"The Counter Offensive should be held off for now," Kylia said, her voice a steady beacon in the room. After the battle, Kylia and her subordinates decided to hold a war meeting in Kylia City to discuss the next plan of action.
"The Kylian winter is coming," she continued. "Attacking in the winter will only exhaust our forces. And while our ammunition reserves are not low, because of the recent battles, it is best to replenish our supplies before committing to a potential couple year campaign. We have also already severely crippled Coalition Forces, they won't be able to engage in a direct, conventional conflict with us for years to come. Lastly, we need some time to incorporate the new annexed City of Rosa, and build national strength. By springtime, the Blue Army will be at its strongest. They will be at their weakest. And then, we will launch the Counter Offensive
All Captains nodded in agreement. Kylia City, being the most southern city in the Rosian Basin, has a climate that mirrors that of Kyiv Ukraine, which is already pretty cold during the winter time, let alone invading the other even colder City States to the north. Allso, the casualties inflicted onto the Coalition Army were indeed crippling. Casualties endured by the Coalition were a devastating 1,700 dead and 300 injured. Kylia, in stark contrast, had paid a comparatively small price: only 10 dead and fifty injured.
"Now…how's the Kingdom's national strength doing, especially after this battle?" President Zoloti asked, his brow furrowed. "We need to know the state of the Kingdom of Kylia before we can jump to any conclusions."
A hush fell over the room. Zoloti's question was the crux of the matter. The war had indeed come at some cost for the kingdom. Manpower, vital for the Kingdom's unprecedented growth, was now mobilized, bolstering the military. The economy, stretched thin by the war effort, was starting to show the beginning signs of stagnation.
Economic Advisor Roshi, head of the Bank of Kylia, cleared her throat. "The economy, President, while slowing, is still growing." She fiddled with the clipboard in her hands. "Here's the results from the year 19 Census."
Total Population-20,648 Increase-5%
Industrial Population-4,130 To Population-20%
Rural Population-16,518 To Population-80%
Kylian Land Area-1,000,000 Km^2
Kylian GDP-52,714,803 Kon Increase-10%
Kylian Revenue-18,450,181 Kon
Total Kylian Debt-60,925,632 Kon
Kylian Debt to GDP ratio-116%
Personnel in the Armed Forces-2,060
Percentage of population who are in the Armed Forces-10%
Kylian Steel Production-133 tonnes per year Increase-5%
National Strength Index-55.46 Increase-10.2%
"As you all know, the Kingdom has switched to a war economy." Roshi explained, "Kylian National Debt has increased to a staggering 60,925,632 Kon or 116% GDP ratio, compared to last year's 40,947,194 or 85% GDP ratio, a 20,000,000 Kon or 31% increase in one year."
"However, Interest rates are practically 0%, the Kylian Government can easily service this Debt with a limit somewhere around 300% GDP ratio," Roshi said with relief, her voice a little steadier.
Looking down her list, Roshi moved on to government expenses. "Total expenses this year equate to a total of 35,292,561 Kon, creating a deficit of 16,789,665 Kon, over our revenue of 18,450,181 Kon. Of those expenses, military spending now accounts for over half of our budget, at 18,450,181 Kon or 35% our GDP. This is not a concern, this is just the war economy."
Roshi then warned. "What is a concern is GDP growth slowed down 4/5ths to 10% from the previous year's 50% and Steel production growth slowed down over 2/3rds to 5% from 18%. Lengthening of all railroads has been put on Complete pause and most infrastructure projects are put on hold." She paused, letting the information sink in. The war was clearly impacting medium-term development.
"The Kingdom's urbanized population finally reached 20% of the total population, however by next year that will likely drop with the completion of the annexation of Rosa City. Completely normal." Roshi said nonchalantly.
Looking up at the audience, she went to her point. "In conclusion, the growth that the Kylian Economy still experiences is likely resulting from the natural increase of population, growing urbanization and workers' growing experience in production."
The room remained silent. Looking around, Roshi worryingly glanced towards Kylia who was smiling while holding her thumb up. Kylia, seeing Roshi's discomfort, coughed, breaking the silence.
"Thank you, Roshi. That was… really thorough." Kylia turned her gaze towards the former blacksmith, now newly Royalist MKP, Stalevi. "Mr.Stalevi, anything you want to share?"
He cleared his throat, his voice rough from years of shouting over the din of the forge. "Yes, recently, like as of this year, our team of industrialists had finally mass produced enough H1 Howitzers to replace half of the cannons in Vahon's 1st Artillery Company. They were developed way back in year 15, however were too expensive to manufacture in mass until the recent upgrades in manufacturing technology. We believe these weapons will have a considerable role to fill in the outcome of future Kylian battles."
A murmur of excitement rippled through the room. Kylia's eyes gleamed, this was a spark of good news. "Excellent, Mr. Stalevi. This is precisely the kind of progress we need. We will use this time strategically. While our enemies lick their wounds, we will re-arm, re-train, and re-energize. We will focus on integrating Rosa, strengthening our economy, and perfecting our new weaponry!" By spring, we will be ready."
After a few hours of more mundane discussion, the meeting adjourned, the captains and MKP's began to disperse, as Old Prime Minister Fermer approached Kylia, whose face was planted onto the table. His face was still etched with concern, but a flicker of hope shone in his eyes.
"Kylia," he said, his voice gravelly but kind. "You're overworking yourself. You haven't slept properly in days."
Even as a Valor, Kylia still needs to get adequate sleep, in fact, because of the biology of Valors, proper rest may be even more important than humans. Humans have saccades, when the brain experiences a brief "information gap" as the brain temporarily suppresses visual information processing every 50 milliseconds to prevent image blurring, resulting in blindness for 2 hours each day. Humans make up for this gap of information with a mental representation of the external world. Valor's on the other hand, do not. With multiple pupils for tracking motion, the Valor's Маньоко eyes can send a constant perception of the world to the brain. Adding in different color spectrum ranges, wider perception range, and greater clarity of Маньоко eyes, the Valor brain has to constantly process a larger amount of data in order to achieve a reaction time of 10 milliseconds or faster. This places a lot of strain on a Valor brain.
Kylia, still slumped at the table, finally lifted her head, her Маньоко eyes spun wearily as she struggled to focus before her Маньоко eyes stalled and shut under the weight of fatigue.
Sighing to himself, Fermer retrieved a spare quilt from a nearby closet, its faded fabric softened with age, and carefully slid it beneath Kylia's head. Then, as silently as he had come, he retreated, leaving her to find what rest she could. The candles flickered, casting dancing shadows on her face as Fermer slipped out of the room, closing the door softly behind him.