The Massive Theft Called a Central Bank
Submitted by Bob-45 on Sat, 02/11/2012 - 06:24February 9, 2012 by Bojidar Marinov
mario-draghiMario Draghi, President of the European Central Bank, had a press conference today. It was an important press conference given the fact that the ECB continues its policy of gradual bail-out of the Greek government without any corresponding measures of austerity and spending cuts from the Greek side. Last week the ECB bought 40 billion euro worth of Greek government bonds at a total face value of 53 billion euro.
The Greeks immediately tried to bargain, asking the ECB to forgo the profits on the bonds (that is, not expect to be paid the face value at maturity). Draghi refused, using the argument that that “would amount to the monetary financing of governments, which is forbidden.” The Greek government will have to pay to the last penny.
This is why in Europe, Draghi is considered a “strong” president of the ECB. Because he insists on the ECB making a profit on lending money to governments. And some even claim that he is on his way to solve the debt crisis of Europe.
Read more: The Massive Theft Called a Central Bank http://godfatherpolitics.com/3615/the-massive-theft-called-a...
