The phoenix of global banksters is ready to replace the US dollar

Global money: it already exists and is preparing to enter the big political stage
Админ's picture
account_circleАдминaccess_time14 Apr 2021remove_red_eye154
print 14 4 2021
 

Almost no one doubts that the world elite seeks to weaken the nation-states as much as possible in order, in the end, to replace them with a single world state. And it (the elite) will manage it with the help of a single world government. The "brave new world" construction projects also provide for the creation of a single world currency. And the appearance of such a currency on the horizon will signal that the project of the world behind the scenes is already nearing its end.

What is the world currency? Some people mistakenly call the current US dollar the world currency. No, the US dollar is still a national currency, but it "concurrently" performs the functions of global money. This is evidenced by the indicators of the share of the US dollar in international payments and settlements, international reserves of states, operations on the FOREX currency market, etc.

To the full extent, a monetary unit issued by the central bank of a single state, even such a large one as the US, cannot become a world currency. Such a currency is more correctly called "reserve", "key", "international", etc. In addition, if we talk specifically about the US dollar, its greatness and status as the leading international currency are gradually becoming a thing of the past (although the process of "decline" of the US dollar can continue for quite a long time).

If we look for some analogues of the world currency in the modern world, then rather it is the monetary unit "euro", which is circulated in the euro zone (19 states of the European Union), and which replaced the national currencies of the member countries of the euro zone. This currency was born on January 1, 1999 in a non-cash form. And in 2002, the cash form of the euro appeared.

Such a currency should be called a supranational regional currency. The euro is now firmly entrenched in second place after the US dollar in the list of international currencies. And according to SWIFT, it is already somewhat superior to the US dollar in terms of the value of payment transactions related to foreign trade.

By the way, the first supranational regional currency should be considered the transferable ruble, which was launched in the member countries of the Council of Mutual Economic Assistance (COMECON) in 1964. It was intended for mutual settlements of the socialist countries on foreign trade and other forms of economic relations. It is noteworthy that the transferable ruble was not related to the Soviet ruble (just the same name). Also, the transferable ruble did not cancel the national currencies of the COMECON member countries.

Some experts consider the euro as a supranational regional currency as a pilot project. Which will eventually help launch the project of a truly global currency that will be supranational and cover all countries. And which will replace (immediately or gradually) many national currencies (today there are 159 national currencies in the world).

The idea of creating global money has long been in the minds of various politicians and economists. At the same time, there were even attempts to practically launch a global money project. The most famous of these attempts was made at the International Monetary and Financial Conference in Bretton Woods in 1944.

As we know, the conference discussed options for the structure of the world monetary and financial system after the end of the Second World War. Two main options were proposed – American and British.

The American project, which was presented by the head of the US delegation, Harry White, provided for the creation of a gold-dollar standard. This standard gave the status of international money to the US dollar and gold and provided for the free conversion of these two types of money at a fixed rate.

The British project was announced by the official of the English Treasury, the famous economist John Keynes. It provided for the creation of an international clearing house by the states, which would start issuing a monetary unit (Keynes called it "bancor").

In fact, it was proposed to create a global central bank that would issue a supranational global currency, which would be used primarily for servicing trade and economic transactions between states, but could gradually replace national monetary units.

As is known, in 1944, the American project won. For a quarter of a century, the gold-dollar standard functioned. The Keynes project seemed to have been completely forgotten. However, in the second half of the 1960s, the functioning of the international monetary and financial system, based on gold and the US dollar, began to fail. The question arose about the need for a radical reform of this system. And, probably, then they remembered the project of John Keynes.

In 1969, the International Monetary Fund decided to issue the so-called "special drawing rights” (SDR). Without further ado, I will say that this is the prototype of the very supranational world money that the English economist John Keynes spoke about a quarter of a century earlier. Some experts then decided that the SDR would replace the US dollar and the "yellow metal". SDR became known as "paper gold".

On January 1, 1970, the first SDR issue occurred. During the three years (1970-1972), a total of 9.3 billion SDR units were issued. This was the so-called first SDR allocation. The exchange rate of the new monetary unit: 1 SDR = 1 US dollar = 1/35 troy ounce of gold. Within the specified amount, the IMF distributed the SDR among the countries participating in the agreement in proportion to their quotas in the Fund's capital.

Accordingly, the lion's share of the SDR went to the US and other economically developed countries. Of course, the SDR was a currency of limited use. It existed only in non-cash form and could be used to provide loans in order to replenish the country's international reserve position in the IMF (and the size of this position depended on the limit of loans that the country could receive from the Fund). The SDR currency could not be used for other purposes.

During 1979-1981, the second SDR distribution took place (4 billion units per year; 12 billion units in total). SDR). At the end of 1981, the total amount of SDRs issued by the Fund was 21.4 billion units that were distributed among the Fund's 143 member countries. This amount of SDR amounted to 5.5% of all world foreign exchange reserves (without gold). At the same time, economically developed countries received more than 2/3 of the total amount of distributed SDRs, including the US – 23%, the same as 100 developing countries.

This was the time after the gold-dollar standard ended. It was replaced not by the world currency SDR (as some expected), but by the paper-dollar standard. This happened at the Jamaica Conference (January 1976), and since 1978, after the ratification of the documents of the conference, its decisions have entered into force.

Although the conference in Jamaica decided to demonetise gold, it turned out to be a very strong competitor and did not want to voluntarily leave the world of money, to give up its place to the dollar. 1979-1981 was a difficult period for the US dollar in its formation as a monopolist in the world of currency.

In the event of a slip in the reform, "paper gold" (SDR) was supposed to insure the dollar. In the early 1980s, the position of the US dollar strengthened. Gradually, they began to forget about gold, and even more so about the SDR. Only professional financiers with an international bias knew (or remembered) about the SDR.

The "paper gold" was not recalled again until almost three decades later. This happened in the midst of the global financial crisis. On August 28, 2009, the Fund carried out the third distribution of SDR in the amount of 161.2 billion units without much publicity. It was instantaneous.

In one day, the total mass of the SDR increased almost eight-fold! A little later (September 9, 2009), another fourth distribution was made, the same one-time distribution, in the amount of SDR 21.5 billion. As a result, 204.1 billion SDR units were created in less than two weeks. "Paper gold" was needed in order to prevent the financial crisis from escalating into a global currency crisis.

And again, the topic of SDR disappeared from the information space. Eleven and a half years have passed since the last (fourth) distribution. And here's the news: the IMF again remembered about "paper gold". On April 8, 2021, the next (43rd) meeting of one of the key governing bodies of the International Monetary Fund - the International Monetary and Financial Committee (IMFC) - was held.

It is a strategic planning body that prepares proposals for the IMF Board of Governors. The Committee meets twice a year and consists of 24 IMF governors. The Committee, by the way, also includes the manager from the Russian Federation (Finance Minister Anton Siluanov).

A communique was issued following the 43rd meeting of the IMFC. There are a lot of interesting things in it. But I will now turn my attention to only one subject related to the topic we are discussing. I will quote a fragment of the document:

"We call on the IMF to make a comprehensive proposal for a new $650 billion general allocation of special drawing rights (SDRs) to help meet the long-term global need for reserve replenishment, while increasing transparency and accountability in the reporting and use of SDRs."

So, we are talking about the fifth placement of the SDR, and on a scale that is not comparable to previous placements. The amount mentioned in the document is equivalent to approximately 455-460 billion SDR units at the current exchange rate. The practical implementation of this IMFC recommendation means that the total mass of SDR will increase more than three-fold compared to the current volume of "paper gold". This will be approximately 7% of the total foreign exchange reserves of the IMF member countries at the end of 2020.

In the international reserves of the Russian Federation on April 1 of this year, according to the Bank of Russia, the volume of SDR amounted to $6.9 billion (slightly more than 1.5% of all foreign exchange reserves). If there is a fifth placement of "paper gold" in the specified amount, the position of "SDR" will be about $22 billion (close to 5% in relation to the total amount of foreign exchange reserves of the Russian Federation).

Some experts were quick to explain such a decisive step on the part of the IMFC by saying that, like, the Fund needs to increase its resource base in the current unstable economic situation in the world. The most common way of such an increase is to increase the size of the Fund's capital and, accordingly, the contributions of the IMF member countries.

The last decision to increase the Fund's capital was made in 2010 as part of the 14th revision of the IMF quotas. It was decided to double the capital. The decision was long torpedoed by the main shareholder of the Fund - the US. But still, it was executed in 2016, and the Fund's capital was increased to 477 billion SDR units ($687 billion).

Since the agreement on a new increase in contributions from the key shareholders of the Fund could not be achieved, it was recalled that the Fund has its own "printing press" that can create "paper gold". And the corresponding decision was made by the Committee on April 8.

But I have another version. The Fund is preparing a "spare airfield" called “SDR”, in case the US dollar, euro, and other so-called "reserve" currencies collapse. The world's leading central banks (the US Federal Reserve, the ECB, the Bank of Japan, the Bank of England, etc.) have turned on their machines at full capacity, rapidly bringing the collapse of the respective currencies closer.

And when the crash happens, then the SDR will enter the arena as the saviour of the world, as the only global currency. It will be a truly global, supranational currency without any admixtures of a national one (like, for example, the US dollar).

P.S. If this happens, then, probably, there will no longer be an international financial organisation called the "IMF". The sign will be changed to a new one: "World Central Bank". And the obscure name of the new currency - "SDR" will be replaced by "Phoenix". Why "Phoenix"? Because the Rothschilds wanted it that way. Back in 1988, an image of the Phoenix bird appeared on the cover of the New Year's issue of the famous magazine The Economist (controlled by the Rothschilds).

The editorial predicted the emergence in the next century of a truly global currency, which will be called the "Phoenix". The bird with this name is a symbol of rebirth. For the Rothschilds, a supranational global currency is a means of reviving their former power.
 

Average: 5 (1 vote)