“We have agreed to support a general SDR allocation which will inject $250bn (£170bn) into the world economy and increase global liquidity,” it said. SDRs are Special Drawing Rights, a synthetic paper currency issued by the International Monetary Fund that has lain dormant for half a century. In effect, the G20 leaders have activated the IMF’s power to create money and begin global “quantitative easing”. In doing so, they are putting a de facto world currency into play. It is outside the control of any sovereign body. Conspiracy theorists will love it. It has been a good summit for the IMF. Its fighting fund for crises is to be tripled overnight to $750bn. This is real money.
Dominique Strauss-Kahn, the managing director, said in February that the world was “already in Depression” and risked a slide into social disorder and military conflict unless political leaders resorted to massive stimulus.
The Russians had hoped their idea to develop SDRs as a full reserve currency to challenge the dollar would make its way on to the agenda, but at least they got a foot in the door. There is now a world currency in waiting. In time, SDRs are likely evolve into a parking place for the foreign holdings of central banks, led by the People’s Bank of China. Beijing’s moves this week to offer $95bn in yuan currency swaps to developing economies show how fast China aims to break dollar dependence.
Need more evidence…….
(Telegraph.co.uk) US Treasury Secretary Tim Geithner shocked global markets by revealing that Washington is “quite open” to Chinese proposals for the gradual development of a global reserve currency run by the International Monetary Fund.
The dollar plunged instantly against the euro, yen, and sterling as the comments flashed across trading screens. David Bloom, currency chief at HSBC, said the apparent policy shift amounts to an earthquake in geo-finance. “The mere fact that the US Treasury Secretary is even entertaining thoughts that the dollar may cease being the anchor of the global monetary system has caused consternation,” he said.
Only hours earlier, President Barack Obama had told a news conference that there was no threat to the reserve status of the dollar. Later, Geithner qualified his remarks, insisting that the dollar would remain the “world’s dominant reserve currency … for a long period of time” but the damage was already done. The markets appear confused by the conflicting statements coming from the Administration.
So what does this mean to America? It means for the first time in a 100 years the rest of the world is trying to regain control of the world economy and put the U.S. in its’ place. These moves are designed to strengthen the World Bank and the International Monetary Fund. This will lay the ground work for global financial regulation and a new world currency. The creation of a Financial Stability Board looks like the first step towards a global financial regulator. This is a serious threat to the U.S. economy and the dollar.
Once again the Administration is on the wrong side of this issue. The President supported the creation of the Financial Stability Board which in the future could/will technically be able to impose global regulations that the SEC would be obliged to follow. Welcome to the New World Order, goodbye sovereignty! The U.S. government elected by its‘ citizens, our regulators and our courts should be the only bodies that are allowed to interfere with, oops I mean, regulate U.S. businesses. Friends, we are embarking on a journey down a very slippery slope. At the bottom of this slope is a place where America as we knew it is GONE.
The dangers of a world central bank are glaringly frightening. The European Central Bank has struggled with managing policy for 16 countries in a region with a common history, and EU institutions (Commission, Court of Justice, competition police, etc). The potential politics of global monetary management would be disastrous.
The heads of the Fed, the ECB, and the Bank of England, must all testify before parliaments and answer to democratic government. In the absence of a world parliament or some type of world government, who would control a super-IMF? Are you starting to see the bigger picture more clearly?
On April 15th all across America there will be Tea Parties and Tax Rallies. The themes of these events are centered on taxes, redistribution of wealth, economic policy, individual rights and Liberty. Currently there are over 500 such events planned. These are grass root organizations made up of concerned citizens who have transcended partisan politics in order to make their voices heard. Their common goal is take back our country and the ideals that made it the strongest, freest nation on earth. We may not be perfect, as the Administration, is so quick to point out but overall the world has been a better place as the result of a strong and free U.S.A.!
George Washington warned of the dangers our country would face over 200 years ago if we lost sight of guiding principles that were used to form this great Union:
“’Tis folly in one Nation to look for disinterested favors from another; that it must pay with a portion of its Independence for whatever it may accept under that character; that by such acceptance, it may place itself in the condition of having given equivalents for nominal favors and yet of being reproached with ingratitude for not giving more. There can be no greater error than to expect, or calculate upon real favors from Nation to Nation. ‘Tis an illusion which experience must cure, which a just pride ought to discard.
…….. ‘Tis our true policy to steer clear of permanent Alliances, with any portion of the foreign world.
If the idea of being part of some global nation engineered by politicians, dictators, kings, sheiks and communist party chiefs scares the hell out of you, then join us and make your voice part of the ground swell to Take our Country Back!