Holy Roman Empire

The “misunderstanding” that occurred in Panama was simply too enormous. An accidental military clash resulting in the destruction of an entire division was almost unbelievable. It was something that sounded more like fiction than reality.

An explanation often feels like an excuse, serving little purpose. Shortly after the incident, the Austrian Central American colonial government publicly took responsibility which was an outcome largely driven by Franz’s intervention.

By proactively admitting fault, they could downplay the severity of the situation, preserve international prestige, and minimize the negative fallout as much as possible.

As for holding someone accountable, that was out of the question. The colonial government’s actions were consistent with the behavior of colonial empires of the era.

Similar incidents had occurred before, though none with such widespread consequences. Colombia was not only an independent nation, but more importantly, it was a white-majority country.

Incidents like these deeply resonated with European public opinion, especially among smaller nations, who often empathized with Colombia’s plight.

Many believed that if they didn’t speak out now, a similar event might happen to them tomorrow, and no one would come to their aid.

It was reminiscent of the Anglo-Boer War in another timeline, where Austria similarly faced relentless public criticism, with protesters gathering outside their foreign embassies.

However, taking responsibility did have its benefits. It prevented the Austrian government’s international image from completely deteriorating.

Let them criticize! At the end of the day, every great power has faced backlash from public opinion at some point. After all, it was all just talk. No one would actually take meaningful action against Austria.

Compared to the calm demeanor of the Austrian government, Franz’s reaction was far more intense. If Austria were similarly isolated overseas, Franz might not care so much about international reputation but that was clearly not the case.

Austria’s unfavorable strategic position meant it had to maintain a positive international image to secure more diplomatic options in global affairs.

…

“How are the preparations for the Panamanian government coming along? When can we withdraw our troops?” Franz asked with concern.

Minister of the Colonies Stephen replied, “Your Majesty, the Panamanian government has been fully established and can declare independence at any time.

The issue now is that they lack a military force capable of defending themselves. Once we withdraw, they’ll struggle to withstand a counterattack from the Colombian government.”

Achieving Panama’s independence wasn’t going to be easy. In the original timeline, the United States had to intervene directly with military force, leaving the Colombian government no choice but to back down.

This wasn’t without significant costs. The Americans were willing to go to any lengths because of the critical importance of the Panama Canal to their interests.

For Austria, however, the motivation was different. The primary goal of seizing Panama was to disrupt operations and prevent the smooth construction and functioning of the canal.

Different objectives naturally meant different levels of commitment and costs. If Austria’s involvement in Panama provoked widespread backlash from South American nations, leading to a united front against Austria, it would be counterproductive.

Under these circumstances, while fomenting Panama’s independence movement, Austria had to minimize its presence and visibility as much as possible.

To put it bluntly: “They want to be able to do immoral things while maintaining a good name.”

Franz asked with surprise, “Aren’t there plantation owners? Don’t they have enough strength to resist a Colombian invasion?”

Even before Panama declared independence, Franz had already framed Colombia’s suppression of the rebellion as an ‘invasion’, a label with significant political implications.

Stephen frowned slightly and explained, “Your Majesty, the situation in South America is quite unique. Most of the settlers in this region came during the American Civil War migration wave, and they lack a strong foundation of aristocratic leadership.

In the Austrian-controlled regions of Central America, we’ve gradually compensated for this weakness over time, and their military strength is now relatively stable.

Panama, however, is a different story. The region lacks large plantation owners and major colonial companies. Previously, it wasn’t under our control, so we had no way to organize any meaningful military training there.”

Franz understood immediately. The migrants from the American Civil War era had mostly come to escape conflict, meaning the local population had little appetite for fighting.

“Lacking a strong foundation of aristocratic leadership” was essentially another way of saying they had no military officers.

The absence of “large plantation owners or colonial companies” meant there was no powerful local militia to rely on.

And without “military training”, any soldiers they managed to recruit would just be farmers fresh off their fields or workers just stepping out of factories, requiring extensive time and effort to train.

All these factors combined meant that the soon-to-be-independent Panama had extremely weak military strength and would be unable to contend with the Colombian government forces in the short term.

The reality might be even worse. The so-called “brutal rule of the Colombian government” and the “exploitation and oppression of the local population” were narratives created out of political necessity. The truthfulness of these claims remained questionable.

The Panama independence movement was entirely orchestrated by Austria, and whether it could gain the support of the local population was still uncertain.

The reports provided by the Austrian Central American colonial government were also tainted by personal bias. While they might not have dared to outright fabricate information, a certain level of “artistic embellishment” was unavoidable.

Such behavior was an instinctive tendency within bureaucratic systems and nearly impossible to eradicate. Even in the age of the internet, such practices persisted despite efforts to curb them.

“Given the current international situation, directly occupying Panama is not a viable option for us. Withdrawal is inevitable, and the sooner it happens, the better. In light of this reality, what plans does the Colonial Ministry have?”

Minister of the Colonies Stephen replied, “We are currently organizing migration efforts. Thanks to the colonial government’s efforts, we have already convinced more than a dozen colonial teams to settle in Panama.

These civilian armed forces will serve as the primary line of defense against the Colombian government forces in the initial phase, helping the Panamanian government weather its most difficult period.”

Franz nodded in approval. It might not have been the best possible plan, but under the current circumstances, it was undoubtedly the most suitable choice for Austria.

Having the pretext of “immigration” was far better than outright deploying mercenaries.

No matter how one looked at it, as long as these “armed immigrants” obtained household registration in the Panama region, the conflict would officially be framed as an internal dispute between the people of Panama and the Colombian government.

Of course, everything has its pros and cons. These private colonial teams also expected returns on their investment. If they were risking their lives now, they would demand a significant share of Panama’s future interests.

Similar scenarios had played out many times during Austria’s colonial expansion, and the Colonial Ministry was well-versed in handling them.

It was through these large and small private armed groups that Austria had managed to build a vast colonial empire in just two decades.

In this regard, Franz was rather generous. Allowing ambitious individuals to go overseas to claim land and power was far preferable to letting them fight for influence within Austria itself. Many of the territorial lords across Austria’s colonies were among the most successful of these adventurers.

The current reality was actually better than Franz had anticipated. While there were many territorial nobles, none had declared independence or crowned themselves kings.

That was good enough. In his earlier plans, Franz had even prepared for the possibility of allowing these lords to establish independent states once they grew too powerful.

However, it turned out he had overthought the issue. Bloodline legitimacy was deeply ingrained in European culture. There was no notion of “why can’t commoners become kings?” Even if someone wanted to declare themselves a king or emperor, they would first need the support of the populace.

Moreover, the territorial lords weren’t as ambitious as Franz had imagined. After securing their lands, most of them simply settled down to develop their estates rather than pursuing relentless expansion or founding kingdoms.

Of course, a lack of money and manpower were the biggest constraints on ambition.

Territorial expansion was incredibly expensive, and the early stages of colonial operations required substantial financial investment. No matter how deep one’s pockets were, they couldn’t withstand the relentless drain of war expenses. Once the money ran out, even those unwilling to settle down and farm would have no choice but to stop expanding.

As for manpower, the issue was even more evident. No matter how powerful a noble was, their ability to mobilize immigrants was limited. At most, they could gather tens or hundreds of thousands of people. With such a small population, trying anything other than developing diligently would be nothing short of suicidal ambition.

Fools may exist, but any noble capable of establishing a successful foundation was certainly no fool. Without sufficient strength, how could they bargain with the central government?

“Proceed with the Panama plan according to your strategy. Just ensure that no active-duty soldiers appear on the battlefield. This is a bottom line that must not be crossed. As for everything else, the Colonial Ministry can handle the situation based on actual circumstances.

The Foreign Ministry should negotiate with the Colombian government as soon as possible to reach a compensation agreement. After that, transfer the prisoners to the Panamanian local government. The rest of the problems can be left for them to sort out with the independence organizations.”

Rules must be followed as this was the core of the “political game”. It wasn’t just about maintaining international reputation, but more importantly about protecting Austria’s own interests.

The current international political rules were essentially established by the British, French, and Austrians. The purpose of these rules was to protect their collective interests. Overturning the chessboard recklessly would only harm Austria further.

If nothing else, the cost of maintaining colonies would skyrocket, and some remote colonies might even fall into the hands of others.

Choosing to resolve the Panama issue quickly was also about quelling the public opinion crisis. Current public sentiment was highly unfavorable to the Austrian government, and delaying further would only make things worse.

Paying “compensation” was merely a way to make the Colombian government officially acknowledge that this was all just a “misunderstanding.” Once the involved parties agreed it was a misunderstanding, anyone else continuing to make noise would appear to be slandering and fabricating false accusations.

When it came to guiding public opinion, Franz was quite experienced. In this era of limited communication, newspapers dominated public discourse. Manipulating the narrative and reversing black and white was remarkably simple.

In a way, the British government’s current media offensive was actually an unexpected blessing. All Austria needed to do was redirect the blame towards the British government.

“The British government is deliberately smearing Austria, exaggerating and distorting the truth.” Franz had repeated this line so many times that he almost believed it himself, let alone the general public.

Foreign Minister Wessenberg said, “Your Majesty, if the British do not intervene, convincing the Colombian government would not be too difficult.

However, from the current situation, it’s clear that the British government intends to exploit this crisis to damage our international reputation.

I fear the Colombian government might demand an exorbitant compensation sum to humiliate us deliberately.”

This concern was not unfounded. In the face of tempting profits, people often lose their rationality. With a little encouragement from the British, it was almost inevitable that Colombia would demand an astronomical amount in compensation.

If Austria agreed, it would become a laughingstock, seen as a foolish victim. If Austria refused, public opinion would turn against them, undermining the strategy of quickly quelling the crisis and silently absorbing Panama.

After a brief moment of thought, Franz sneered and said, “If we can’t agree on the total sum, then let’s propose an outrageous demand ourselves. For example, raise the compensation for each fallen soldier to 1,000 guilders, but require the Colombian government to provide death certificates.

As for property damage, we don’t need to haggle too much. We can make some concessions. Whether this money will actually be paid, and who will ultimately receive it, remains uncertain.”

The demand for “death certificates” was essentially a joke. The Panama region was entirely under Austrian military control. Destroying evidence would be laughably easy.

If the Colombian government couldn’t provide the necessary evidence, then the final number of soldiers eligible for compensation would be determined by the Austrian government.

With the total number kept low, even if the standard of compensation was high, the final payout wouldn’t amount to much.

Since this incident had been officially classified as a “misunderstanding,” a high casualty count would undermine that narrative.

In contrast, compensation for property damage would be easier to negotiate. This money could be paid to the Colombian government, or it could go directly to the local Panamanian authorities, or rather, the future independent Panamanian government.

If Panama wanted to achieve independence, it was clear that the Colombian government wouldn’t simply agree and war was inevitable.

After the conflict subsided, the region would be in ruins, requiring significant funds for reconstruction. Panama’s future government wouldn’t be able to foot that bill, it would ultimately fall on Austria to pay.

Since Austria would have to spend the money anyway, Franz didn’t mind advancing it now to buy international goodwill. After eventually absorbing Panama into the empire, these investments would be recovered.

Of course, the Colombian government also needed to be appeased. Some money had to be given upfront, or they wouldn’t cooperate with Austria’s plans.

Visit and read more novel to help us update chapter quickly. Thank you so much!