Monday, March 18, 2013

Cypriots begin to pay the piper. Other countries nervously hear the tune.

Cyprus works on last-minute deal to soften bank levy
In a radical departure from previous aid packages, euro zone finance ministers want Cyprus savers to forfeit a portion of their deposits in return for a 10 billion euro ($13 billion) bailout for the island, which has been financially crippled by its exposure to neighboring Greece.
The decision, announced on Saturday morning, stunned Cypriots and caused a run on cash points, most of which were depleted within hours. Electronic transfers were stopped. . .
A default in Cyprus could unravel investor confidence in the euro zone, undoing the improvements fostered by the European Central Bank's promise last year to do whatever it takes to shore up the currency bloc. . .
Making bank depositors bear some of the costs of a bailout had been taboo in Europe, but euro zone officials said it was the only way to salvage Cyprus's financial sector.
European officials said it would not set a precedent.
Riiiight.
Also: "Turmoil in Cyprus Over a Bailout Rattles Europe."
Europe’s surprising decision early Saturday to force bank depositors in Cyprus to share in the cost of the latest euro zone bailout set off increasing outrage and turmoil in Cyprus on Sunday and fueled fears that the trouble will spread to countries like Spain and Italy.

6 comments:

Anonymous said...

Coming to country near you. America, are you ready?

JudgementComes said...

I am assuming that Cyprus has no Second Amendment type rights , so the powers that be have no fear of retribution...?

Anonymous said...

Saw the story yesterday. Unbelievable. The Central Bank Oligarchy has a bottomless pit of tricks they think they can pull out of the hat, and no one will pay attention. But this one is the Mother of Bullshit. I'd submit, if this crap starts to spread, we're gonna see a US bank-run that'll make the Wallstreet debacle in 29' look like a $5 ATM withdrawall..AND..knowing what the government will do to prevent it..well..did I mention "red flag" for civil war? Youbetcha.

Happy D said...

"I am assuming that Cyprus has no Second Amendment type rights , so the powers that be have no fear of retribution...?"

No Government recognition of RKBA but it is a lot like Crete.
Lots of guns in private hands AK series guns being most popular now, Lots of NAZI built stuff still out there. U.S. and British hardware comes in third in popularity last I knew.

Paul X said...

I don't see why this is surprising. Almost everyone has *already* given government a pass when it comes to theft (in the form of taxes and inflation). Isn't this just more of the same?

It's just the method is novel. Wouldn't even be newsworthy if they just raised taxes to get the money.

We can call this "Willie Sutton" financing. When asked why he robbed banks, Sutton replied, "That's where the money is."

Anonymous said...

I would be MORE surprised if banking executives and politicians DIDN'T get hung in the village square. That would put a quick stop to the redistribution shit. The Immutable Law of Unintended Consequences in action.

B Woodman
III-PER