In Vanilla, my Imperial army landed near Alexandria, and was about to march to Cairo, then suddenly two full stack Egyptian armies, one led by a 8 star general and another by 5 star, appeared very close to my army. (It looked like they were coming to attack me, but as soon as they reached me they ran out of movement points)
Obviously, I wished to protect my army and so they were forced to run off into open desert with no roads built. I could see that those full-stack armies followed me, ending close to me every turn.
Then after a turn I noticed that my troop numbers has decreased. 7-8 men per unit. Next turn it decreased again, and went on until my army somehow reached the coast and hired a ship (my old ships which brought the army to Egypt had been destroyed by Venetians). The army had to come home to retrain.
So, what does this conclude? This means that attrition IS in the game, just as a minor hidden mechanic.
First I thought that this was just some other factor, but then I tried two other campaigns:
In my Crusades campaign, my huge army of Jerusalem was left standing desert South-East to Kerak. They also reduced 5-10 men each turn. Another huge full-stack army marched to Baghdad, but by the time it reached only 965 out about 5000 men were left.
Second, when my French army came near Mosul for Crusades, it started losing 5-6 men per turn. Even after capturing Mosul, armies lost men when they stayed too far from the settlement. Same was for Baghdad.
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I found that when you upgrade the farms in the region, the land starts to become greener and death rate of armies slows, and finally stops!
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