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Afghanistan refuses to release the region of Kokand, as this is the exact foreign incusrion we unified with the state to protect against. Central Asia will not be a playground of the foreign powers who feel they can march into our lands.

Miramolinus Dost Mohammad Khan, Emir of Afghanistan, Heir to the Empire of the Mughals, Heir to the Empire of Timur, Heir to the Empire of Genghis, Heir to the Durrani Empire
 


So be it, a state of war now exists between the Russian Empire and the Emirate of Afghanistan.

Alexander II, His Imperial Majesty, The Emperor and Autocrat of All the Russias.
 
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The savage barbarians in Afghanistan had their chance and will now reap what they have sown. Dangers and threats to civilized nations must be meet head on and swiftly defeated. The armies of Afghanistan clearly think they have the right to pillage and raid at will and this poises a threat to the stability of a region vital to the Russian and British Empires, and thus a threat to the stability of Europe.

Napoleon III ~ Emperor of the French
 
News of the Royal Navy

Following the success of the design of the HMW Warrior the RN will suspend the construction of the 12 planned Bulwark-class ships of the line. The nine ships on which significant progress has been made will be converted to ironclads. The other three ships will be broken up.

The RN has adopted a program to convert the majority of current ships of the line to screw propulsion by 1865. The remaining ships not slated for conversion will be decommissioned by 1870. A further 2 ships of the line will be converted to central-battery ironclads, and if the design proves successful an additional ten ships will be converted as well, with the project slated to begin in 1863. Additionally, two coastal ironclads armed with turrets will be laid down in 1863, scheduled to enter service in 1865.

Two Ister-class steam frigates are scheduled to enter service in 1864 as planned. Given the overwhelming success of the Cruiser-class screw sloops, the RN will begin a gradual replacement of the sail frigates currently in service with screw cruisers and screw sloops. The Jason class of screw corvettes will be expanded to ten ships, while Camelion and Rosario classes of screw sloops will be expanded to 16 ships each.

Current plans for the Brigomart class steam gunboats will be maintained, with 7 scheduled to enter service within two years.
 
Blockades, Battles, and Guns Blazing


After the first year of fighting, a shaky one at that, the two sides began their massive programs of conscription and getting every man they needed in order to try and win this war for their own side. The Union Army, which had the far superior advantage of miles and miles more railroad lines than the Confederacy, was able to mobilize and move a much greater army around in the first six months of the year than the Confederacy was. While both sides were able to bring enough forces to battle, the Union Army, in the first few engagements of the year, had far more soldiers than their Confederate adversaries.
[+120,000 Conscripts to the United States. +100,000 Conscripts to the Confederate States.]

The first actions were taken by the Army of Northern Virginia, which crossed the Rappahannock River, and moved into Northern Virginia, with the goal of trying to go in and free the area from Union control. The Union Army of the Potomac was acting only as a defensive line, to help guard what they had already taken over. The Army of Northern Virginia, General Lee commanding, made their way into Fauquier County, Virginia. The Union Army of the Potomac, which was commanded by the General Irving McDowell, quickly dispatched from Washington, making their way down into Virginia to stop the movements of the Rebel army.

Near the Thoroughfare Gap, between High Point Mountain and Bisquit Mountain, the Army of Northern Virginia began their movements through the gap, only for the Union Army to quickly take positions on both of the mountains, setting the stage for the Battle of Thoroughfare Gap.

The battle began around 9:30 in the morning, when forces from General Jackson's Corps began to take fire from General Sumner's II Corps on High Point Mountain. Jackson ordered his soldiers to take their positions on the hill. General J.E.B. Stuart, commanding the Cavalry forces of the Army of Northern Virginia, was quickly dispatched to ride around the mountain, in an attempt to divert the Union away from the battle developing. With Sumner's Corps and Jackson's Corps engaged, fighting on High Point Mountain, the Union I Corps moved to try and occupy Bisquit Mountain, just as Longstreet's Corps was doing the same. With both armies fighting over the hills, General Lee felt it wise to send in Beauregard's Corps through the gap, in an attempt to move the army forward.

Unknown to Lee, and Beauregard, at the time, the Union Army was massing on the other side of the gap, causing them to quickly engage, with the Confederates doing what they could to maintain a defensive position. The Union Army continued to hammer the Confederates through the day. The battle seemed inconclusive by noon, while on Bisquit Mountain, the Confederate Army was finally repulsed after a charge by General Philip Kearny, who, after driving Longstreet off the mountain, was mortally wounded by Confederate sharpshooters. Longstreet's Corps quickly disengaged, and the few divisions that could help were sent to Beauregard in order to try and help them retreat to the South.

Kearny%27s_Charge%2C_Battle_of_Chantilly.jpg

"Kearny's Charge" at the Battle of Thoroughfare Gap.

With all the battles nearly lost, the fight on High Point Mountain was won by the Confederate Forces, where General Thomas Jackson earned the nickname "Stonewall Jackson" for his refusal to budge from the spot he was standing, leading his soldiers when wave after wave of Union forces assaulted his position. Jackson was not able to claim the mountain, however, because the Confederate Army disengaged, and quickly moved South, retreating from their first serious defeat of the War.
[-530 Regulars to the United States. -2,402 Conscripts to the United States. -730 Regulars to the Confederate States. -2,021 Conscripts to the Confederate States.]

Not to be deterred, the Confederate Army quickly reorganized. General Jackson's Corps began a march to Harper's Ferry, Virginia, which was still under control of the Confederates, and along with General J.E.B. Stuart's Cavalry, was able to keep a close eye on the Army of the Potomac, masking the movements made by General Jackson. While the Army of Northern Virginia did continue to fight the invading Union soldiers, several skirmishes in Northern Virginia continued to hamper the Army of Northern Virginia, and by June, very little progress had been made.
[-1,503 Regulars to the United States. -3,593 Conscripts to the United States. -1,593 Regulars to the Confederate States. -2,843 Conscripts to the Confederate States.]

In the Far West, the Confederate Army moved across the deserts of Arizona, and upon reaching the Colorado River, the Confederate Army reached the town of Arizona City, where they quickly crossed the Colorado River into California. Taking a risky move, as nothing but a desert starred them in the face, General Jubal Early ordered as much water brought as they could, and started off across the desert. It was early in March, so the temperatures had not yet reached soaring yet. After three days of straight marching through the desert, the Confederate Army located a small settlement, which they subsequently raided for supplies, water, anything, leaving the entire settlement without anything. They continued on, finally reaching the town of San Diego, where, instead of sacking the town, they paid for all of their supplies, and offered them a place in the Confederacy. They rejected, but General Early was able to reach the Pacific Ocean, placing a huge threat on the already weak defenses of California. This was a stunning and major shock to the Union, many of the citizens and politicians demanded that something be done, and quickly.
[-9% Public Support to the United States.]

With the news of the war reaching Europe, the United Kingdom began to step back from actively running the Union Blockade. While the government itself had stopped such actions, many private interests and "others" began to order ships laid down in many British Ports. Many ships were laid down, with the most notable being laid in the yard of John Laird Sons and Company in Birkenhead, England. She became known as the CSS Alabama, and she soon moved across the seas, raiding Union shipping, capturing prizes, and damaging Union trade severely. Blockade Runners were also laid down in England, giving a huge boost to the Confederate Navy, operating abroad, and soon ships flying the Confederate Flag spread across the Atlantic, fighting for the survival of the fledgeling nation just as much as the men on the ground.
[+20 Screw Frigates to the Confederate States.]

CSSAlabama.jpg

The CSS Alabama, one of the Confederacy's Commerce Raiders.

The Union Blockade of the South continued, and the new blockade runners build for and by the Confederacy quickly helped to restore some of the trade with Europe that they had before. Confederate ships were spotted in England, France, and even as far away in Austria and Prussia. The Royal Navy instead began to send armed escorts to Mexico, where an "agreement" between those who shipped cotton out and those who imported cotton, would send the Cotton overland into Mexico, and then shipped it out again. The Confederate Economy took a hit, but supplies still flowed in and out enough to keep the Confederate finances mostly stable.

The Western Theatre, unlike the actions in Northern Virginia and the Far West, seemed to go far better for the Union than the other ones. Starting out from St. Louis, Missouri, the Union Navy, operating on the Mississippi River, began to move South, quickly getting into conflicts with the Confederate Army and the fledgeling Confederate River Navy. The Battle of Island Number Ten was a crucial battle for the Union, needing to capture it in order to be able to have better operations on the Mississippi River. The Confederates were able to put up a very valiant fight against them, but the overwhelming power of the Union forced them out of this part of Kentucky, and made them retreat back into Tennessee to defend the river there.

Bombardment_and_capture_of_Island_Number_Ten_on_the_Mississippi_River%2C_April_7%2C_1862.jpg

The Mississippi River Squadron at the Battle of Island Number Ten.

In the Indian Territory, a small Union Army begins to move into the area, proclaiming it is once again under control of the United States. They meet fierce resistance, as the Confederates seemed to have promised no white settlement of the Indian Territory, and that the Indians could keep the slaves they did own. The Union, they saw, was directly against these ideas. The Army of the Indian Territory, which had the entire goal of conquering all the Confederate land West of the Mississippi soon got itself involved in a major guerrilla war against the Confederate Indians. Many of the tribes that did support the Union had been silenced, and the Battle of Honey Springs was a crushing Union defeat, where a Union force twice the size of the Confederates was crushed by a Native and Confederate Army. While control of the Northeast Portion of the territory was considered to be American, they had little army in the area to control it, and where mostly way in the far northeastern corner, dealing with various Indians and battles.
[-3,503 Conscripts to the United States. -350 Conscripts to the Confederate States.]

In Kentucky and Tennessee, the major battles of the first half of the year were first getting underway. The Army of Tennessee under General A.S. Johnson was focused, not on surging into Kentucky, but working on ensuring the Union did not enter into Tennessee. The Union Army, however, had a much different idea. They first engaged the Army in Western Kentucky, throwing them off the state. The Union also used the fact that the Confederates invaded Kentucky to help being more of them into the Army. It is slightly helpful, but many people defect to the South, forming the 1st and 2nd Kentucky Rifles, serving with the Army of Tennessee.
[+15,000 Conscripts to the United States. +10,000 Conscripts to the Confederate States.]

After Fort Henry and Fort Donaldson fell to the Union forces, the Confederate Army quickly made their retreat to the South, near the Mississippi-Tennessee border. The Union Army was close behind them. Both sides met at the Battle of Shiloh on April 18, 1862, which was the largest battle to date in the War Between the States.

While both sides had knowledge that they were going to meet for battle, the Confederate Army under A.S. Johnson quickly moved to take an offensive position against the Union Army, which they felt they were able to capture and throw off the hill. The first day involved the Confederate Army assaulting through the various creeks and wooded areas that were common around this part. The fighting at Shiloh Church was intense, and the church steeple was destroyed by artillery, no one is quiet sure which side, but the bell smashing to the ground killed several Union soldiers, and the Confederates were able to take it by nightfall. The night was hard on both sides, as skirmishes and some of the field guns belched their smoke and lead through the night.

Early the next morning, the Confederates renewed their offensive, marching uphill in an attempt to dislodge and remove the Union Soldiers camped on the hill. They were commanded by General Ulysses S. Grant, who had been promoted after his operations at Fort Henry and Donaldson. General A.S. Johnson, however, had a the idea of sending General Forrest's cavalry North to try and flank the side of the Union Army, around the same time the Army of Tennessee was to be slamming into the Union centre. The Union Army was ready, or so they thought, for the attack. Just as it seemed ready to fail, General Cleburne of the Confederate Army ordered a charge, slamming his corps directly into the Union line with bayonets. General A.S. Johnson ordered a general assault, just as the Cavalry of General Forrest slammed into the Union Flank. General Grant quickly ordered a retreat towards the West, to territory they controlled.
[-2,593 Regulars to the United States. -11,938 Conscripts to the United States. -1,971 Regulars to the Confederate States. -8,830 Conscripts to the Confederate States.]

cleburnfranklin.jpg

General Cleburne at the Battle of Shiloh.

As the Union Army disengaged, they began to consolidate their control along the Mississippi River instead, while the Confederates were busy reorganizing and getting ready for another offensive to drive the invader off of Tennessee. Minor skirmishes and other battles took place along the general border between the two armies, but it was nothing other than a bunch of various battles. The Confederacy would win a few, the Union would win a few. They all caused deaths, and no real change with the situation in Tennessee.
[-603 Regulars to the United States. -1,471 Conscripts to the United States. -287 Regulars to the Confederate States. -1,317 Conscripts to the Confederate States.]

As June dawned upon North America, both sides seemed to know that know, this would not be a short and quick war. 1862 was not going to be the last year of the war, and both of them knew that. They dug their heels in, and got ready for the fight. Confederate President Jefferson Davis reviewed the Army in Richmond, Virginia, just as Union President Abraham Lincoln reviewed a new corps in Washington City. Those 100 Miles between Washington and Richmond would be the battlefield for this War, and those 100 Miles were on the mind of President Davis and President Lincoln each and every night, both determined to see it until the end.

 
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THE SWISS CONFEDERATION


I am pleased with the progress of our great nation. We have built a solid foundation for Switzerland to grow! I am also pleased with the peaceful resolution of the Luxembourg Crisis, and applaud the nations of Europe for choosing diplomacy over force of arms. It is truly a great step towards stability in Europe.

I also have two major announcements: The first, the upcoming creation of the Swiss National Bank, which will help banks in Switzerland take advantage of our peace, stability, and neutrality to create a major financial haven for our nation and all others! The second is the beginning of the Swiss National Zoo, a project to bring animals from all across the world to Bern. I formally request the foreign ministries of Great Britain, France, the Netherlands, Brazil, and the Great Qing grant Swiss agents access to their lands and colonies for the gathering of animals. Dignitaries of their countries will of course be invited to its opening ceremonies. I thank them all in advance.

~Melchior Josef Martin Knüsel, President of the Swiss Confederation


OOC: All you must do is IC confirming Swiss access to give me it. Thanks. :D
The Swiss may have full access as needed to procure the animals required for this project.
 
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Recent Moons have brought great prosperity and success to the most Glorious Great Qing, as we guide the people and the Emperor upon the path of economic prosperity. We seek peaceful relations with all countries in the world, and will provide 15 great Imperial Panda's to the nation of Switzerland.

In other news, we would like to sustain neutrality in the ongoing conflicts of world, and promote peace and negotiations where such are possible.

-By Divine Mandate, The Tongzhi Emperor of the Empire of the Great Qing
 
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The Empire of Brazil is most pleased to see sanity and reason restored on the Rhine River. It does the nations of the world no good to see Europe embroiled in turmoil, and to see the commitment of the nations of Europe to peace validated through this successful diplomatic agreement is to see them as a force for both peace and prosperity. It is a position that stands in stark contrast to that of the barbarians of the far-distant steppes of central Asia and the Pashtuni lands, who see war as their first and last recourse. Rumours of wars from Afghanistan are only what can be expected of such lesser peoples, and demonstrates the need for uplift by powers more committed to peace with the capability to embark on such projects.

To the Swiss request, we have no reason to reject their request. We are certainly willing to permit their entry into our nation as private citizens to collect those animals of the Amazon they wish, so long as they take appropriate precautions. However, we must feel obliged to warn them that, given the fate of our own state-sponsored explorers to sail the upper Amazon, we cannot guarantee the safety of their expedition in those untrammeled waters of the upper Amazon, and thus recommend that they stick to those courses more frequently traveled by civilized peoples.

- His Imperial Majesty Dom Pedro II, Constitutional Emperor and Perpetual Defender of Brazil
 

This recent outbreak of hostilities between our Russian and Afghani neighbours intrigue His Imperial Majesty greatly; the Most Sublime and Eternal state shall watch this war unfold with great interest. At the moment, though, His Imperial Majesty expresses his neutrality.

The news from the west leaves His Imperial Majesty concerned; he wishes the best to his allies in the Confederacy.

~ His Most Imperial, Regal, Supreme, and Virtuous Majesty, Lord of all he Surveys, Naser al-Din Shah Qajar, Shahanshah of the Sublime and Eternal State of Persia, Jewel of the Orient
 
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The British India Army has announced that in light of the hostilities taking place on the northern border of the Raj the India Army will move a number of units of the Bombay Army to the border with Afghanistan and will establish a series of border fortifications to ensure the security of the Raj.
 
Afridi+Soldiers+from+Khyber+Pass+-+c1860-90%27s.JPG


Afghan soldiers in Kokand

People of Afghanistan and Kokand, the foreigners are knocking at our gates, looking to break us apart and use us for their own ends. We must all stand strong in the face of the coming war. We shall fight the Foreign Behemoth and make them pay for every step they take into our lands.
 
640px-Flag_of_the_Habsburg_Monarchy.svg.png

Revised Treaty of London said:
[X] Franz Joseph I., Emperor of Austria, King of Hungary, Bohemia, King of Lombardy and Venice, of Dalmatia, Croatia, Slavonia, Galicia, Lodomeria and Illyria; King of Jerusalem etc., Archduke of Austria; Grand Duke of Tuscany and Cracow, Duke of Lorraine, of Salzburg, Styria, Carinthia, Carniola and of the Bukovina; Grand Prince of Transylvania; Margrave of Moravia; Duke of Upper and Lower Silesia, of Modena, Parma, Piacenza and Guastalla, of Auschwitz, Zator and Teschen, Friuli, Ragusa and Zara; Princely Count of Habsburg and Tyrol, of Kyburg, Gorizia and Gradisca; Prince of Trent and Brixen; Margrave of Upper and Lower Lusatia and in Istria; Count of Hohenems, Feldkirch, Bregenz, Sonnenberg, etc.; Lord of Trieste, of Cattaro, and over the Windic march..
We hope that these amendments will bring a lasting peace to Western Europe.
 
500px-Flag_of_Empire_of_Brazil_281847-188929svg_zpsa8672972.png

The Empire of Brazil and Empire of Austria are proud to announce the betrothal of my daughter Isabel, Princess Imperial of Brazil, and Archduke Karl Ludwig of Austria, brother to Emperor Franz Joseph. We are certain this marriage will bring our two nations closer together, as well as demonstrating the munificence and prestige of both the Habsburg and Bragança royal families befitting their status as two of the oldest and most prominent royal families of Europe and the New World. We will issue invitations to all major nobility of Europe and prominent citizens of both of our nations to attend the marriage, which, with the permission of the Holy Pontiff and Pope of the Most Catholic Church, we hope to hold in Rome, center of Christendom, and will be held in October of 1864.

- His Imperial Majesty Dom Pedro II, Constitutional Emperor and Perpetual Defender of Brazil
 
The Second Afghan War


With the War of 1861 over in Kokand, the Emir of Afghanistan was delighted to incorporate them into his suzerainty. His administration offices were quickly set up, and a basic control of the areas was loosely established. It was, however, considered to be Afghan territory, and the taxes and other apparatuses of the country moved in, helping the overall economy, but also costing a lot to bribe the local leaders to accept the rule of Afghanistan.
[-£546,390 to Afghanistan. Kokand Incorporated.]

The Russian Empire to the North, which had long held influence in Central Asia, acted in defense of Kokand, and declared war upon the Afghani state, demanding that Kokand be set free. May observers knew, however, that the Russian Empire saw this as a direct threat against their own nation, and their own sphere of influence. A detachment of Russian Soldiers were dispatched from a military base near the Urals began to move into Kokand proper, enacting a reign of terror upon those who pledged loyalty to the Afghani government. They were greeted as liberators by others, who joined their army, hoping to drive the Afghais out.
[+2,000 Conscripts to the Russian Empire.]

Many of the Afghani strong points were ignored by the Russians, as they began their advance southwards. Much of the land was basked in fire as the large army continued through the land. The supply lines of the Russian Army were shaky, and much of the logistics began to fall apart. Sieges of strong points in southern Kokand commenced, many of them simply surrendering to the Russians, who, in order to survive, began to massacre the soldiers, and steal anything from them, food or clothing, or even weapons. The local population was helping the Russians, who agreed to keep their land and property intact if they did not rebel against them.
[-2,503 Regulars to Afghanistan.]

The Russian Army, however, as it got deeper began to slowly unravel itself. By the time it reached the gates of Kabul, over half of the army had either deserted, or been killed by the guerrilla Afghani fighters. An assault was called on Kabul, which ended in a complete disaster for the Russians, forcing them to take a long retreat back to Kokand, which they were able to hold on to, and the Afghani forces systematically killed and enacted revenge on the Russians for what they had done in Kokand. The Russian Retreat back to Kokand was humiliating, and disastrous to the Army.
[-15,603 Regulars to the Russian Empire.]

retreatfromkabul.jpg

Russian Soldiers being massacred retreating from Kabul.

The Afghanis were able to rejoice in their victory over the Russians, although all was not good. The destruction by the Russians harmed the economy, while the destruction in Kokand was complete, northern Afghanistan shared the same destruction, hurting the economy even more.

More bad news hit the Emir in Kabul, while he was busy preparing for a celebration for the victory against the Russians, was informed of information from the border between Afghanistan and British India. British Soldiers had begun to fire upon, and move forward into, Afghani territory.

The border garrisons attempted to resist the British invasion, but it simply melted away, allowing the British Indian Army to establish control with relative ease. Materials were quickly shipped in, bricks, mortar, and cannon, in order to try and establish a stable border, building fortifications and a few forts to help control the area.

800px-Battle_in_Afghanistan.jpg

The British Army marching into the Indus Valley.

The British Indian Government made it clear in a statement to the Afghani Government. This territory now belonged to them, and there was no chances of them getting it back. This action surprised the Afghanis who demanded that they withdraw and give and explanation for their actions.

Much of Afghanistan began to feel shocks as many of the local leaders began to question the leadership of the Emir, and the western provinces began to assert their own dominance, rejecting the leadership in Kabul, and looking to the north, in Herat, to try and establish their own federation, independent from Afghanistan.

 
GM Note: The update will be up on Saturday. If you do not have your orders in by then, your nation will be ignored.
 
Flag_of_the_Papal_States.gif

States of the Church
The Holy Father would be pleased to host the Royal wedding between such two devout persons as Princess Isabel and Archduke Karl; and welcomes their families and retinues as may attend.

In Christ,

His Eminence, Giacomo Antonelli;
Cardinal Secretary of State for His Holiness,
Pius PP IX
 
500px-Flag_of_Afghanistan_%281880%E2%80%931901%29.svg.png

Brothers we did it. The Foreign Bear struck into out homes and we wounded it, drove it back, but as we went to deal the fatal blow we were betrayed by our own left hand. The knife it holds is a viscious one, threatening to tear us apart and leave us to the carrion birds. Worst of it all is that our own western Brothers wield that blade, they rise up out of selfish desire for power that doesn't exist, and risk doom to us all to get it. But there is still hope. These betrayers will be dealt brought to justice, and given the proper punishment of death so that their sins may be judged.

But not all must perish for the sins of a few. To the rebel, throw down your arms now and you shall be spared. To the civilian, turn away the rebel and drive him from your homes and you shall be treated with charity. To the leaders, surrender yourselves now and leniancy shall be considered. But let it be known that any who continues to take up arms against our nation, and any who assists the rebel in his madness, shall not be spared. I have given you the option, and I pray that you my Brothers see reason and end this fight before it begins. Together we could have driven the foreigner back, and together we can work together to repair the damages wrought, but as it is your betrayal has destroyed our chance of striking the fatal blow.

And as such, as much as it pains me to do so, I must present this

Treaty of Ufa
1. All fighting between the Russian Empire and the Emirate of Afghanistan is to cease immediately
2. All territories under occupation by the Russian Empire will be annexed as territories of the Russian Empire
3. Afghanistan will rescind all claims to lands exchanged in clause 2.

[X]Miramolinus Dost Mohammad Khan, Emir of Afghanistan
[x]Alexander II, His Imperial Majesty, The Emperor and Autocrat of All the Russias
 
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Treaty of Ufa said:
[x]Alexander II, His Imperial Majesty, The Emperor and Autocrat of All the Russias.

Glorious Victory! Russian strength and valour has crushed the resistance of the Afghanis, and freed the Kokandi people from their foul dominion. It is the righteous opinion of the Tsar that these people be afforded the protection of Mother Russia and as such, will be annexed into the Empire, for their protection and for the protection of Russian interests in the region.
 
Events of the World: 1862


Europe

Pressure was exerted on the House of Commons by the Prime Minister to adopt the Railroads Regulation Act, with only a few amendments. Across the nation, there was massive industrial expansion, and this act was supposed to help facilitate the growth of the nation. Eventually it was passed, even though a few amendments were tacked on, increasing the total costs of the expansion, but work would soon commence with these new guidelines.
[-£1,789,812 to the United Kingdom. +1 Infrastructure to the United Kingdom in 1 turn.]

The French Military undergoes a shocking and complete overhaul in 1862. Emperor Napoleon III ordered the reorganization and restructuring of the French Military. While he had hoped this would have been a relatively inexpensive endeavour, a few of the French Generals had ambitious, grand ideals that would help advance the French Army to higher levels than ever before. A central military structure was established, and from the top to the bottom, the entire system was torn down and rebuilt. This ranged from the lowliest supply line, to the vital guards and policemen of the Empire. The full structure was not expected to take long to implement, but it would still be some time - and a lot of money - before it was finished.
[-£9,182,655 to France. +3 Military Levels to France in 4 turns.]

The Spanish Government attempts to reform the tax system along the same lines as the Portuguese reforms that were undertaken in 1861. Unfortunately for the Spanish, they only know the top levels of the Portuguese reforms from what they read in various newspapers, and started to implement strange ideas, mostly done at the hands bureaucrats that were “trusted”. As it would be, the Spanish tax system became so byzantine, not many people even understood it themselves. Money seems to just disappear. Taxes were raised anyway. It was a complete overhaul of the system, one that resulted in nearly three thousand, two hundred, and twelve pages of regulations and instructions on how to collect taxes. Needless to say, it didn’t go well.
[Less tax income to Spain. Higher taxes in Spain. Higher government costs in Spain.]

Negotiations between Spanish creditors and the Spanish Government commence, attempting to work with debt restructuring and how to pay it down a bit more. While no debt was forgiven, the recent instability in Austria did provide the various creditors to agree to a lower interest rate, one that would greatly help Spain with their debt payments.
[Interest rate for Internal debt set to 1% in Spain.]

The Portuguese government commissioned the Bank of Portugal as the Kingdom’s central bank. Looking to stabilize the nation’s currency and money supply, as well as regulate the commercial banking system and lower interest rates, the Bank succeeds completely. The new, stable Portuguese banking system and currency led to a boon for economic growth, whilst the lower interest rates saved the government money on borrowing.
[+1.5% Economic Growth to Portugal. Lower internal interest rates.]

With this victory behind it, the Portuguese government then continued on its way, looking to prevent further epidemics in Portugal by rapidly expanding the funding for medical research. While research goes incredibly quickly, a small committee is formed, tasked with the deployment of new medical advances. While the committee works tirelessly in devotion to Portuguese medicine, the logistics are almost insurmountable, and so the results will take a long time to complete.
[-538,890 £ to Portugal. +15% Public Support, +1 Infrastructure in 4 turns.]

Across Belgium, attempts to spurn recruitment using the threat of the Kingdom of the Netherlands to the North does not materialise any support, as the government spends a lot of money on the campaign, not many Belgians sign up for fight for the nation.
[-£328,936 to Belgium. +1,000 Regulars to Belgium.]

King Leopold personally oversaw the construction of a strong of fortifications along the border with the Netherlands, looking to create a strong series of defenses that would not be able to be penetrated by the Dutch, should they attempt an invasion from the North. The endeavour did cost a lot, but the border between the two countries was very well defended.
[-£953,204 to Belgium. Very militarised border between Belgium and the Netherlands.]

In order to pay for this new expansion of the country’s defenses, the Belgian government authorised the raising of new taxes and levies on various goods across the country. While it only amounted to a 1 per cent increase, not many people noticed that it had any effect at all. People, instead, were happy, that the government was doing all it could to help the country.
[+5% Public Support to Belgium. Taxes increased in Belgium.]

Across the Rhine River that flowed in the Netherlands, a large-scale improvement of the river to make it able to handle more traffic, and wider loads with deeper drafts, is undertaken. The main channel of the Rhine is also given a large amount of construction for docks and other improvements. In an attempt to make sure this was done good, and was done right, the project was to be long and expansive, taking as much time as possible to get these things completed. As it would be, the bulk of construction equipment and barges made river travel harder, effecting the trade network, and everyone who traded on the Rhine.
[-£3,311,030 to the Netherlands. Economic hits to everyone who trades on the Rhine. -0.53% Economic Growth to everyone who trades on the Rhine. +2 Infrastructure to the Netherlands in 5 years.]

The amendments to the Treaty of London are signed by all of the Great Powers and ratified in London. Luxembourg was made fully independent, and given to the Duke of Nassau, where he was crowned the Grand Duke of Luxembourg due to the Duke of Cambridge stepping aside for him to do so. In doing so, that left a gap in the leadership of the Duchy of Nassau. The throne of Nassau was passed to Prince Franz Joseph Wilhelm, only aged 3, and a regency was quickly set up for him, securing Nassau’s line of succession and sovereign. While the Rhine river was once again open, and British and Prussian trade flourished due to the Dutch rejecting trade between Prussia and the Netherlands. The United Kingdom was seen as the mediating power, and the one responsible for stopping a European war.
[Economic boost to Prussia, United Kingdom. +20 Prestige to the United Kingdom. Economic boost to the Netherlands for trading.]

Attempts to curtail the recent subsidies program turns out to be a massive mess for the Dutch Government, as the Estates General, which was put in charge of putting all of the expenditures under the knife, instead expands the program to include even more industries and expenditures, widening the program.
[More subsidies in the Dutch economy. +0.12% Growth to the Netherlands.]

With the recent attempts to fix the Hanoverian Army by replacing the needle rifles, an order once again was given to try and re-implement the Needle guns. However, many of them had been sold and given away to the Prussians in a trade deal, leaving the Hanoverian Army with mostly flintlocks and other rifles used in the 1830s and 1840s.
[-£453,530 to Hanover.]

Ambassadors are sent to several nearby German states, close to Hannover, in an attempt to try and improve relations with them. The previous cooling of relations due to the Military Parade dissolved, but relations were still cold between Hannover and her neighbours.

On a positive note, Hannover undergoes a series of industrial improvements that allow the city of Hannover grow with both industry and population, flocking to the city for jobs and a chance at a better life.
[-£539,653 to Hannover. +0.64% Economic Growth to Hannover. +0.14% Population Growth to Hannover.]

The Witten/Dortmund-Oberhausen/Duisburg Railway in the Rhineland is slated for expansion in the Rhineland, in order to help along the growth in the Ruhr, Prussia’s major industrial hub. Some of the railroads placed down were actually of a different gauge, and not built correctly, causing a series of devastating derailments, stagnating the economy as many rails were unable to be traversed in the year. Much more money was spent just getting the operations back to normal levels from the year before.
[-£1,295,602 to Prussia. -0.26% Economic Growth to Prussia.]

Friedrich Krupp AG is expanded to become the main provider of armaments to the Royal Prussian Army, and used it to attempt to increase the size and production of their inventory and their overall production. Money from the Prussian treasury is injected into the company, expanding its operations, and causing much more economic growth in the Rhineland.
[-£2,105,695 to Prussia. +1.04% Economic Growth to Prussia.]

By appointment of the King, Otto von Bismarck was made the Minister-President and Foreign Minister of Prussia, due to the ongoing turmoil over the budget. He felt only Bismarck would be able to solve the current situation. By refusing to pass a budget, Minister-President Bismarck simply resolved to continue to use the budget from 1861, collecting taxes and ignoring the Prussian Diet. His appointing, as well as his ideals, was greatly advantageous for the support of the Monarchy and the Government.
[+18% Public Support to Prussia.]

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Minister President Otto von Bismarck of Prussia.

In 1862, lieutenant-general Albrecht von Roon was given the ability to reorganize the Prussian military along the lines of Scharnhorst's system, which involved reducing the importance and scale of the Militia, while working to strengthen the standing army. This, along with a series of changes to the military structure, helped the Prussian Army advance even more. There did come costs, however, as the new changes and structure was put into place.
[+1 Army Level to Prussia in 1 turn. -£1,891,744 to Prussia.]

The Italian Navy begins an expansion in order to be able to better protect their power across the seas. Several shipyards in Northern Italy begin to produce these new naval ships, hoping that the Italian Navy will, one day, be better suited to help defend herself.
[-£1,627,918 to Italy. +15 Sail Frigates to Italy.]

King Vittorio Emanuele II demands a meeting with many of Italy’s domestic creditors, and asks for a reduction in the interest rates they are dealing with. The meetings go moderately well, where they decide to give a slight reduction in the interest rates.
[Italian Interest rates set to 1.75%]

Funding is channeled into Southern Italy for the creation and expansion of the little industry that existed there. The largely agrarian society was resistant to the changes, but a few factories appear in Naples, helping the Neapolitan economy, and by a whole, Italy’s economy.
[-£1,257,486 to Italy. +0.19% Economic Growth to Italy.]

The Pope creates the Papal Zouaves, infantry regiments to be trained as light infantrymen and skirmishers. While the Pope decrees it, he does not draft but instead calls for volunteers, of which there are 3. Needless to say, after some short blessings, the Pope sends the men home, in disappointment. Many in Rome wonder why the Pope, of all people, would need to expand his military.
[-20,309 £, -10% Public Opinion to the Papal States.]

The Pope decides to continue his military expansion by building more ships. The cost, in both finances and public opinion, leaves many in the Curia wondering if such moves were smart, though the Pope was intelligent enough to learn from his mistakes and draft more men to serve for the expanded navy.
[-782,934 £, -5% Public Opinion to the Papal States. +9 Sail Frigates in 3 turns.]

The Pope ever cognizant of his flock and the plight of those less fortunate, in an act of Christian charity, founded a new orphanage in Rome. The new orphanage would provide a new home for those who were abandoned or otherwise had lost their parents, these children would be Children of the Lord, and taught to be good Catholics. The new orphanage would educate its charges in Latin and the Bible. Additionally, it was viewed by many Romans and supporters of the Pontiff as a sign of the magnanimity of the church.
[-£356,694 to the Papal States, +2% Education Level to the Papal States, +8% Public Opinion to the Papal States]

In Bern, the Swiss National Banking Trust is established, with the Swiss National Bank forming the basis of the entire organisation. It was made the governing body of all public, and private, banks in the nation. While this was projected to bring stability to the banking system, the effect was the opposite. The massive regulation and oversight of the Swiss National Banking Trust imposed draconian controls on private banks, many of whom simply closed, bring down the overall Swiss economy. This instability turned investors away from Switzerland.
[-0.36% Economic Growth to Switzerland.]

The Swiss Military was formally disbanded in 1862, shocking many that the government would do such a thing. Massive unrest was felt through the country as many of the military barracks closed and shut their doors. In a measure to stop this, compulsory service for males aged from 18 to 40 was enacted, and many didn’t even sign up for it, as the Swiss government had no real way of enforcing it. This caused the overall reserves of the nation to drop, as well as the Army dissolve.
[Swiss Army disbanded. Reserves decreased. -12% Public Opinion to Switzerland.]

Even with the announcements of these failures, the Swiss are happy to announce the foundation of the Swiss International Zoological and Botanical Centre, which was to be placed in Bern. Many wealthy members of Swiss society, and even European nobility, donated money to this endeavour in order to try and produce one of the largest and finest centres of world animals and plants in Europe. Expeditions are sent all across the world, to Africa, the Dutch East Indies, Brazil, British India, anywhere with exotic and unknown animals to Europe. The project is immense and hundreds of animals and plants are brought back to Switzerland, displaying the wonders of the world all in Bern. It quickly becomes a prime attraction to many, as thousands flock to see it.
[-£256,460 to Switzerland. +50 Prestige to Switzerland. +0.29% Economic Growth to Switzerland.]

In March of 1862, Emperor Franz Joseph I of Austria called a meeting of the many influential and leading political figures from the Empire’s many ethnic groups. It was here that he began to set forward his plan for the “new” Austria. In it, his plan was for a state in which Parliaments were formed in various divisions of the Empire, splitting it up into a few pieces. The proposed parliaments were in Buda, Zagreb, Venetia, and Cracow. They would be given the ability to pass laws that did not infringe upon the current ones in the empire, nor things related to the military, foreign affairs, or crown related events. He also proposed “Advisory Councils” that could lobby these parliaments but held to real power.

On paper, the proposal looked good. The Hungarians immediately opposed any and all ideas to remove Croatia from the Hungarian Crown, and spin it off as having their own legislative abilities. The Polish Nobles, who would dominate the Galician Parliament, supported the measure, as did the Croatian representatives, who would have their own control over their local affairs. In Venetia, the idea was met with a lukewarm reception, where much of the focus was more towards the idea of Italian reunification. The most shocking resistance to this was in Austria’s German-speaking portions of the Empire. While they were the nobility and held much of the power, there was no official legislative body of the Austrian Empire that could pass laws that held actual effects. The February Patent of 1861 was not adopted, and the Austrian Constitution remained ambiguous, allowing the Emperor unchecked power still. Interested in attempting to get these reforms passed, the Parliaments were declared official in an Imperial Decree on May 26th, 1862. The Hungarian Diet in Buda quickly passed a resolution dissolving all recognition or authority done by the Zagreb Parliament, claiming it to be a subservient portion of the Hungarian Diet. The Croatians disagreed, starting a feud between the two sides, one that the Imperial Army was called in to forcefully disband the Zagreb Parliament. The order had been given by the Emperor, only due to the extreme pressure placed upon him by the Hungarians. This sent a shockwave across the Empire, which was already reeling against this political shock.
[-28% Public Support to Austria.]

Even as order seemed to be restored to Austria after the shock of the Parliaments, pamphlets were distributed, speeches made, and riots held in the streets. Venetia, Hungary, and Galicia held some local authority within their borders. Austria itself, along with Bohemia, had no say whatsoever, and were still considered to be under the control of the Emperor directly. No national legislature was yet made official, causing conflicting laws to be passed all around. In Galicia, the Polish Nobility passed several laws outlawing Ruthenians and Ukrainians from the Sejm of Galicia, saying that they were reserved for the Advisory Councils, and that their concerns would be “taken into due consideration” if any issues arose. In Hungary, a massive building program was passed, and being part of the Austrian Empire, all the money was borrowed on the full faith and credit of the Austrian Empire. Before long, the three Parliaments began to borrow widely, racking up spending to improve their portions anyway they could. By the end of November, the Parliamentary budgets surpassed the entire Imperial Budget of 1862.
[-£21,178,596 to Austria. +4% Literacy to Austria. +2 Infrastructure to Austria in 2 turns. +0.45% Economic Growth to Austria.]

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The Sejm of Galicia, only open to the Poles.

In his effort to reform the Empire, it soon seemed that things were spiralling out of control. The budget had doubled, tax revenue dropped, discontent was high with the Imperial Crown, and several people talked of things such as Hungarian separation from the Empire. It was clear, however, that this system could not last, and something would be needed to be done in 1863 for the Austrian Empire to remain a political entity for any more than a few more months.

With chaos in the streets, and riots widespread, the Austrian Army begins a new period of manufacturing rifles and sabres for the cavalry, in order to be ready if any “domestic emergency” arose and the Austrian Army was forced to react to it.
[-£874,158 to Austria. +1 Army Level to Austria.]

The plans laid out previously for a railroad system as stonewalled by the various Parliaments in the Empire, with no progress being done on them at all. The whole idea is scrapped, and the plans filed away.

The Economic Advisory Board was founded in Wien, with the task of trying to figure out a way to enter Austria into a booming period of economic growth. Every single person on the advisory board noted that the rampant and runaway spending at the hands of the Parliaments around the Empire were detrimental to the overall health of the Empire, and that it could not last. If political unrest did not pull the Empire apart, it was projected that the Austrian Banking system would experience a systemic collapse in 1866, and in 1868, all Austrian debt would be defaulted on, and quickly the Austrian Economy would collapse, falling to 50% of it’s 1860 value by 1874. These messages were conveyed to the Emperor, with a note at the bottom proclaiming, “Please, for the love of God, do something your Majesty”

King Maximilian begins to travel to several German states bordering his own, and begins talks of the ideas of German nationalism, and needing to work together and cooperate as one. He brings up the fact that some of their interests might go against those of the those of Prussia and Austria. He made known that he was not attempting to create hostility between any of these nations, but he does lay the plans for a closer bond between many of the nations, a bond that creates much talk in Berlin and Wien, where the idea is less than favourable for them.

Across Bavaria, a campaign to help promote the greatness of the family, to encourage more and more people to get a family, bring about a population growth spurt, and the romanticised of motherhood and family values quickly become ingrained in most peoples minds.
[-£453,694 to Bavaria. +0.26% Population Growth to Bavaria.]

The Bavarian Government begins to offer generous starting-capital loans to individuals and groups willing to try and increase production and general economy of Bavaria. A few industries were established in Munich, and several loans were put into the farms in the countryside, making them more efficient and allowing them to expand production for the country.
[-£846,269 to Bavaria. +0.35% Economic Growth to Bavaria.]

The Swedish Government passes a bill that allows for the foundation and dedication of the idea of Scandinavism. It was designed to promote the ideals of Scandinavia in all of their teachings. An agreement was reached with the Danish Government, where one would be built in Copenhagen, along with two other ones built in Stockholm and Christiania. It was expected to take awhile to have a real effect, but soon, thousands of men will be giving speeches for Scandinavia.
[-£2,110,242 to Sweden. +9% Education Rate to Sweden in 4 turns.]

The Swedish Government also invests heavily into agriculture, giving many farmers new and better equipment, in an attempt to ensure that the farmers were better able to produce larger and bigger yields of crops. This was prompted from the global shortage of food, mostly stemming from the Russian Empire and their severe lack of food production. This does help the Swedish economy, as the crop yields for 1863 were expected to be much later than in 1862.
[-£463,694 to Sweden. Economic boost to Sweden.]

With less people on the farms, migration to urban areas soon began, and the Swedish Government soon began to invest into industrial facilities to help give these people jobs, so they were a benefit to the economy, not a drain.
[-£235,640 to Sweden. +0.25% Economic Growth to Sweden.]

With many Russian nobles losing large sums of money due to the lack of workers on their farms, the Russian government begins a massive buying and redistribution of land from the nobles to the serfs. While this massively improves the Tsar’s popularity with the former serfs and peasants of the Russian Empire, many of the nobles quickly began to react against his actions. The normally active nobel gatherings in St. Petersburg grow colder, as the Tsar and his family are looked down upon more and more.
[-£12,594,602 to the Russian Empire. +0.35% Population Growth to the Russian Empire. +0.25% Economic Growth to the Russian Empire. Food Imbalance in Russia fixed.]

The Russian Army undergoes a series of transformations and improvements, in hopes that the structure and command abilities would be better updated to adapt to reforms. This was mostly spurned on by the Russian Army’s inability to fight effectively in the Crimean War, and the Russian leadership deemed it time for a change. It was going to take a while, but eventually the Russian Army would see changes to their structure.
[-£2,601,360 to the Russian Empire. +1 Army Level to the Russian Empire in 2 turns.]

Balkans/Near East

In Bucharest, France and the United Principalities agree and sign the Treaty of Friendship and Development. In it, the United Principalities purchased a large quantity of French arms from the French military. At the same time, the French Army sent advisors to the United Principalities, in order to help them with their modernisation. France also agreed to invest into building roads for the United Principalities, as well as helping to overhaul a port of theirs. French merchants and several industrialists also relocate to Romania. Unfortunately for the French, costs spiralled out of control, and soon overhead costs become a burden on the French, who resolved to carry out the terms of their treaty, no matter what it took.
[-£953,693 to France. +2 Infrastructure to Romania. +5% Equipment to Romania. -£303,532 to Romania.]

The army of the United Principalities undergoes an expansion of their army, mostly as a method to assert their autonomy from the Ottoman Empire, and to bring more soldiers into the army to protect their territory.
[-£135,661 to Romania. +10,000 Regulars to Romania in 2 turns.]

A military academy is founded in Bucharest, which quickly accepted applications from around the United Principalities. The eventual goal was for the formation of a general staff and a military command for the United Principalities
[-£1,089,215 to Romania. +1 Army Level to Romania in 1 turn.]

The King of Greece spent a good deal of his year on a major campaign to reduce corruption in the Greek bureaucracy. He formed a committee of his most trusted advisors, and they systematically reviewed every department, along with an army of accountants, to ensure that all corrupt bureaucrats and excess spending were eliminated. It is a major success, both cementing the Greeks trust in their government, and eliminating a heap of wasteful spending.
[-20,394 £, +15% Public Opinion to Greece. Bureaucratic costs significantly lowered.]

Later, the Greek government approved a government-funded expansion of the Piraeus Harbor, which goes well, and though it is clear that the construction will be both long and expensive, many economic planners feel it will be worth it. After a quick round of discussion in the economic planning council, the King decided to raise the budget.
[-500,000 £ to Greece. Expansion 1/3 to completion.]

After the Greeks had gone over budget for the port expansion, they decided to cut that funding out of the further money they chose to allocate for the Academy. Fortunately, the money was still enough, and many in the upper class enjoyed some art shows and seminars the Academy hosted during the year.
[-100,000 £, +6% Public Support to Greece.]

Ottoman surveyors spread out across the Ottoman-controlled Balkans, looking for areas and a pathway to build a good line of railroads, to help facilitate growth in the future. A proper path was planned out, and soon plans were made, ready to be implemented next year, greatly reducing any costs related to planning.
[-£259,694 to the Ottoman Empire. -50% Cost to Infrastructure in 1863.]

The Ottoman Navy looks to the West for ideas in improving its navy, and the armaments that it holds. First, they look towards the British Navy, the world’s foremost naval power, as well as the French Navy, the preeminent force in the Mediterranean. Several new and innovative ideas are passed through the Ottoman
[-£1,466,741 to the Ottoman Empire. +2 Naval Levels to the Ottoman Empire.]

The Ottoman Sultan instructs the Sublime Porte to begin an international campaign, to try and show that the Ottoman Empire was an open and investment-worthy country, one that had vast natural resources and a large labour force, ready to be put to work. Investors from France and the United Kingdom begin to invest into the Ottoman Empire, helping along small industrial manufacturing in Constantinople, and some mining operations elsewhere in the Empire.
[+0.46% Economic Growth to the Ottoman Empire. +0.05% Economic Growth to France. +0.09% Economic Growth to the United Kingdom.]

In Qatar, the Italian Navy sails into the main harbour of the country, and announces that it is now Italian Territory, and decided to use guns in order to subdue and overthrow the Sultan. They put up a fight, and are even able to sink an Italian ship. At the end of the day, however, Qatar falls under Italian control.
[-1 Sail Frigate to Italy.]

In Egypt, the Wali decides to roll out a plan for a secular education system. While the plans were good, and proper teachers were secured at a high price from the Ottomans, many are concerned that the lack of religious education in the schools will cause the new generations to be amoral, unethical brigands.
[-1,609,209 £, -5% Public Opinion to Egypt. +2% Literacy in two turns, +3% Literacy in three turns, +5% Literacy in four turns.]
 
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North America

In British North America, the old Metis Confederacy and the United Kingdom sign an agreement, incorporating the former territory as Rupert’s Land, a full colony that held the same and equal rights as the province of Canada. Representatives for Rupert’s Land quickly began work with the government of Canada. This cooperation helped spurn settlement further east, as roads and railroads soon snaked their way through Rupert’s Land to the west coast.
[Population increase in British Columbia. Rupert’s Land integrated into British North America. Small economic boost to the United Kingdom.]

In Russian Alaska, the Gold that had been discovered by some prospecting peasants got an investment from the Russian government to begin mining and extraction of some of the gold. While it was nothing more than some sporadic mining, clipper ships sending the wealth to New York, and then onto Europe, produced a large profit for the Russian Empire.
[Large increase in income to the Russian Empire.]

European instructors and advisers arrive in the United States, many of whom had studied both the Napoleonic Wars and the Crimean War, simply to watch and observe the various battles and the army itself. While the Americans wanted to to train their soldiers, many were reluctant to do so, and simply observed.

Material and weapons are ordered from European countries to try and help supplement the purchase and construction of guns and ammunition in the North. It was to the misfortune of the Union, however, that many Confederate Commerce Raiders sought and destroyed many American ships carrying this equipment over. The bills still needed to pay, and the United States racked up debt due to sunken goods.
[-£4,332,426 to the United States. +15% Equipment to the United States.]

A huge campaign in the North to paint the Southern slaveholders as the scourge and aristocratic, controlling the rebel states under their finger to preserve the institution of slavery. These fiery words spread through the Northern States, spurning massive recruitment drives. If President Lincoln didn’t want to free the slaves, he sure wasn’t making a good case for it by blaming everything on the slave holders.
[+5% Public Opinion to the United States. +130,000 Conscripts to the United States.]

President Lincoln, along with members of his cabinet, tour the states of Maryland and Delaware, looking to raise moral and hold some speeches, talking about the need to keep the Union together, united, as one. Many of the soldiers, and the weary citizens, are ready and able to stand by their President.
[+11% Public Support to the United States.]

Confederate attempts to send representatives of the Confederate government into Missouri and Kentucky fail, as many of them get run out of the state. Not many people, besides a few bands of Confederate sympathisers in Missouri, want to separate from the Union. In the Indian Territory, all attempts for the Confederates to reach their native allies fail, and they are left to fend for themselves.

In New Orleans and Vicksburg, Mississippi, the Confederate Army undergoes a massive construction effort. Earthworks, forts, heavy guns, and fortifications are erected at key defensive and strategic points, making capturing these areas very hard for the Union Army, should they try. The Union was able to learn of these defenses due to some Confederate newspaper and spies that were active in the South. The Confederacy also began a huge effort to build river ironclad gunboats for usage on the Mississippi River.
[-£2,593,693 to the Confederate States. Large Confederate presence on the Mississippi River. Strong fortifications at Vicksburg and New Orleans.]

The Confederate States begins another recruitment drive, training regular soldiers at bases in North and South Carolina, and mustering in new conscripts from farms and towns across the Confederacy.
[+30,000 Regulars to the Confederate States in 1 turn. +75,000 Conscripts to the Confederate States.]

Sporadic fighting between the Confederate Army of the West and the Union Army of California prompt General Early to retreat once again across the desert, back into the Arizona Territory. Many soldiers die due to the harsh conditions of fighting and marching across the desert. Upon reaching a completely uninhabited location in Arizona, that only had a tree flying the American flag, much of the Army of the West mutinied, and General Early, along with only about 300 men, retreated back to Mesilla, where the Colonial Government was located.
[-192 Conscripts to the United States. -7,924 Conscripts to the Confederate States.]

In Northern Virginia, the Army of Northern Virginia begins a campaign to try and ensure the Union Army is pushed out of the area, and back into the North. General Lee begins an offensive by crossing the Rappahannock River, and moving into Northern Virginia. The Union Army of the Potomac, still commanded by General Irvin McDowell quickly attempted to resist the attempts by the Confederate Army to push North. His defensive plan, however, left his centre very weak, something that General Lee was able to easily exploit. After several battles in Northern Virginia, the Union Army was forced to cross the Potomac River, heading back into Maryland.
[-639 Regulars to the United States. -9,684 Conscripts to the United States. -1,295 Regulars to the Confederate States. -4,369 Conscripts to the Confederate States.]

General Stonewall Jackson, already in command of his own corps at Harper’s Ferry, upon hearing of the success of General Lee, conveys to him the idea of an attack on the Union on their own soil. It was their planning, and Jackson’s ability to convince Lee, that an attack into Union territory was the correct plan of action. Coordinating with both of the armies, a massive Army of over one hundred thousand soldiers marched northwards, crossing the Potomac River in late July, and moving north towards Pennsylvania. The Union Army, disorganised from the recent battles, starts to chase after them, to try and prevent the Confederacy from cutting off its vital supply lines.

It was outside the town of Sharpsburg, in the fields where Antietam Creek flowed gently through the countryside, the Union Army of the Potomac and the Confederate Army of Northern Virginia met, with the Army of Northern Virginia taking good advantage of the ground and forcing the Union Army to cross the creek, and assault the Confederate positions on the high ground. The Confederates also had ample cover with stonewalls, and shallow trenches. As the hot August sun blazed overhead, the Union II Corps began the first assault, attacking across the river, under heavy Confederate battery fire. The Union battery did not get up until one hour after the Confederate battery began to fire, allowing the Confederate gunners to gave a massive advantage over their Union counterparts. Charge after charge of Union infantry slammed into the Confederate lines, as fighting in the cornfields began to turn it a sickly shade of red.

Fighting continued through the morning into the afternoon, both sides were dealing with severe heat exhaustion, causing many Confederate commanders, in an apparent attempt to end the battle quicker, to order charged against the Union lines. The Union forces had been fresh and prepared for defense, leading many of the Confederate charges to be a complete mess. After the afternoon quickly descended into a chaotic mess of charge and countercharge, Stonewall Jackson’s corps was able to smash through the Union centre, while General Longstreet's corps crashed into McDowell’s flanks, causing the complete collapse of the Army of the Potomac. General McDowell was quickly recalled back to Washington for the defense of the capitol, where he was promptly replaced with General George McClellan. Historians would look back upon this day, and note it was simply the bloodiest day in all of American History.
[-6% Public Support to the United States. -2,013 Regulars to the United States. -25,604 Conscripts to the United States. -1,953 Regulars to the Confederate States. -20,438 Conscripts to the Confederate States.]

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The Battle of Sharpsburg, the single bloodiest day in American History.

Several skirmishes happen between Confederate and Union forces in Maryland and in Northern Virginia, none of which caused any significant movements as both sides camped down for the Winter.
[-2,492 Regulars to the United States. -8,343 Conscripts to the United States. -1,492 Regulars to the Confederate States. -5,329 Conscripts to the Confederate States.]

In Tennessee, the Confederate Army of Tennessee begins operations against General Grant’s Army in Western Tennessee. Neither side is willing to make a large offensive. It wasn’t until General Grant’s army was able to engage the Confederate Army at the Battle of Corinth. As the fall weather began to grip the Confederacy, both sides adorned their winter clothes and began the two-day battle in the middle of November.

The Union Army, under General William Rosecrans met the Confederate Army under General Earl Van Dorn. Neither side was properly equipped for a large-scale engagement, as they were both smaller armies, part of the larger engagements going on around Western Tennessee and Northern Mississippi. News of the Union defeat at the Battle of Sharpsburg hung heavy on Union morale, causing the Confederates to make a major breakthrough in the first day of fighting. The second day, however, reinforcements arrived to help the Union Army beat back the Confederates. After grueling fighting, and a particularly cruel cold snap, General Van Dorn ordered the Confederate Army to retreat southwards, leaving it as a tactically inconclusive battle, but a strategic Union victory.
[-593 Regulars to the United States. -2,184 Conscripts to the United States. -473 Regulars to the Confederate States. -1,935 Conscripts to the Confederate States.]

Skirmishes continued through the rest of the year, with the Union Army being thrown out of Northern Mississippi, except for a portion along the Mississippi River, where the Union Navy engaged the Confederate River Navy. The untrained, and outnumbered, Confederates put up a fierce fight, but it was to no avail, and Vicksburg, Mississippi was fallen back on, as the next strong point of defense for the Confederates on the Mississippi River.
[-1,593 Regulars to the United States. -35,385 Conscripts to the United States. -4,593 Regulars to the Confederate States. -19,593 Conscripts to the Confederate States.]

In Cuba and Puerto Rico, the Spanish colonial administration begins to improve and streamline the administration of their colonies, in order to try and make sure they are run more efficiently, and many of the money holes that existed in them were repaired. Some money was spent, and Cuba started to turn a larger profit and became slightly more profitable.
[-£254,604 to Spain. +0.14% Economic Growth to Spain.]

Across Mexico, President Juarez goes on a tour, giving speeches, and asking for national unity to triumph over all. ”Todos Mexicanos” he always proclaimed, stressing that no matter the political belief, they all could work as one. A united Mexico, one where progress and innovation is the way business is done. The government even sets up their own administration across the country, in which local people, small groups, or even independent citizens, may send messages to the Government to ask for actions they want fixed in the nation. One of the prime concerns was urban life, which was squalid and barely sustainable as it currently stood.
[-£108,583 to Mexico. +7% Public Support to Mexico.]

One of the more interesting actions of the year in Mexico were unknown to most. With the fighting between the Conservatives and the Liberals over, Mexico entered into a period of stability. Peace reigned over the lands, as the old Conservatives began to adopt the reformist policies held by Juarez. What only 5 years ago was called a Conservative was now known as a Reactionary. The new Conservatives were strong, filled with supporters of Juarez, while the new Liberals championed greater and greater reforms. To underestimate the effect Juarez has on Mexico is an understatement, as much of the countries political spectrum moves to the left.

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President Benito Juarez of Mexico, a National Progressive Hero.

A parade in Mexico City, to signal the end of the Civil War and the unity of the nation, is a rousing success as soldiers who were once enemies, walked arm in arm through the streets, committed to a United Mexico, ready to stand against her foes. The entire occasion was overshadowed by the entire situation with rebel debt and European debt, which came about in 1862 with a fierce whiplash.

Debt payments begin to mount in 1862, and while President Juarez was touring the nation, government bureaucrats quickly began working to cover up or hide much of the debt. When the Mexican diplomatic corps finally achieved a breakthrough with the Convention of Mexico City, which would allow Mexico to default on debt that was held by the Rebel forces. This seemed like a godsend for many of those who ran the Mexican banking system, and debt that had been taken out by the Government was quickly reshuffled and classified as “Rebel” debt. Payments stopped suddenly on it, and the shockwave rumbled through London and Paris, which had been bracing for a much smaller default. In order to maintain full operations, several loans had to be called in, and the governments of the two nations quickly shoved money into the banks to prevent any adverse effects. In Mexico, however, the loss of the debt payments helped them pay for other things, but the banking system took a huge hit, with interest rates doubling after the first month, and tripling by the end of the year. The United Kingdom and France, however, quickly flooded in goods into the Mexican economy, many of which shut several businesses down due to the cheap goods.
[-£2,530,649 to the United Kingdom. -£3,962,693 to France. Mexican Interest Rate set to 7%. £9,239,691 in debt removed from Mexico. Small hit to Mexican economy. -0.85% Economic Growth to Mexico. +0.11% Economic Growth to Britain. +0.08% Economic Growth to France.]

South America

Colombia holds a day of national celebration commemorating the life of Simon Bolivar. After a gracious invite by the President of Colombia, the Presidents of Bolivia and Venezuela join, and a feeling of warm relations and cooperation seems to take the region, both inside Colombia and with her neighbors.
[-51,879 £, +7% Public Support.]

Later, a campaign for European capitalists to invest in the mining and extraction industries fails miserably, as protectionists in the Colombian legislature pass a series of tariffs and taxes to undermine the campaign, though they are too short lived to benefit the government.

Later, these same protectionists were courted for bipartisan passage for the creation of a small textile mill as a pilot program for direct government investment in new ventures. The program goes swimmingly, and many Colombian economists give their endorsement of such ventures in the future.
[-175,209 £ to Colombia. Small economic boost to Colombia.]

The Brazilian executive seeks to improve the armaments of its military, purchasing arms from a multitude of European and domestic sources. While overall quality improves due to the better equipment, there is a massive amount of confusion as there are over 30 different rifles carried by the Brazilian infantrymen. Training each soldier for each type of weapon would take a long while, and the Brazilian military planners called for armament standardization.
[-2,401,940 £, +16% Equipment, +1 Army Level in five turns to Brazil.]

The Brazilian government then passed a series of bills that allowed for the creation of new shipyards in Rio de Janeiro. While expensive, the new shipbuilding industries proved to be very useful, as many South American countries and their traders started ordering from these modern shipwrights.
[-1,208,109 £ to Brazil. Large economic boost.]

The Brazilian government then tries to replicate its success by passing a bill creating a program to subsidize the livestock industries, focusing on cattle. The liberals seem vehemently opposed to such an action, with their party leader declaring ‘we shall not vote like cattle and approve this subsidy.’ On his way home, he was killed by a stampede of cattle fleeing their owner, and became a martyr for the anti-cattle bloc in Brazil. It led to the foundation of a new party in the Brazilian government dedicated in his honor, and demanding a more laissez-faire approach to the economy.

The Argentine Confederation was reformed, and the Argentine Republic was proclaimed. The new constitution, creating a strong federal republic, was quickly ratified by overwhelming majorities, and a new feeling of optimism flooded the national mood. Many Argentine citizens could not wait to vote in the upcoming elections, once the constitutional committee established who had suffrage and called elections.
[+21% Public Support.]

This bubbling national feeling led to a new wave of settlement into the uncolonized parts of Argentina. This led to a two-fold beneficial effect: as the pioneers settled more land, it expanded the economy, and freed up the urban centers, further helping growth.
[+2% Economic Growth to Argentina.]

In hopes of making the new colonists expand the agriculture industry, subsidies are established to help with initial purchases of farm equipment, livestock, and seeds. The program proves to be both cost effective and beneficial.
[-52,109 £ to Argentina. Small economic boost.]

Africa

The Dutch Colonial Army begins to recruit Zwarte Hollanders from the Gold Coast in order to work and garrison the Dutch Congo colony. This helps to improve much of the overhead costs associated with the area, as it is continued to be cleared out and improved. Costs were cut to one fifth of what they were to maintain the colony. It was not yet self-sufficient, as crops were still being planted, and a makeshift port was set up, not yet enough for a full trade route.

Several Dutch ships are seized in the Atlantic Ocean, as several had been shipping slaves into Brazil and Cuba. They were from West Africa, and the Royal Navy, the capturing force, did not know if they had come from the Dutch colonial possessions, or who chartered it. The ships, however, were taken as they both had slaves and were equipped for the slave trade.

Portugal then contacted the Kingdom of Kongo, seeking to secure itself ‘favored nation status’ and opening a new trading expedition in Soyo. The talks go admirably, as the envoy was made up of former traders’ sons, who fluently spoke with the King of Kongo in his own language. Such genuinely on the part of the Portuguese did wonders for their relations with Kongo, and trade boomed.]
[Trade between Portugal and Kongo greatly increased.]

The King of Portugal, looking to bring Portugal to the forefront of abolition after the discovery of the Dutch violation of the ban on the Atlantic slave trade, emancipated all slaves in the Portuguese African colonies, formally ending any form of slavery within his realm. While the move was obviously unpopular among the wealthy traders who owned them, the emancipation was enforced by the colonial garrisons, and would benefit long-term economic growth.
[-10% Public support, +1% Economic Growth to Portugal.]

In the dark continent, the government of Sokoto began a campaign to root out inefficiencies and corruption in the government. However, the effectiveness of this campaign was questionable when the political opponents of those charged with the program were the most frequent targets of the campaign. In the end, the government was even more of a mess than it started.
[-£864,604 to Sokoto. Sokoot Government more inefficient and corrupt.]

Asia

Though the Shah of Persia desired to make is country like those of the West, this was impossible as his people were too unskilled and the conservative factions of government too powerful. He did however find some success in encouraging the growth of pistachios for export. Soon Persia would be one of the largest exporters of pistachios in the world.
[-£248,649 to Persia. Small Economic Boost to Persia.]

Fighting between the Russian Empire and Afghanistan have come to a halt, causing Afghanistan, reeling from the defeat they had just suffered at the hands of the Russian Empire, the Emir had no sympathy for those who sought to usurp his rule. Rallying his army, he lead them personally into the Western provinces, asserting his control over the area. Moving north, he arrived at the town of Herat with his entire army, only to find a Persian army fast approaching. The Shah of Persia had decided to enact a War against himself and Afghanistan, in hopes that he would be able to use the distraction to expand his nation. The Persians were not ready for the massive army that the Afghans had assembled, and quickly began to retreat from the area. The Emir, however, felt this was the day he reasserted control over his country. Quickly moving into position, he was able to encircle, and trap most of the Persians. Of the tens of thousands that were not slaughtered, fifty were kept prisoner, and paraded back to Herat, where they were executed for crimes against Afghanistan.
[-29,530 Regulars to Persia. -12 Regulars to Afghanistan.]

The Ever Victorious Army, along with other elements of the Imperial Qing Army moved into Changshu to capture the one of the few remaining Taiping strongholds. It was on the march there that odd things started to happen; some soldiers noticed that certain armaments were disappearing from the camp, but the number was so small that few noticed. Later as they approached Changshu, the General leading the Army seen in discussion with a messenger, claiming to be from the Tongzhi Emperor himself.

Regaining_the_Provincial_Capital_of_Ruizhou.jpg

The Battle of Changshu.

What was being discussed and the reasons for these odd occurrences soon became clear during the battle at Changshu. Elements of the Qing's Army had defected to the Taiping forces, although the major part of the Army remained intact, the Battle at Changshu soon ended as a disaster for the Qing, allowing the Taiping to have one more, if not their last, gasp at independence.
[-1,196 Regulars to Qing, -593 Regulars to the Taiping]

The Tongzhi Emperor disgusted by the performance of his soldiers in putting down the Taiping rebellion in the South of the country issued an imperial decree that the army would be better trained and better equipped. To accomplish this task the Qing would spend heavily on purchasing foreign equipment, often sold at inflated prices. The program would certainly improve the quality of army but it would be expensive.
[-£152,309 to China. +1 Army Level to China.]

In French Vietnam, the port of Saigon is expanded by French authorities, looking to help increase its viability in shipping goods in and out, mostly out, order the dredging of the harbour and the construction of several docs. Along with this, the countryside soon saw French administrators come and help reform much of the old practices into the ones practiced in France. This caused the economy of French Vietnam to grow and become more modern than it had been before.
[-£195,395 to France. Small economic boost to France.]

Japan and France sign the Franco-Japanese Trade Accord in Edo, Japan to try and bring together a closer relationship between the two countries. The French Empire, as it would be, invest money into military equipment and financed the construction of a small railroad in Japan, along with officers for Japan to help modernise its army and navy. This seemed like a huge concession from France, but the benefits from Japan were huge. Japan made France their favoured European trading partner, and established a special silk trade between the two nations, one that would massively benefit French merchants.
[-£345,305 to France. +1 Infrastructure to Japan in 1 turn. +2 Army Levels to Japan. +1 Navy Level to Japan. Significant economic boost due to Japanese trade to France.]

The Bakufu desiring to reinforce the position of Shogunate in Japan, occupied the southern half of Karafuto (Sakhalin) Island. Though the process was arduous with current Japanese technologies, the project was completed, with army building small a series of small fortresses on the island.
[-£245,359 to Japan. Island claim by Japan.]
 
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