Well, you can say what you want, but my character's actions as elder priest of Qyrvaggism meant the destruction of thousands of monsters. You may say it was not his doing but the fact remains that without Riombaran blood and without a Riombaran to channel the Power, you would've had to face an extra 100k CS of monsters. We could not seek them out far away from Grehk as we did not have daimons to protect us under their wings, but more importantly we did not *want* daimons, or monsters for that matter, to protect us.
For that reason we did not hunt them actively but made them regret coming near us every time. You can say it's a passive approach but it was a choice, to not ally with the monsters, the daimons or the undead and I think it was the right one. The monsters indeed grew stronger because of their alliance with MR, but so did the daimons because of your alliance. We were not going to support one of the armies that laid waste to so much of the continent, in stead, we'd kill them without discrimination if they got close enough.
The thing is though, there is honour in fighting, whether you die or not. Of course there are different things to fight for. One can fight purely for survival of one's own realm or one can spit in the face of the invaders and fight them on principle, or both. I can't say what Hetland did but one thing is certain: they fought the daimons and did not surrender to them.
About attacking MR... well... things were nicely balanced I'd say. MR and the monsters vs Enweil and the daimons. If we were to attack MR the daimons would eventually break through, end that southern conflict and turn their attention to the rest of the continent. I doubt things would've been much better. We didn't attack MR but their allies suffered considerable losses at our hands. It's one of those old invasion-principles forgotten by many: kill invaders, not humans.
And finally, I can't remember which peace was signed first, I only know the monsters spawned in Enweil and then marched on Enweil's enemies.