HAVING RECOGNIZED and rewarded those who had helped put her on the throne, Catherine turned next to the two powerful institutions, both pillars of the state, that had given her essential support. Both the army and the church wanted immediate reversal of specific actions by Peter III. With the army, this was easily done. To cement the favor of the officers and men, exhausted by seven years of war and smarting from the humiliation of the dishonorable peace with Prussia, she canceled the new alliance with Frederick II. She also assured the Prussians that she had no intention of fighting them or anyone else. She abruptly halted and withdrew from the barely begun war with Denmark. Russian army commanders in Prussia and central Europe were given a simple order: Come home! Rewarding the church was more complicated. Her first step was a temporary suspension of Peter’s hastily decreed confiscation of church lands and wealth. The church hailed her as a deliverer.
These early steps left unresolved other critical problems pressing on the empire. The Seven Years’ War had bankrupted the treasury; Russian soldiers in Prussia had not been paid for eight months. No credit was available from abroad. There was a calamitous rise in the price of grain. Corruption and extortion had spread through all levels of government. In Catherine’s words: “In the treasury there were seventeen millions of rubles’ worth in unpaid bonds; almost all branches of commerce were monopolized by private individuals; a loan of two millions attempted in Holland by the Empress Elizabeth had met without success; we enjoyed no confidence or credit abroad.”
Those who hoped that the overthrow of Catherine’s husband and his pro-Prussian policies would bring about a reinstatement of the Austrian alliance were disappointed. In the first days of her reign, she had encouraged these partisans by issuing a manifesto referring to “an ignominious peace” with the “age old enemy,” meaning Prussia. When the foreign ambassadors were invited to her first official reception, the Prussian ambassador—Baron Bernhard von Goltz, Peter III’s former confidant—begged to be excused, saying that he “had no suitable costume.” But continued hostility with Prussia was not Catherine’s intention. During her first week on the throne, couriers were riding to European capitals with assurances that the new empress wished to live in peace with all foreign powers. Her letter to the Russian ambassador in Berlin said, “Concerning the peace lately concluded with His Majesty, the King of Prussia, we command you to convey to His Majesty our solemn intention of upholding the same so long as His Majesty gives us no cause to break it.” Her one condition was the immediate, unobstructed return of all Russian soldiers in the war zone. They were to fight neither for nor against Prussia, and neither for nor against Austria; they were simply to return home. Only four days after the reception that Goltz had failed to attend, he was back at court, playing cards with Catherine.
Confronted by this array of problems, Catherine sometimes seemed to shrink before the immensity of the task. The French ambassador heard her say, not with pride, but wistfully, “Mine is such a vast and limitless empire.” She began her reign with no experience in administering an empire or a large bureaucracy, but she was eager to learn and prepared to teach herself. When it was proposed that, following custom during the reigns of Elizabeth and Peter III, the burdensome task of reading all diplomatic dispatches and ministerial reports be spared the sovereign and only extracts provided, Catherine refused. She wished to know every detail of the problems Russia faced and every ingredient in the decisions she needed to make. “Full reports will be brought to me every morning,” she declared.