come up with anything?" Leo asked, sounding slightly disappointed, as George gave him a reassuring smile.
"I have come up with a solution sir…. But it will require you to sell off some state assets….." George said, as Leo's ears perked up at these words.
"The state has assets left to sell? I thought you auctioned them all off before I took office" Leo said, as George chuckled and clarified.
"Yes sir, actually before your arrival there was one asset that the Barony still held which was practically useless and hence we were unable to sell.
The land!
The demand for real estate in this Barony was near 0 back then and even if we wanted to sell state owned chunks of land, there was no-one willing to buy it.
However, with the population of the Barony quadrupling, that same piece of land has become extremely valuable now, and by my estimates, the Baron owns about 50-60 million gold coins worth of real estate within this region, which can be sold to temporarily raise capital" George said, as Leo beamed at the suggestion.
"Bloody hell…. I own 60 million gold coins worth of land? This is awesome!" Leo exclaimed in joy, as this was far beyond his own expectations.
"Yes sir, with how many merchant groups that have formally applied to us asking to buy land, I think we can raise a million or two just from them and that should help us get to the 35 day mark where you expect to get paid from merchant Leo.
I also believe that in a month or two from now, we will find a way to refill the government's coffers in a more sustainable way and levy a proper tax on our citizens based on the budget requirements.
Which should solve the problem long term" George said, as Leo nodded and decided to accept those meetings with the various Merchant Groups tomorrow.
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/// A/N - Chapter 5/15, a third way there ///