Chapter 150: That Time I Invested Overseas.

TL: Skye

“I’m Still Hungry.”

Those were the words filling Yu-jin’s head after the year-end report was over.

GDP: $86 billion.

GDP per capita (excluding Venezuelan immigrants): nearly $10,000. Unemployment: 1.2%. Average annual growth rate: 33%.

The numbers alone were impressive.

Impressive enough to justify calling it the Miracle of the Caribbean.

But.

‘What comes next?’

He couldn’t see what came after this.

Over the past six years, he had done everything there was to do.

He had restored public order through the War on Crime and suppressed the civil war, laying the foundations of the country.

Through the Resident Registration Project, the government had accounted for the entire population, sent a citizenry that had once been largely illiterate to school, taught them to read, and attracted investment.

They had developed the Northern Oilfield, pumped crude oil, built a refinery, and begun exporting petroleum.

With the money from that, they had laid highways across the country and created jobs for the unregistered persons brought into the system through the Resident Registration Project.

After that, Tortilla Bank had established the financial sector, while Tortilla Farm had achieved food self-sufficiency.

They had earned tourism revenue through the special-purpose city of Choi City, and by accepting one million refugees pouring out of Venezuela, they had gained both international prestige and a new labor force.

They had built new cities and redeveloped Libertad.

They had expanded the scale of the oil business by sending Black Oil into the Orinoco Belt.

The automobile assembly plant was nearing completion, and the nuclear power plant would begin operating the year after next.

They had even completed the national PC and smartphone distribution programs, while private companies such as Libertad Daily, Marcos Tech, and Caribbean Travel had begun springing up. The private economy, too, was growing by the day.

‘I’ve done everything there is to do.’

The problem was what came next.

To cross the threshold into the developed world, high-value-added industries were essential.

Semiconductors, biotechnology, precision machinery, advanced materials. All of them were fields that required technological capabilities developed over decades by advanced countries.

But San Marcos had no such capabilities.

Its education system had been wrecked from the start. Advanced industry? Not a chance.

At least San Marcos National University existed, so perhaps there was something to pin hopes on in the future.

But attracting foreign corporations wasn’t realistic either.

Korea’s Saseong Electronics was hardly going to suddenly announce that it would build a semiconductor plant in San Marcos, and even if it wanted to, there was no chance the Korean government would allow it.

By the same token, America’s Desla or Pineapple weren’t going to come to San Marcos either.

‘I need another breakthrough...’

He couldn’t even see where to begin.

At times like this, there was only one person to seek out.

The finest mind in the country, James Miguel, Chancellor of San Marcos National University.

Perhaps because Yu-jin had notified him of the visit in advance, the white-haired old gentleman came all the way to the university’s main gate to greet him.

“Your Excellency. It has been a long time.”

“You didn’t have to trouble yourself by coming all the way out here.”

“How could I possibly sit inside when Your Excellency is coming to visit in person? Hahaha.”

“Let’s head inside. It’s still cold out.”

The two of them made their way inside.

As Yu-jin sat down on the sofa in the Chancellor’s office, he got straight to the point.

“The truth is, something has been weighing on my mind lately, so I came to seek your advice.”

After hearing Yu-jin’s concerns about the direction San Marcos should take from here, James set down his teacup and smiled.

“That is the dilemma every middle-income country faces.”

“Ah... Is that so?”

“It is called the Middle-Income Trap. Resources and labor can develop a country up to a certain point, but beyond that, the old methods stop working.”

Yu-jin nodded. It matched his own thoughts exactly.

“What do you believe separates a developed country from a middle-income one, Your Excellency?”

“Isn’t it whether the country has advanced industries capable of generating high added value?”

“That is true to an extent, but it isn’t necessarily the whole story.”

“Pardon?”

“Let me give you an example. Your homeland, Korea, makes enormous sums of money from semiconductors and manufacturing.”

“That’s right.”

“Then is Korea a developed country because it makes money from semiconductors and manufacturing? Or is it a developed country because it is wealthy?”

“Ah...”

Understanding his point, Yu-jin fell silent.

“A country does not necessarily need advanced industries to become developed.”

“......”

“Take Singapore, for example.”

James smiled faintly as he continued.

“Singapore has no particularly outstanding advantage in advanced industry. It doesn’t manufacture semiconductors or automobiles. Yet it is considered one of the wealthiest countries in Asia. Its GDP per capita exceeds eighty thousand dollars. Do you know why?”

“As I understand it, because of logistics and finance.”

Singapore was, in fact, a country that had accumulated tremendous wealth as one of Asia’s leading logistics and financial hubs.

“Correct. A logistics hub built around its geopolitical position, and a global financial center. Those two things are Singapore’s core competitive advantages.”

James lifted his teacup and took a sip.

“But the real secret behind Singapore’s rise lies elsewhere.”

“And what would that be?”

“Overseas investment.”

James spoke meaningfully, and Yu-jin nodded.

“You mean GIC and Temasek.”

Both were Singaporean sovereign wealth funds managing more than a trillion dollars in assets.

“Precisely. They invest in real estate, stocks, infrastructure, and technology companies all over the world and generate returns from them. And that money becomes part of Singapore’s national wealth.”

Yu-jin’s eyes widened.

“There’s a limit to how much money can be made domestically, so they earn it overseas.”

“Exactly. The reason most countries try to foster advanced industries is ultimately to accumulate wealth through high-value-added industries. Singapore has effectively replaced that with investment.”

James looked at Yu-jin.

“I believe San Marcos is fully capable of following the same path.”

“You do?”

“Geopolitically, you sit at the heart of the Caribbean. Public security is already among the best in Latin America, and on top of that, you possess oil reserves. Your relationship with the United States is also better than that of any other Latin American country. San Marcos has every opportunity to grow along the same lines as Singapore.”

Yu-jin quietly lowered his head.

It felt as though the pieces of a puzzle were clicking together inside his mind.

‘It might actually work...’

Geopolitically, San Marcos’s position in the Caribbean resembled Singapore’s.

On top of that, cash was flowing steadily from the Northern Oilfield and Black Oil, meaning there was money available to establish a sovereign wealth fund.

The conclusion was obvious. The Singapore model could absolutely be applied to San Marcos.

Only then did Yu-jin’s mind finally clear, and he bowed his head.

“Thank you, Chancellor. Thanks to you, I can finally see the path forward.”

James smiled warmly.

“Hahaha, if you see it that way, then I’m the one who should be grateful.”

James set down his teacup.

“Ah, and you may be receiving some good news before long.”

“Good news...?”

“Nothing is one hundred percent certain yet, so I’ll tell you once it has been confirmed.”

“Ah, all right.”

Leaving the mysteriously smiling James behind, Yu-jin departed the university.

At the time, Yu-jin had no idea.

The good news James had mentioned would completely change the fate of San Marcos.

***

After his conversation with James, Yu-jin divided the path San Marcos should take into two directions.

A logistics and financial hub.

And overseas investment.

The former couldn’t be implemented immediately.

To become a logistics hub, they first needed ports equipped with smart logistics systems and all the infrastructure to support them. And if they wanted to become a financial hub, they would need institutional reform and trained professionals.

On top of that, relations with neighboring countries would have to be impeccable.

But the latter could be implemented immediately.

Why?

‘Because we’ve got money.’

So Yu-jin started thinking about the kinds of overseas investments San Marcos could make.

The sectors invested in by Singapore’s GIC and Temasek could broadly be divided into four categories.

First were global equities and bonds.

Buying shares in blue-chip companies around the world and investing in developed-country government bonds to earn stable returns. It was the safest option, but the returns were low, and in volatile market conditions like these, there was still a risk of taking losses.

‘We can do that later, once we’re operating at a larger scale.’

Second was real estate. Investing in commercial properties in major global cities such as New York, London, and Tokyo, a field in which Temasek had earned substantial returns.

‘Not bad, but...’

Real estate required enormous amounts of capital, and the recovery period was long. It would be difficult to see immediate results.

Third was investment in technology companies, acquiring equity stakes in Silicon Valley startups or growth companies.

A successful investment could generate returns dozens of times the original amount, but the risk of failure was just as high.

‘Not this either.’

With San Marcos’s current investment capabilities, judging the value of Silicon Valley companies wouldn’t be easy.

They had no professional fund managers and too few personnel capable of conducting proper investment reviews. Rushing into it could end with nothing but money being burned.

And the last option was overseas infrastructure investment...

‘This is it.’

That was the option Yu-jin liked best.

For one thing, losses were relatively rare.

Korea alone was proof of that. Privately financed highways almost never ended up losing money.

The government covered the shortfall, after all.

Granted, the recovery period could be somewhat long.

It was basically like putting in a huge lump sum and collecting it back in dribs and drabs.

But there were ways around that.

Loans could be secured against the infrastructure once it was built, or shares could be sold to recover the original investment.

More importantly, investing in infrastructure in neighboring countries would significantly improve relations with them.

After all, no leader was going to mistreat a country that had invested huge sums of money in their own nation.

In other words, it was possible to secure both stable returns and liquidity at the same time.

Then one day, after Yu-jin had turned his attention toward infrastructure investment.

“Your Excellency, I think you should see this.”

Isabella held out a tablet displaying Venezuelan news.

[Chinese Government Announces Halt to All Infrastructure Projects in Measures to Protect Chinese Workers!]

[Caracas-Maracaibo Highway Abandoned at 40% Completion]

[Ciudad Bolívar Port Modernization Project Abandoned After Cranes Installed]

[Orinoco River Hydroelectric Plant Foundation Work Suspended!]

[Venezuela 5G Network Construction Suspended Indefinitely! Citizens Face Disruptions]

“What happened?”

“The construction costs were supposed to be paid with loans from China, but Venezuela has indefinitely postponed repayment, so it seems the Chinese side finally decided to take drastic action.”

“Typical...”

It was one of the ugly consequences of the Belt and Road Initiative.

China would extend a loan, but instead of simply letting the borrower decide how to use the money, it forced the funds to be spent on infrastructure projects.

Nor did those projects even create local jobs.

Once construction began, China brought in its own workers and put them to work.

In other words, the system was structured so that the money it lent simply flowed straight back to China.

And with Venezuela effectively daring China to do its worst, perhaps this outcome was only natural.

“From Venezuela’s perspective, this has turned out worse than never starting the projects at all.”

“That’s correct.”

Clicking his tongue, Yu-jin studied the photographs.

One showed a half-finished highway.

The paved asphalt ended abruptly, giving way to bare earth beyond it, while a rusted Chinese excavator sat abandoned beneath a coating of dust.

There were photographs of a port as well. Massive container cranes stood in place, but none were operating. Only half the pier had been paved with concrete, while the other half remained bare dirt.

And as Yu-jin stared at those pictures.

‘Wait...?’

It felt as though lightning had struck inside his head.

‘These might actually be worth investing in.’

Assets that would become enormously valuable if only they were completed.

The prospects looked good enough.

There was another reason as well.

Telsy had already betrayed them once by trying to hand Block A-7 over to Chevron.

Things had ended well enough in the end, but there was no guarantee she wouldn’t betray them again someday.

It would be best to put a firm leash on her.

‘If we control their infrastructure, they won’t dare entertain any other ideas again.’

Everything fell into place.

Yu-jin lowered the tablet and spoke.

“Chief of Staff.”

“Yes.”

“These projects... what if we finish them ourselves?”

Isabella looked at Yu-jin.

“You mean we should take over the projects China abandoned?”

“Yes. Highways, dams, things like that are areas we’re already good at, aren’t they?”

“......”

“Of course, I’m not suggesting we build them for free. We’d secure the operating rights after completion and collect highway tolls, port usage fees, and revenue from electricity sales. Over the long term, wouldn’t that generate an excellent return on investment?”

After hearing Yu-jin’s words, Isabella stood perfectly still.

And then.

Tremble, tremble.

Her body began to shake faintly.

‘His Excellency...’

Inside Isabella’s mind, Yu-jin’s intentions were being reconstructed into something entirely different.

Venezuela already depended on San Marcos for a significant portion of its food supply.

Nearly one million migrants had already poured into San Marcos, and a large share of available jobs were there as well.

On top of that, Venezuela depended on Black Oil for crude exports and Tortilla Energy for petroleum imports.

And if San Marcos also secured operating rights over national infrastructure such as highways, ports, and power plants?

San Marcos would have control over virtually everything Venezuela depended on.

‘His Excellency intends to conquer Venezuela...!’

Isabella’s heart began pounding.

Until now, he had focused on strengthening San Marcos internally, but from this point onward, she believed he intended to turn his eyes beyond its borders.

And that meant!

It was nothing less than His Excellency declaring that he would finally set out to conquer the world!

‘Of course he was never planning to remain confined within our borders!’

He was almost certainly aiming for hegemony over the Caribbean!

Dopamine began flooding Isabella’s brain.

At the same time, she could already picture the future, San Marcos standing as the hegemonic power of Latin America!

“Your Excellency.”

Isabella spoke in a trembling voice.

“I-I think that is an excellent idea.”

“Doesn’t seem too bad, right?”

“Yes. I can hardly imagine how you came up with such an idea. Once again, I find myself in awe of you, Your Excellency.”

“Oh, it’s nothing that impressive. Then please start by looking into the practical details. Focus on how much profit we’d make if we invested, and how long it would take to recover the investment.”

“Yes. I’ll begin immediately.”

Isabella bowed and left the office.

As she closed the door behind her, she took out her phone and called someone.

“Director Lucio.”

“Yes, Chief of Staff.”

“His Excellency has revealed his intention to make Venezuela subordinate to us.”

She could almost feel Lucio’s breathing stop on the other end of the line.

“...So it’s finally begun.”

“Yes.”

“Understood. I’ll prepare to mobilize the SIA’s full capabilities in support of His Excellency.”

After ending the call, Isabella looked out the window.

The blue waters of the Caribbean glittered beneath the sunlight.

‘We will carry out your will, Your Excellency.’

San Marcos was on the verge of a new ascent.

*****

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