Friday, March 22, 2013

Cyprus Is The Match – The Financial Catastrophe Fuse Is Lit


It’s a small country that doesn’t need a lot of money (from an international perspective) to bail out its banks. But Cyprus doesn’t have enough money, and it won’t receive any because it has refused a European Union demand to seize the bank deposits of Cypriot citizens.

Although the banks in Cyprus won’t open until at least Tuesday (if they ever open), it is likely that depositors will not be allowed to empty their own bank accounts – and they will surely try. Once this starts, other countries will likely follow. (A German banker has said that Italy should be next, and its depositors should give up 15% of their money.)

This may very well be the financial pandemic that Europe and the rest of the world have feared. The disease begins in a small country that most people can’t find on a map. It then spreads to other troubled nations in southern Europe. Finally, it cannot be contained on the European continent, and it spreads to the United States, eastern Europe, the Middle East, and Asia.

I hope all of you are ready for this…

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THE GREAT CYPRUS BANK ROBBERY SHOWS THAT NO BANK ACCOUNT, NO RETIREMENT FUND AND NO STOCK PORTFOLIO IS SAFE
Theeconomiccollapseblog.com
March 18, 2013

The global elite have now proven that when the chips are down they are going to go after any big pile of money that they think they can get their hands on.  That means that no bank account, no retirement fund and no stock portfolio on earth is safe.  Up until now, most people assumed that private bank accounts were untouchable and that deposit insurance actually meant something.  Now we see that there is no pile of money that is considered "off limits" by the global elite and deposit insurance means absolutely nothing.


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CYPRUS RISKS EURO EXIT AFTER EU BAILOUT ULTIMATUM
Reuters
March 21, 2013

The European Union gave Cyprus till Monday to raise the billions of euros it needs to secure an international bailout or face a collapse of its financial system that could push it out of the euro currency zone.


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BREAKING: RUSSIAN TREASURY UNABLE TO MEET ITS FINANCIAL OBLIGATIONS. ALL GOVERNMENT AGENCIES SEE ASSET FREEZE IN CYPRUS – PRIME MINISTER MEDVEDEV
Investmentwatchblog.com
March 21, 2013

Interesting interview by Medvedev today who admitted that most Russian government agencies use Cyprus for it’s financial transactions.

A few points here:

-How corrupt does a country have to be for its government agencies to use a tax haven for financial transactions?

-From latest reports, the Cypriot banks might open on March 26th at the earliest. That’s two weeks after being shut down. That’s two weeks of unmet financial obligations, ie government employee salaries, public works financing, unpaid pensions etc etc…Expect unrest on the streets of Moscow

-The EU/Germany are certainly aware that 95% of all Russian money goes through the Cypriot banks. Certainly they were well aware of the consequences this would lead to. Is this the first salvo in the new world war??


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CYPRUS RUSHES BAILOUT PLAN, BANK LINES GROW
USA Today
March 21, 2013

Cypriot politicians moved Thursday to restructure the country's most troubled bank as part of a broader bailout plan that must be in place by Monday to avoid financial ruin. Concerned customers rushed to get cash from ATMs as bank employees protested.

Cyprus has been told it must raise 5.8 billion euros ($7.5 billion) if it is to receive 10 billion euros ($12.9 billion) from its fellow eurozone countries and the International Monetary Fund. If it does not find a way by Monday, the European Central Bank said it will cut off emergency support to the banks, letting them collapse.


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MASS PANIC IN CYPRUS: THE BANKS ARE COLLAPSING AND ATMS ARE RUNNING OUT OF MONEY
Theeconomiccollapseblog.com
March 21, 2013

European officials are openly admitting that the two largest banks in Cyprus are "insolvent", and it is now being reported that Cyprus Popular Bank only has "enough liquidity to cover the next few hours".  Of course all banks in Cyprus are officially closed until Tuesday at the earliest, but there have been long lines at ATMs all over Cyprus as people scramble to get whatever money they can out of the banks.


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Posted by:
Charles M. Grist

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