If it has not already, then the world should be taking note of the curious and disturbing situation that is developing in Cyprus. The latest is that some resolution has come to pass in which Cyprus can remain in the Eurozone and deposits over 100,000 euros, not guaranteed by EU governments, will be expropriated to help resolve the debt issue. Most of those who will be affected by this appear to be Russians who have deposited billions in Cyprus.
But it does appear that we have what amounts to a never-ending Eurozone crisis where the savings of ordinary Cypriots (small account holders with less than 100,000 euros in their bank) were almost hijacked to pay-off loans just as so much of Europe is running on empty: This seems to be a settled trend these days.
Last minute backroom deals that seem to have avoided a disaster for Cyprus only heightens the reality that the welfare and sovereignty of peoples and individuals are inconsequential compared to the primacy of, and subservience to, Capital and its acolytes (holding public office and positions of influence everywhere).
Even though much of past bailouts the world over ill-advisedly sanctioned by governments for many failed financial organizations under the guise of keeping the economy afloat has resulted in public outcry: The bottom-line has always been using public funds and tax-payers’ money to support useless financial groups (who are not only incompetent but manifestly rotten to the core).
While the Germans are trying to sit pretty and make everyone cough-up (they do not see why they should bear the brunt of an increasingly unstable Eurozone situation), to some Cypriots it may be perceived that there is something preferential in the treatment of Italy or Spain when they were put against the wall facing a financial firing squad and perhaps offered a Cuban cigar for a last smoke (but given a reprieve at the last moment).
However, the unfortunate Cypriots seemed to have only had the option of preparing for a dishonourable shaft: And at the most some cheap tobacco to be chewed and spat out before the execution orders rang out. In other words, tough luck to them if their savings were siphoned away to fill in the maws of debt – a gaping hole that can never be stopped-up, much less, satisfied.
News reports indicate that Cyprus has only been functioning at subsistence level solvency largely due to its umbilical cord to the European Central Bank (ECB). But for how long can this situation continue? While it seems Cyprus may now manage to produce about 6 billion euros to qualify for the impending support of a 10 billion euro bailout from its other two lenders, that is, the European Commission (EC) and IMF: How safe is it from further problems of such a nature arising again? If this recurs, will they (the ECB, EC and IMF) then finally have to rob the bank accounts of the majority of ordinary people?
For those still wondering why is the banking crisis such a big deal for Cyprus, it should be borne in mind that the size of its banking sector is reportedly five times that of its economy. Already rumours of recession are rife. However, the attempt to implement banking levies on the savings of those who have less than 100,000 euros, reveals the willingness of the Eurozone to violate the implicit integrity of the system in which accounts of less than that amount are supposedly government insured.
But let us be honest — even with the current short term measures enacted to stave-off the fallout from the toxic financial-banking-economic situation the world (and most dramatically Cyprus) is reeling from: It is only a matter of time that a similar crisis will erupt in one way or another (if not in Cyprus again) then in the Eurozone, or elsewhere.
Which brings us to why the fuss with all this debt? Why not cancel this onerous debt? This is the way to resolve the Gordian Knot: Cut off all debts of not only the Eurozone states but particularly that of poorer ones worldwide. This would include the debilitating and nefarious debt that states are shackled to through the inauspicious offices of the IMF and World Bank: Both active players in aid of the international banking cartel to help keep the world in bondage.
Who gains by cancelling off these debts? All of us. Who will come across as the losers? Those who created this debt-based scenario in the first place: The banking cartel and their minions. Why must we continue to support and subsidize these crooks? This is at the heart of the issue. The media and other gutless and corrupt types continue to not pursue this investigation to its end: What is the link of international debt to banking cartels, the truth must come out. Full transparency is needed.
It is time for whoever is left with integrity in government and security apparatuses the world over to ensure that all assets of banking cartels are frozen. They should be done through creating a legal basis internationally and there are bound to be honest forces left even in banking who can facilitate this and simply remove the ownership of the banks from that small group of people behind them. The funds will be kept in escrow until such time all debts are cancelled, and accounts made transparent and accountable. And where necessary, funds returned to those from whom they had been inveigled through banking chicanery.
It can be done; and it is proposed here — that it will have to be done in some manner or the other: To maintain global stability and sanity. Why is this small group allowed to continue holding the world hostage? If good men and women refuse (and continue to live in fear) from taking the measures necessary to takeover the banking cartels, then the result will be at some stage — turmoil in the streets. In this situation, there will hardly be any winners. And if/when the situation is finally settled, those who did not act when they had the chance to do so, will also be held accountable.
If there is resistance from the owners of the banking cartels in cancelling worldwide debt, they should be arrested for crimes against humanity. What is the point of having an International Court of Justice if this cannot be done. If necessary, let there be another version of the Nuremberg trials.
The days of tribunals are about to begin, we should make no mistake about it. It is only a matter of whether they are conducted with civility and without a desire for revenge. Making the Cypriots and possibly other states the sacrificial goats in this unsustainable farce of outright corruption and deception is not going to cut those pulling the strings behind the scene much slack when the entire system comes to a halt.
By even considering to steal and funnel away the savings of ordinary people — and if they were ever to do so — do these manipulators of the world and governments actually think the majority of folks will ultimately merely sit by, build a campfire and sing songs and simply live-off air? Those who think so have another thing coming to them. And well earned too.
[Note: For an interview with Henry A. Giroux on the violence of neoliberalism, please see: Link]
Philosophers for Change