Monday, March 16, 2015

SWIFT Gives OBAMA the BIRD…..and RUSSIA a Seat On the Board

First, for those that don’t know, the SWIFT system connects more than 10,000 banks in more than 200 countries and provides the messaging that makes trillions of dollars of international payments possible.
The US and Europe had been pressuring SWIFT to drop Russia from their systems like they did Iran. Russia pretty much said this would be an act of war if it happens because it would financially cripple them. But now, not only did SWIFT NOT kick Russia out,they actually gave them a seat on the board!!
Of course China and Russia are putting their own alterntative to SWIFT, CIPS, which is scheduled to go online in September.
China Completes SWIFT Alternative, May Launch “De-Dollarization Axis” As Soon As September!
One of the recurring threats used by the western nations in their cold (and increasingly more hot) war with Russia, is that Putin’s regime may be locked out of all international monetary transactions when Moscow is disconnected from the EU-based global currency messaging and interchange service known as SWIFT (a move, incidentally, which SWIFT lamented as was revealed in October when we reported that it announces it “regrets the pressure” to disconnect Russia).
Of course, in the aftermath of revelations that back in 2013, none other than the NSA was exposed for secretly ‘monitoring’ the SWIFT payments flows, one could wonder if being kicked out of SWIFT is a curse or a blessing, however Russia did not need any further warnings and as we reported less than a month ago, Russia launched its own ‘SWIFT’-alternative, linking 91 credit institutions initially. This in turn suggested that de-dollarization is considerably further along than many had expected, which coupled with Russia’s record dumping of TSYs, demonstrated just how seriously Putin is taking the threat to be isolated from the western payment system. It was only logical that he would come up with his own.

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