China and Brazil agreed to trade in each other’s currencies just hours ahead of the BRICS summit in South Africa.
The deal, which extends over a three-year period and amounts to an exchange of about $30 billion in trade per year, marks the latest effort among two of the world’s largest emerging economies to shift the dynamics of international trade that have long favored the U.S. dollar. Continue reading
The leaders of the so-called BRICS nations — Brazil, Russia, India, China and South Africa — are set to approve the establishment of a new development bank during an annual summit that starts today in the eastern South African city of Durban, officials from all five nations say. They will also discuss pooling foreign-currency reserves to ward off balance of payments or currency crises. Continue reading
The veterans of Russia’s KGB/FSB were chuckling to themselves, no doubt, as Russian President Vladimir Putin (right) announced his pleasure at Russia’s assumption of the presidency of the Group of Twenty (G20)* nations for 2013. Putin’s “strategic agenda proposed by Russia for the G20 in 2013” is loaded with favorable references to the FSB. The FSB acronym in Putin’s “strategic agenda” is not a reference to the dreaded Russian secret police (successor to the Soviet KGB and its earlier incarnations as the NKVD and the Cheka), however; it is a reference to the Financial Stability Board, a new institution created by the G20 leaders in 2009, ostensibly to deal with the economic crisis.
Nevertheless, the “coincidence” of choosing a name for this new, secretive global financial police with the same acronym as the Putin’s feared agency is oddly apropos. The G20’s FSB is a shadowy financial power that is headquartered inside another even more secretive, shadowy global financial powerbase, the Bank for International Settlements (BIS) in Basel, Switzerland.Despite repeated appeals to accountability and transparency in the FSB Charter, the FSB — like the BIS and the Central Banks whose heads compose the Plenary that governs the FSB — operates in murky opaqueness, outside the controls of the U.S. Congress, national parliaments, or any constitutional constraints. Continue reading
ALBA professes commitment to regional economic integration. It promises easy money to beleaguered nations, and is viewed as an easy alternative to the bureaucracy encumbering the World Bank.
A closer look, however, reveals it to be a bloc devoted above all to anti-Americanism, and comprised of members who have rigged elections to avoid losing power.
Moreover, membership in alba brings countries into common cause with the world’s most destabilizing nations and most malicious terrorist groups. The organization has forged ties with Middle Eastern terrorists that could pose a serious threat not only to Latin American countries, but also to the U.S. and Canada.
The man most responsible for alba’s spread is Hugo Chávez. His checkbook has wide ideological and cultural appeal in Latin America and the Caribbean. Chávez gave nearly $200 million to Manuel Zelaya’s government in Honduras to help his illegal attempt at re-election. Every year, he gives Nicaraguan President Daniel Ortega around $500 million in “free” money to prop up his dictatorship.
Under alba’s umbrella, leading politicians have become the Caribbean’s and Latin America’s new breeders of crime. And since politicians at the highest levels are in on the action, reporting on alba-Hezbollah ties is rare. But some reports fight their way through the conspiratorial haze.
In August of 2008, for example, the Los Angeles Times reported that an unnamed Western official had said Venezuela was providing Iran-backed Hezbollah with a base of operations. The official warned that Hezbollah is able to move “people and things” into Latin America thanks to the warm Iran-Venezuela relationship. He said this link “preserves the capability of Hezbollah and the [Islamic] Revolutionary Guard [Corps] to mount attacks inside Latin America,” and added “It’s becoming a strategic partnership.”
“There is a Chávez terror network on America’s doorstep,” says Rebecca Theodore, senior editor of Caribbean News Now.
Theodore said the danger of terrorists entering the U.S. via Latin America and the Caribbean is imminent. “It won’t be long before Iranian terrorists with Venezuelan and Dominican passports stand in line and show their documents to U.S. border agents as well,” she said.
The thickening alliance between anti-U.S. alba nations and West-hating terrorist groups like Hezbollah casts dark shadows across both Americas. It reveals that the Middle Eastern extremists who oppose the U.S. are becoming better connected, more powerful, and closer to America’s borders. It also reveals that U.S. influence is rapidly waning in a region it relies on heavily for industrial cooperation.
Full article: The Unholy Union of ALBA and Hezbollah (The Trumpet)
The world is beginning to undermine and move forward without the Dollar. The US is clearly (and quite literally) on borrowed time.
In contemporary world the real indicator of state power is economy rather than territory, population or army, days of physical warfare are long gone, now is the era of economic warfare. Economy determines the destiny and position of states in international politics. The phenomenon of interdependence in international economy has modified the concept of sovereignty, Terms such as sovereignty are irrelevant to countries with weak economies, and sovereignty cannot be protected unless a country is self-sufficient with no dependency on any other country. One can see that leading countries in contemporary world having a strong position in world affairs are countries with huge economies at their back. Economically powerful countries Such as the United states use organizations like World bank and International Monitory Fund (Which are described by many economists as modern tools of colonization) to further their agenda and influence the policies of strategically important but economically weak countries, there is a very well known phrase in economics that aid of any kind is never without strings attached to it. One of the preeminent things that have happened at December 26, 2011 was the Sino Japan currency deal. Sino Japan deal is the beginning of direct trading in their currencies. Currently yen Yuan are not convertible and for trade between two countries need to buy Dollars that adding up extra expenses. China is the biggest trading partner of Japan, according to static’s of Japan external trade organization; trade volume between two countries was $339bn in 2010, which is expected to grow rapidly after Yen Yuan deal.
Through this deal it is first time that Chinese Government allowed any state to issue Bond in Yuan. Japan bank of international cooperation will issue Bond in Chinese market. Japan Government was interested to buy Chinese Government bond and through this deal a new door of mutual cooperation is open which is beneficial for both states. Japan Government stance to adopt China bond as foreign exchange reserve will assist Yuan’s future role as international currency. Sino Japan deal will be beneficial to get investor’s confidence to invest in China bond that give a credible boom to Yuan in eastern markets. China and Japan has long history of rivalry but they come to an agreement, which is beneficial for both states that will give confidence to foreign investor. Japan is the world’s third and china is second largest economy and the deal clearly depicts that rule of Dollar as global currency is going to end.
Full article: Yen-Yuan trade plan (Pakistan Observer)