Kathe

Kathe, officially known as the Alkor People's Republic of Kathe, is a large, sovereign nation located in northern _. It borders the _ ocean to the north, west, and south, and the Alkorian Federation the east, which is the only other country it borders. Kathe is the second largest country in _ and the _ largest in the world. Kathe has a population of 15 million, making it the 9th most populous country in _ and the _ in the world. Kathe gained independence from the Alkorian Federation 2070, after a referendum that saw a 90% voter turnout. Since independence, Kathe has been in civil war, with the first civil war, which took place in 2072, installing a socialist, one-party government. Later that year, another civil war broke out, with the Kathe Democratic Liberation Front being formed, currently controlling approximately 30% of the country, mostly in the northwest. Ethnic Alkorians in the east later began fighting, and are currently supported by the Alkorian government.

Economy
The socialist-oriented market economy of Kathe is one of the smallest in the world. In early 2072, following the establishment of the new government, the "Establishment of the Kathe Central Bank" bill was passed by the Kathe Supreme Assembly, which established the Kathe Central Bank and a new currency called the Kathe New Denar at an exchange rate of 2860 Kathe New Denar to 1 Alkorian Denar. This currency was short-lived, only months later, following the breakout of the second Kathe Civil War, the Kathe Central Bank was suspended and the Kathe New Denar fell in value exponentially, making it an unusable currency. Since then, the main currency in circulation has been the Alkorian Denar.