“These were private banks and we didn’t pump money into them in order to keep them going; the state did not shoulder the responsibility of the failed private banks,” Iceland President Olafur Grimsson told Bloomberg Television.
Iceland is free. And it will remain so, so long as her people wish to remain autonomous of the foreign domination of her would-be masters — in this case, international bankers.
On April 9, the fiercely independent people of island-nation defeated a referendum that would have bailed out the UK and the Netherlands who had covered the deposits of British and Dutch investors who had lost funds in Icesave bank in 2008.
At the time of the bank’s failure, Iceland refused to cover the losses. But the UK and Netherlands nonetheless have demanded that Iceland repay them for the “loan” as a condition for admission into the European Union.
In response, the Icelandic people have told Europe to go pound sand. The final vote was 103,207 to 69,462, or 58.9 percent to 39.7 percent. “Taxpayers should not be responsible for paying the debts of a private institution,” said Sigriur Andersen, a spokeswoman for the Advice group that opposed the bailout. Source: Netright Daily (1)
Why is this good news?
Why should the taxpayers of Iceland pay back money deposits of a private bank that people made from foreign countries knowing there had to be risk in the first place. After all if your deposit is getting a much higher rate of return than any other place there must be additional risk. The people who made the deposits in the first place should have considered “Risk / Reward”.
What should be catching everyone’s eye is Iceland’s unofficial moto of investing in “high interest accounts”. There are risks with putting your money in places that offer higher than average returns. Everyone wants the rewards without the risk but that is not how this works.
A lot of unacceptable actions led to the economic crunch not only in Iceland but across the world. Those high level bankers and financial experts (so called) have never really been held accountable for what they did. Maybe repayments should start with those privileged individuals that caused the mess in the first place- not the common taxpayer. Start by cashing in their yachts, bonuses and other perks- they never earned them since it was their the whole system came crashing down. Their own money was long gone (hidden) before the average investor even know what was happening.
To a great extent, the problem was the result of cupidity, working within established banking practice. Whose cupidity? That of the depositors, who wanted instant, high-return investments. There are none such – the higher the risk, the higher the rate of return – or, rather, the more the borrower (the bank accepting deposits) must pay for the money. this has been known for a long time – for centuries, in fact. It is behind (in part) the prohibition against Usury – the charging of exorbitant interest rates – those that exceed the risk of default on the part of the borrower. A collapse like this is not new – there have been many, over the centuries, among them that famous English collapse, the South Sea Bubble, in the 18th. Century.
At the base of the problem is our own cupidity, as depositors. If we were cautious enough to look at what was offered, and wonder how, in today’s world, this could possibly work, then we would not have put our money into that bank, and would not have lost all we did, when it collapsed. In this case, though the Governments of the UK and the Netherlands should, as guarantors, try and recover some of their costs, they are foolish to press for any sort of immediate, or total, repayment. To do that would do more damage to international finance than good.
Their own countries (UK and Netherlands) were equally stupid in guaranteeing the deposits, let they pay for the losses, not the tax payers of Iceland. good for them. Indeed, the majority doesn’t want anything to do with joining the E.U and thats impressive good for them to see it for what it is. Lesson: don’t give up your country, your rights and freedom. Tell those banks that lost the money to fold and take it like a man Bankruptcy and start over. “The dispute has grown acrimonious, with Britain and The Netherlands threatening to block Iceland’s bid to join the European Union unless it is resolved.” 90% of there people want no part of the E.U and 65% of the businesses want nothing to do with it.
The real question is: will NATO attack Iceland next just as they did in Libya because of their refusal to install a globalist controlled central bank? Time will tell.