George Osbourne has pledged ?10billion of UK money to the IMF international emergency fund, adding ?10billion to the UK National Debt - this money could have been used to support UK government spending within the UK and will mean extra taxation for UK taxapayers to pay the extra interest on this debt.
The IMF boss Christine Lagarde has been begging around the world for hundreds of billions to fill up an emergency fund which is designed to bail out countries that are at risk of economic collapse. Undoubtedly, the size of this requirement is being driven by the crisis in Eurozone countries, with Spain and Italy now on the verge and Greece, Ireland and Portugal having already been massively bailed-out. Many wealthy nations in Asia and South America (ie China, India, Brazil) - plus the USA (which only pretends that it's wealthy...) - are stinting on contribution precisely because it is a Euro-bailout fund.
How appropriate is it for the UK to contribute to prop up an economic experiment of which we are not a member? How fair is it that UK taxpayers are now being compelled by this cavalier contribution from George Osbourne's mouth to an extra debt burden, when the government is (rightfully) having to reduce spending to try to rescue the socialist disaster that was inherited in 2010? Does this not prove beyond all doubt that Osbourne (as with all his predecessors as Chancellor of The Exchequer) is completely in the pocket of the Banking cabal?
Interesting point, thetruth.
As I understand it, from listening to Radio 4 this morning, the money is a loan that will be repaid with interest. If we were just giving the money away I would totally agree with you.
And surely we can't live in isolation from the rest of the world? Economic collapse in other countries would have a negative effect on the UK economy.
It proves also that banking fraternity run all major governments.The UK is NOT in a position to lend over ?10Billion to countries via the IMF.We do NOT have it in the first instance and are further maximising upon the country's credit card.But the government has no choice or power because it is the global banksters who run international politics.
What is extremely funny about this, if it wasn't so tragic, is that the the UK government is borrowing vast sums of money itself to pay for their plans and policies. Although in truth, I don't actually know what this government actually stands for besides cuts, which seems odd, as they are borrowing more than the previous incompetent incumbents in political office.
So from this loaned money, we then loan to others and gain interest on the amount we have loaned, whilst paying interest on the money we have loaned.
By offering just less than ?10 billion he doesn't have to seek the permission of the Commons to sanction this payment, thus circumventing the true democractic process.
It would be argued that to do nothing is more harmful to the UK economy and this proposition is advocated by the party who went to Europe and excluded themselves from having any meaningful say on the future shape of European fiscal policy by exercising its lonely veto.
The urgency of the IMF's begging suggests that another major European restructuring and bailout is just around the corner!!
Osbourne claims that the money comes from the Foreign Reserves and that this money would not be available for public funds. Whyever not if the country needs it? More importantly, I don't believe that this money exists. I remember when G Brown was discussing MOD funding for the Middle East he spoke of a fund of around ?3.5 billion, so how come after a recession we have over ?10 billion?
Secondly, does the IMF guarantee the return of this money? Money lent to Greece for instance is not being returned in full so the interest rate is of no consequence if we suffer a capital loss.
This whole situation stinks of control from elsewhere outwith the wellbeing of this country.
Feline makes a very valid point and as I undersand it the loan is to be repaid but whether in full or not remains to be seen. However, we all want the best for the UK and the phrase "charity begins at home" is, I believe, at the forefront of the general public's mind. Central government funding and budgets are far from simple and I don't pretend to understand where money can suddenly appear from!! I have lost any faith I had in Osbourne and this government and not just on the financial aspects.
This money will be used to bail out euro zone countries in debt but will increase the deficit in our own country cant see his logic unless his fortune is invested abroad.Meanwhile he is upping the tax on food such as hot pies and pasties which is the stable diet of our own working class that he is robbing blind.
How much interest do we get on this loan? Is it nil.
But if you had a european holiday home and the euro was about to crash, how much would your investment be worth?
So is the 10 billion quid to help George Osborne keep his holiday home's value up? I guess it is.
And the euro would be over priced at 69p, so now at 82p we are putting in 40 billion pounds to act AGAINST us. What the hell for!! George is getting something personally for this as it acts against Britain.
I really cannot see beyond the end of my nose on this clearly complex debate but this is just another example of the British government wanting to be a 'global player' and 'flash the cash'.
Is it really all about how British magnamity is perceived in the big wide world? And in it's simplest form, shouldn't the 83 year old pensioner whose care package has been dramatically cut recently be fully entitled to stand up and kiss ass in return?
This is all one big con.Firstly we are told that Chancellor Gideon Osborne has agreed to give the IMF ?10 Billion then he wants to cut welfare by a further ?10 Billion of which Ian Duncan Smith is resisting(allegedly). Hence, the welfare cuts to the poorest is what is subsidizing the IMF. How financially immoral can you one get by taking away from the very poor to give to the relative rich in the Eurozone?This is a political and monetary CON.
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