Chapter 711 - 329: Good Economic News (Part 2)

How could the soldiers, who enlisted in the army, not be grateful to Carlo with such an income?

After all, their ability to earn such a high income is inseparable from Carlo’s many efforts.

During the more than ten years since Carlo was crowned King of Spain, the income of Spanish Army soldiers has increased three times in varying degrees.

It was precisely these three pay raises for soldiers that made becoming a soldier one of the most coveted professions for all Spaniards, and it is also why Spaniards actively register to join the army during recruitment.

The annual enrollment numbers and application figures from Spain’s military academy also reflect how popular military schools are.

In 1885 alone, the total number of applicants to Spain’s military academy exceeded 2,000. All these applicants initially met the academy’s admission standards, as those who did not meet the standards were not even qualified to apply.

What is the total number of admissions to Spain’s military academy? Less than 500 people.

This means that out of all high school graduates who meet the Spanish military academy admission requirements, less than 25% can actually enroll.

This ratio is enough to prove how competitive the admissions process is for the Spanish military academy and also shows how outstanding those admitted students are.

Of course, these high school students’ efforts to apply to military school will not be in vain. As long as they successfully get into the academy, their future minimum annual income will be more than two to three times that of an ordinary Spaniard.

Even if one only progresses through accumulated qualifications, it’s not difficult to become a Major-level officer in the future. A Major’s income is already equivalent to the total annual income of four ordinary Spaniards, an unimaginable fortune for a typical Spanish family.

It is precisely because of the high income of officers that a large number of Spanish youths are constantly drawn to a military career.

It’s important to note, the income levels of all officers mentioned above are estimates of National Defense Forces Royal Army officers’ total income; the income of Navy officers and Guard Army officers does vary.

Due to the special nature of the Navy, officers’ incomes are slightly higher than those of the Army. However, because Spain focuses more on the Army than the Navy at this time, Navy officers’ incomes are at most about 10% higher than those of Army officers.

The income of Guard Army officers, directly commanded by Carlo, is roughly on par with that of Navy officers, with all officers’ incomes being about 10% higher than those of Army officers.

This is because the salaries of everyone in the Guard Army, from Generals to ordinary soldiers, are covered by the Royal Family, resulting in better welfare compared to the regular Army.

Of course, the Guard Army is not without its drawbacks. Due to having only one reinforced division, the career prospects of senior officers in the Guard Army are lower compared to those in the Royal Army.

But that being said, the earliest batch of locally trained Spanish officers are only in the ranks of field-grade officers, with few reaching the high position of division commander.

For these Spanish military academy graduates, even if the Guard Army offers fewer career prospects, they still prefer to serve in it.

Apart from having more favorable salaries and benefits compared to the regular Army, serving in the Guard Army also means they are directly loyal to their beloved king, becoming a confidant of the king upon joining.

The Spanish Army is also called the Royal Army, but the treatment between the Royal Army and the Guard Army is worlds apart.

The best weapons and equipment are always first allocated to the Guard Army, and their ammunition consumption is several times that of regular Army soldiers.

After all, the Spanish Royal Army consists of 175,000 troops, and such large numbers mean their ammunition consumption is astronomical.

Without certain controls, even routine target practice ammunition consumption could completely deplete the Ministry of Defense’s budget.

Compared to the 175,000-strong Royal Army, the Guard Division with only 15,000 troops doesn’t have these worries.

Though the wealth in the hands of the Royal Family doesn’t match that of the government, not all government funds are invested in the military. With only 15,000 troops to support, Carlo can afford to let the Guard Division conduct extensive firing training.

Were it not for concerns that their bodies wouldn’t withstand continuous firearm training, Carlo would indeed consider having the Guard Division’s soldiers spend hundreds of rounds in each session, honing precise marksmanship.

Currently, Guard Division soldiers have firing practice twice a week, each time consuming 25 rounds.

It’s not that Carlo is stingy; the main issue is that this era’s firearms differ from future automatic rifles, with backloading rifles having slow firing rates.

A Guard Army soldier would typically need about a minute and a half to fire all 25 rounds.

Moreover, the recoil from firearms can cause physical damage, so consuming 25 rounds per session is a reasonable figure. It allows soldiers to gain shooting experience without sustaining injuries from frequent firing.

Of course, time consumption is an important consideration. The Guard Division has 15,000 troops, all of whom need to undergo target practice twice a week.

How to effectively arrange shooting practice for all soldiers is something the officers of the Guard Army need to carefully consider.

Speaking of Spain’s economy, Spain’s fiscal revenues in 1885 reached a record high of 1.2021 billion thanks to a significant increase in GDP.

Even though fiscal expenditure amounted to 1.0862 billion Pessetas, the Spanish Government still achieved a fiscal surplus of 115.9 million last year.

However, owing to debt repayment obligations, the Spanish Government’s actual surplus was only 15.9 million, as one billion Pessetas were used to repay foreign debt.

After years of such external debt repayment, Spain has repaid slightly more than half of its accumulated debt over the years.

If one billion Pessetas can be allocated annually for debt repayment, it’s estimated that by around 1890, the Spanish Government will have cleared all debt, achieving total fiscal flexibility.

For the current Spanish Government, if a quick debt repayment is desired, merely reducing military expenses and fiscal expenditures slightly could feasibly clear all debts within two years.

However, there is no need to rush. The remaining debt is not much, and time is not urgent; it can be slowly repaid at one billion Pessetas per year.

Listening to the government’s financial report, Carlo couldn’t help but feel a little emotional.

Compared to when Carlo first became King of Spain, the current state of Spanish Government finances is significantly improved.

We must acknowledge that Prime Minister Prim’s reforms have contributed significantly to Spain. Without Prime Minister Prim’s reforms revitalizing various industries, where would Spain’s current vast fiscal revenues have come from?

The rapid economic growth of Spain was primarily stimulated by foundational infrastructure projects. The swift increase in the worker population also accelerated the rise in Spain’s per capita income, and as people had more money, they were more willing to spend, further boosting economic growth.

This positive cycle facilitated Spain’s rapid development over more than a decade, achieving a remarkably high level.

Naturally, Prime Minister Prim’s reforms also freed Spanish farmers. Even farmers without land saw a significant income rise due to reduced land rents.

Additionally, during more than a decade, Carlo and the Spanish Government released a large amount of farmland into the market, which was returned to farmers through leasing or selling.

As Spanish farmers acquired more farmland, their incomes naturally surged.