The Mercy of Allah · Chapter
XIII: Al-Fulús al-Masnú Min al-Qirtás, or “The Money Made of Paper” explained
Mahmoud recounts how he financed both sides of a war between two sultans, issuing loans and paper money without risking his own gold, ultimately annexing the defeated state and securing a steady revenue stream through taxation.
What happens
Mahmoud recounts how he financed both sides of a war between two sultans, issuing loans and paper money without risking his own gold, ultimately annexing the defeated state and securing a steady revenue stream through taxation. He then describes his plan to move his fortune to Dirak, a model state where the rich rule unquestioned, after learning of its laws from a university scholar. He sets out with his treasure disguised as sand for the Sultan of Dirak, but upon reaching Skandir, a child's accident reveals his secret.
Themes in this chapter
Social Inequality and Greed
Mahmoud's war profiteering and the description of Dirak's legal system, where the rich are immune to punishment and the poor are oppressed, highlight extreme social inequality and greed.
Colonialism and Oppression
The annexation of the defeated state and the imposition of taxes on its populace reflect colonial exploitation and oppression.
Divine Mercy and Justice
Mahmoud repeatedly attributes his success to 'the Mercy of Allah,' yet his actions are exploitative, creating an ironic contrast between divine mercy and his unjust schemes.
Characters to notice
- Mahmoud
The aged financier narrates his scheme of financing both sides of a war, then plots to move his wealth to Dirak, a state where the rich rule.
- The old man
Mahmoud, referred to as the wealthy old man, explains the mechanics of his war loans and taxation system to his nephews.
- The stranger
A learned man from the University who describes the laws and customs of Dirak to Mahmoud.
Key passages
“These loans increased ten, twenty, thirty-fold. It was always I that guaranteed them; I had not to risk or expend one miserable dinar of my horde, and yet yearly my commission came rolling in, in larger and larger amounts, until at last the arduous but glorious campaigns were terminated in the total exhaustion of one of the two combatants (at this distance of time I forget which), and his territory and capital were laid under an enormous indemnity (which I again financed without the tedium of myself producing any actual metal of my own).”
Mahmoud multiplied loans many times over, guaranteeing them without risking his own money, and collected ever-growing commissions until one side was exhausted and forced to pay a huge indemnity, which he also financed without using his own gold.
Mahmoud explains his war-financing scheme to his nephew.
“It is a model state. All is in perfect order. The palaces of the rulers are the most magnificent in the world: all public office is faithfully and punctually performed. It is the envy of every neighbour, the pride and delight of every citizen however mean; for—what is the basis of the whole affair—every man in Dirak is esteemed by the extent of his possessions alone; writing and music and work in metals and painted tiles are esteemed for the pretty things they are: holiness is revered indeed, but confined to the well-to-do; and a man’s virtue, judgment and wit are rightly gauged by his property.”
Dirak is described as a perfect state where wealth determines a person's worth, the rich rule, and even holiness is reserved for the wealthy.
The learned man's description of Dirak's social order.