Schlagwort-Archive: #IMF

Zuspitzung der GR-Krise auf einen Blick — griechenlandsolidarität

Zuspitzung der Griechenland-Krise auf einen Blick – Grafik zu Griechenland zwischen Trump und Schäuble (von Hellas-Solidarität Bochum). Bitte anklicken und evtl. mit den Tasten “Strg” und “+” vergrößern. Mit “Strg” und “-” wird das Bild verkleinert.

über Grafik: Zuspitzung der GR-Krise auf einen Blick — griechenlandsolidarität

The IMF Changes its Rules to Isolate China and Russia

The IMF Changes its Rules to Isolate China and Russia

The nightmare scenario of U.S. geopolitical strategists seems to be coming true: foreign economic independence from U.S. control. Instead of privatizing and neoliberalizing the world under U.S.-cen…

Quelle: The IMF Changes its Rules to Isolate China and Russia

Michael HUDSON: The IMF Joins the New Cold War; COUNTERPUNCH, Dec 9, 2015

globalcrisis/globalchange NEWS
Martin Zeis, 10.12.2015

On Tuesday „the IMF joined the New Cold War. It has been lending money to Ukraine despite the Fund’s rules blocking it from lending to countries with no visible chance of paying (the “No More Argentinas” rule from 2001).“
Hudson explains the message of this IMF/US-Empire-blow: “We only enforce debts owed in US dollars to US allies.” and his geopolitical scope: „…what was simmering as a Cold War against Russia has now turned into a full-blown division of the world into the Dollar Bloc (with its satellite Euro and other pro-U.S. currencies) and the BRICS or other countries not in the U.S. financial and military orbit.“ (further see attachment)

DECEMBER 9, 2015
The IMF Joins the New Cold War
by MICHAEL HUDSON
… But on Tuesday, the IMF joined the New Cold War. It has been lending money to Ukraine despite the Fund’s rules blocking it from lending to countries with no visible chance of paying (the “No More Argentinas” rule from 2001). With IMF head Christine Lagarde made the last IMF loan to Ukraine in the spring, she expressed the hope that there would be peace. But President Porochenko immediately announced that he would use the proceeds to step up his nation’s civil war with the Russian-speaking population in the East – the Donbass.
That is the region where most IMF exports have been made – mainly to Russia. This market is now lost for the foreseeable future. It may be a long break, because the country is run by the U.S.-backed junta put in place after the right-wing coup of winter 2014. Ukraine has refused to pay not only private-sector bondholders, but the Russian Government as well.
This should have blocked Ukraine from receiving further IMF aid. Refusal to pay for Ukrainian military belligerence in its New Cold War against  Russia would have been a major step forcing peace, and also forcing a clean-up of the country’s endemic corruption.
Instead, the IMF is backing Ukrainian policy, its kleptocracy and its Right Sector leading the attacks that recently cut off Crimea’s electricity. The only condition on which the IMF insists is continued austerity. Ukraine’s currency, the hryvnia, has fallen by a third this years, pensions have been slashed (largely as a result of being inflated away), while corruption continues unabated.
Despite this the IMF announced its intention to extend new loans to finance Ukraine’s dependency and payoffs to the oligarchs who are in control of its parliament and justice departments to block any real cleanup of corruption.
For over half a year there was a semi-public discussion with U.S. Treasury advisors and Cold Warriors about how to stiff Russia on the $3 billion owed by Ukraine to Russia’s Sovereign Wealth Fund. There was some talk of declaring this an “odious debt,” but it was decided that this ploy might backfire against U.S. supported dictatorships.
In the end, the IMF simply lent Ukraine the money.
By doing so, it announced its new policy: the IMF joined the New Cold War. It has been lending money to Ukraine despite the Fund’s rules blocking it from lending to countries with no visible chance of paying (the “No More Argentinas” rule from 2001). This means that what was simmering as a Cold War against Russia has now turned into a full-blown division of the world into the Dollar Bloc (with its satellite Euro and other pro-U.S. currencies) and the BRICS or other countries not in the U.S. financial and military orbit.
What should Russia do? For that matter, what should China and other BRICS countries do? The IMF and U.S. neocons have sent the world a message: you don’t have to honor debts to countries outside of the dollar area and its satellites.
Why then should these non-dollarized countries remain in the IMF – or the World Bank, for that matter? The IMF move effectively splits the global system in half, between the BRICS and the US-European neoliberalized financial system.
Should Russia withdraw from the IMF? Should other countries?
The mirror-image response would be for the new Asian Development Bank to announce  that countries that joined the ruble-yuan area did not have to pay US dollar or euro-denominated debts. That is implicitly where the IMF’s break is leading.  —  emphasis, m.z.  –
More Articles by Michael HUDSON on CounterPunch  –  Jun – Dec 2015
October 5, 2015
September 29, 2015
September 28, 2015
August 31, 2015
July 8, 2015
July 6, 2015
July 1, 2015
June 29, 2015
June 26, 2015

 

HUDSON-IMF-joins-New-Cold-War151208.pdf

The IMF Experts Flunk, Again – Zero Hedge 07.31.2015

The IMF Experts Flunk, Again.

Submitted by Steve Hanke via The Cato Institute

„Why all the fuss over a currency board for Indonesia? Politics. The U.S. and its allies wanted a regime change in Jakarta, not currency stability. Former U.S. Secretary of State Lawrence Eagleberger weighed in with a correct diagnosis: “We were fairly clever in that we supported the IMF as it overthrew [Suharto]. Whether that was a wise way to proceed is another question. I’m not saying Mr. Suharto should have stayed, but I kind of wish he had left on terms other than because the IMF pushed him out.” Even Michel Camdessus could not find fault with these assessments. On the occasion of his retirement, he proudly proclaimed: “We created the conditions that obliged President Suharto to leave his job.”

As the Indonesian episode should teach us, the IMF’s management can be very political and often neither trustworthy nor competent. Greece offers yet another chapter.

In „Secret“ Report Lagarde Says Greece Will Need Massive Debt Relief; Reuters 14.07.2015

zerohedge, 14.07.2015 — http://www.zerohedge.com/news/2015-07-14/imf-declares-war-germany-secret-report-lagarde-says-greece-will-need-massive-debt-re

IMF Declares War On Germany: In „Secret“ Report Lagarde Says Greece Will Need Massive Debt Relief

Update: Europe now looks to be in damage control mode. Here’s Reuters:

EU SOURCE SAYS EURO ZONE LEADERS KNEW OF LATEST IMF DEBT ANALYSIS FOR GREECE BEOFRE AGREEING ON THIRD BAILOUT TERMS

A divide between the IMF and Europe (read: Germany), regarding writedowns on Greece’s debt to the EU has been brewing for quite some time and recently returned to the international spotlight when, a few months back, the Fund indicated debt relief was a precondition for its participation in any further aid for Athens.

More recently, the IMF released a report on Greece’s debt sustainability just prior to the referendum. The timing appeared to be strategic and may have helped secure the „no“ vote for Tsipras.

Unfortunately, the IMF didn’t appear to anticipate the PM’s complete capitulation and now, the subject of debt relief has again been put off, this time until Greece officially passes the new „deal“ through parliament and legislates its terms.

Today, another „secret“ IMF document on the sustainability of Greece’s debt burden has surfaced and not surprisingly, the Fund is once again pounding the table on a haircut. One is certainly left to wonder if the US (and its veto power) are pulling the strings behind the scenes and orchestrating „leaks“ at opportune times. Here’s more from Reuters:

Greece will need debt relief far beyond what euro zone partners have been prepared to consider due to the devastation of its economy and banks in the last two weeks, a confidential study by the International Monetary Fund seen by Reuters shows.

The updated debt sustainability analysis was sent to euro zone governments late on Monday, hours after Athens and its 18 partners agreed in principle to open negotiations on a third bailout programme of up to 86 billion euros in return for tougher austerity measures and structural reforms.

„The dramatic deterioration in debt sustainability points to the need for debt relief on a scale that would need to go well beyond what has been under consideration to date – and what has been proposed by the ESM,“ the IMF said, referring to the European Stability Mechanism bailout fund.

European countries would have to give Greece a 30-year grace period on servicing all its European debt, including new loans, and a very dramatic maturity extension, or else make explicit annual fiscal transfers to the Greek budget or accept „deep upfront haircuts“ on their loans to Athens, the report said.
Source: http://www.reuters.com/article/2015/07/14/us-eurozone-greece-imf-report-idUSKCN0PO1CB20150714?feedType=RSS&feedName=businessNews

In other words, the IMF is now openly at war with Germany (and its sound money compatriots like Finland) over debt forgiveness, which futher underscores the split in Europe between the German bloc and the those who favored leniency for Greece, and, by extension, a relaxation of the doctrine of strict fiscal discipline that has dominated EU politics (in word if certainly not in deed in the periphery) since the onset of the European debt crisis.

Of course any debt haircut for Greece will only serve to embolden other periphery debtor states, especially those where Syriza sympathizers enjoy growing support ahead of elections. In short, if parties like Podemos in Spain perceive that Germany has blinked on debt relief they too will push for writedowns, something we outlined in detail after the last IMF „leak“ in „Did IMF Just Open Pandora’s Box.“
(see: http://www.zerohedge.com/news/2015-07-02/did-imf-just-open-pandoras-box )

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Martin Zeis
globalcrisis/globalchange NEWS
martin.zeis

A Refresher from Macropolis: 11,7 % from 226,7 Billion) (=Mrd.) Euro-Debt was for GR-Government needs

http://www.macropolis.gr/?i=portal.en.the-agora.2080 / via zerohedge.com
Where did all the money go?
Jan 5, 2015
By: Yiannis Mouzakis

… So for those who don’t recall, here is a refresher from Macropolis, which a few months ago showed that of the €226.7 billion euros disbursed to Greece since the first Greek bailout, an equivalent to almost 125% of Greece 2014 GDP, „the combined allocation to the Greek state’s operating needs was just 11 percent of the total funding, at circa 27 billion euros.

Greek%20bailout%20uses%202_0.jpg

That’s right: hundreds of billions „spent“ to rescue Greece… with the vast amount of proceeds used to promptly repay the very sources of these funds: the IMF and the ECB.

So will this time be any different, and will the Greeks receive anything extra? Alas no, because here are the near-term Greek debt interest and maturity payments…

Greece%20near%20term%20amortization_1_0.jpg

Greece%20near%20term%20interest_1_0.jpg

… and the longer term.

Greek%20payments.jpg

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Martin Zeis
globalcrisis/globalchange NEWS
martin.zeis

IMF Humiliates Greece, Repeats It Will Keep Funding Ukraine Even If It Defaults

zerohedge, June 19, 2015 — www.zerohedge.com/news/2015-06-19/imf-humiliates-greece-repeats-it-will-keep-funding-ukraine-even-case-default
(in German from DWN after the english text )
IMF Humiliates Greece, Repeats It Will Keep Funding Ukraine Even If It Defaults
One week ago, we were stunned to learn just how low the political organization that is the mostly US-taxpayer funded IMF has stooped when, a day after its negotiators demonstratively stormed out of the Greek negotiations with „creditors“,  Hermes‘ ambassador-at-large Christine Lagarde said that the IMF „could lend to Ukraine even if Ukraine determines it cannot service its debt.“
In other words, as Greece struggles to avoid a default to the IMF on debt which was incurred just so German banks can remain solvent and dump trillions in non-performing loans to US hedge funds and Greek exposure, and which would result in the collapse in the living standards of an entire nation (only for a few years before an Iceland-recovery takes place, one which Greece would already be enjoying had it defaulted in 2010 as we said it should), and as the „criminal“ IMF does everything in its power to subjugate an entire nation, or else let it founder, the IMF told Soros‘ BFFs over in Kiev, that no matter if they default to its private creditors (in fact please do since Russia is among them), the IMF would keep the debt spigot flowing.
Courtesy of the US taxpayer of course.
Fast forward one week when, with Greece one step closer to a full-blown financial collapse, the IMF comes out and tell Ukraine – which already passed a law allowing it to impose a debt moratorium at any moment – not to worry, that even in a default it will keep providing unlimited funds. From Reuters:
Ukraine’s efforts to strike a debt restructuring deal with its creditors will allow the International Monetary Fund to continue to support the country even if the talks are not successful, the head of the IMF said on Friday.
„I … welcome the government’s continued efforts to reach a collaborative agreement with all creditors,“ IMF Managing Director Christine Lagarde said in a statement. „This is important since this means that the Fund will be able to continue to support Ukraine through its Lending-into-Arrears Policy even in the event that a negotiated agreement with creditors in line with the program cannot be reached in a timely manner.
We will pass comment on this latest grand IMF hypocrisy and ask if Greece would rather be in Kiev’s place which at the behest of „Western“ leaders, it sold, liquidated, and otherwise „lost“ all of its gold. Or, like Ukraine, Athens is willing to part with its $4 billion in gold just to appease the Troika as it sells all of its 112.5 tons of official gold to unknown buyers. A transaction which would buy Greece about 3-6 months of can kicking and a few stray smiles from Chrstine Lagarde.
Martin Zeis
globalcrisis/globalchange NEWS
martin.zeis@gmxpro.net
 Meldung auf Deutsch von DWN 20.06.2015:

 IWF demütigt EU: Ukraine ist kreditwürdiger als Griechenland

Der IWF wird weiter internationale Steuergelder in die Ukraine pumpen – auch wenn das Land pleitegeht. Diese Aussage ist eine Ohrfeige für die Euro-Retter, denn der IWF blockiert weitere Kredite für Griechenland genau mit der Begründung, dass das Land auf einen Bankrott zusteuere. (…)
http://deutsche-wirtschafts-nachrichten.de/2015/06/20/iwf-demuetigt-eu-ukraine-ist-kreditwuerdiger-als-griechenland/

IMF Director Admits: Greek Bailout Was „To Save German & French Banks“

zerohedge, March 05, 2015 — www.zerohedge.com/news/2015-03-04/imf-director-admits-greek-bailout-was-save-german-french-banks

IMF Director Admits: Greek Bailout Was „To Save German & French Banks“

For the first time in public, though practically the entire world assumed it, an official from The IMF has admitted that the various Greek bailouts were not for The Greeks at all …

„They gave money to save German and French banks, not Greece,” Paolo Batista, one of the Executive Directors of International Monetary Fund told Greek private Alpha TV on Tuesday. As KeepTalkingGreece reports, Batista then went on to strongly criticized not only the euro zone and the European Central Bank but also the IMF and the Fund’s managing Director Christine Lagarde for defending Europe much too much…

Oops! „The Greek issues were not the best handled by The IMF… They put too much of a burden on Greece and not enough of a burden on Greece’s creditors“

Video: Newsbeast.gr – Συνέντευξη του Νογκέιρα Μπατίστα, 03.03.2015 – URL:

Batista then urged Greece to directly negotiate with the IMF and favored the restructuring of the Greek debt that is been hold by the European partners.

Source: Keep Talking Greece – URL: http://www.keeptalkinggreece.com/2015/03/04/imfs-director-batista-greek-bailout-was-to-save-german-french-banks-video

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Martin Zeis
globalcrisis/globalchange NEWS
martin.zeis@gmxpro.net

De-Dollarization: Russia Ratifies $100 Billion BRICS Bank

zerohedge, Feb 22, 2015 — www.zerohedge.com/news/2015-02-21/de-dollarization-russia-ratifies-100-billion-brics-bank

De-Dollarization: Russia Ratifies $100 Billion BRICS Bank

A BRICS Bank – as an IMF alternative and to enable nations to become less dependent on the global reserve currency – was originally discussed at The BRICS Summit in 2012. Then at the 2014 BRICS Summit, the framework for The BRICS Bank was approved as „a system of measures that would help prevent the harassment of countries that do not agree with some foreign policy decisions made by the United States and their allies.“ Headquartered in Shanghai and chaired by Russia, this week saw what appears to be the final step in the creation of BRICS New Deverlopment Bank as RT reports, The Russian State Duma has ratified the $100 billion BRICS bank that’ll serve as a pool of money for infrastructure projects in Russia, Brazil, India, China and South Africa. It is expected to start fully functioning by the end of 2015. Isolated?

zerohedge, Feb 22, 2015 — www.zerohedge.com/news/2015-02-21/de-dollarization-russia-ratifies-100-billion-brics-bank

De-Dollarization: Russia Ratifies $100 Billion BRICS Bank

A BRICS Bank – as an IMF alternative and to enable nations to become less dependent on the global reserve currency – was originally discussed at The BRICS Summit in 2012. Then at the 2014 BRICS Summit, the framework for The BRICS Bank was approved as „a system of measures that would help prevent the harassment of countries that do not agree with some foreign policy decisions made by the United States and their allies.“ Headquartered in Shanghai and chaired by Russia, this week saw what appears to be the final step in the creation of BRICS New Deverlopment Bank as RT reports, The Russian State Duma has ratified the $100 billion BRICS bank that’ll serve as a pool of money for infrastructure projects in Russia, Brazil, India, China and South Africa. It is expected to start fully functioning by the end of 2015. Isolated?

As RT reports,

The Russian State Duma has ratified the $100 billion BRICS bank that’ll serve as a pool of money for infrastructure projects in Russia, Brazil, India, China and South Africa, and challenge the dominance of the Western-led World Bank and the IMF.

The New Development Bank is expected to start fully functioning by the end of 2015, according to the Russian Finance Ministry.

Russia has agreed to provide $2 billion dollars from the federal budget for the bank over the next seven years.

It will have three-tiers of corporate governance, with a Board of Governors, Board of Directors and a President.

The bank’s board of directors will hold its first meeting in Ufa in Russia in April. Russian Finance Minister Anton Siluanov is likely to become the bank’s first Chairman of the Board of Governors,according to Deputy Finance Minister Sergei Storchak talking on the Russia 24 TV channel.

The decision to establish the BRICS bank, along with a $100 billion reserve currency pool, was made in July 2014. Each of the five member countries is expected to allocate an equal share of the $50 billion startup capital that will be expanded to $100 billion.

The bank will be headquartered in Shanghai, India will serve as the first five-year rotating president, and the first Chairman of the Board of Directors will come from Brazil.

Simply put, as Sovereign Man’s Simon Black warns, „when you see this happen, you’ll know it’s game over for the dollar…. I give it 2-3 years.“

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Martin Zeis

globalcrisis/globalchange NEWS

martin.zeis@gmxpro.net