Monday, March 30, 2009

‘IMF Currency’ Can Be Floated Within a Year

Curt Here...

The G20 Economic Summit starts this Thursday April 2ND in London. On the agenda will be the discussion of a new global reserve currency that would replace the US dollar as the top reserve unit.

According to Nobel Prize winning economist Joseph Stiglitz who earlier this month endorsed the idea of new global currency, this new currency could be phased in within a year, although he admits that he doesn't think it will happen that fast.

The key to this article from my perspective is the speed in which this could happen. A year from now puts us into the spring of 2010, and if you have been following this blog and many of the others that we have posted on our links section, well then you know that many are watching the Summer of 2010. The Summer of 2010 is 3 1/2 years into the 7 year ENPI agreement between Israel and the EU.

We also know from scripture that the AC assumes power 3 1/2 years into the 70Th week of Daniel, and institutes the mark of the beast at the half way point of the 70Th week. If the ENPI does turn out to be the 7 year covenant with many as prophesied in the book of Daniel then control over the world's monetary system would have to also occur at that time.

I am certainly not saying that this is it, but I will keep watching and posting as the news dictates.

Stay Tuned



UNITED NATIONS: A reserve currency system based on an IMF unit instead of the US dollar, a proposal floated by China, could be phased in within a year, Nobel Prize-winning economist Joseph Stiglitz said on Thursday.

Stiglitz, a Columbia University economics professor who heads a UN expert panel analyzing the financial crisis and recommending reforms, addressed an issue that became a hot topic this week.

Asked at a news conference when the International Monetary Fund’s Special Drawing Rights (SDR) could replace the dollar as the top reserve unit, Stiglitz replied, “It could begin to be phased in next year.

He said the system could be phased in within 12 months. “Realistically, I don’t think it’ll happen that fast,” Stiglitz said.

One of the main issues left to be worked out is how the SDRs would be allocated, he said.

The reserve currency topic is expected to come up at next Thursday’s London summit meeting of the Group of 20 big developed and developing nations on the financial crisis.

Stiglitz’s panel has issued a set of recommendations for global financial reforms, including a proposal for a new SDR-based reserve system.

In an 18-page report released on Thursday, the panel said such a system “could contribute to global stability, economic strength, and global equity.” The panel said such an SDR system would be “feasible, non-inflationary, and could be easily implemented.”

Russia earlier this month proposed creating a new reserve currency, to be issued by international financial institutions. This week, China outlined how SDRs could take over the dollar’s role as the global reserve unit.

US Treasury Secretary Timothy Geithner said the dollar would remain the top reserve currency but expressed openness to the expanded use of SDRs.

Stiglitz said there was a “growing consensus that there are problems with the dollar reserve system.” He added that economists have been discussing the weaknesses of single-currency reserve systems for decades.

“One of the problems (with single currency reserves) is that because of the huge level of volatility, countries are accumulating large amounts of reserves,” he said.

The use of dollar reserves was also “contributing to the weakness of the global economy,” the former World Bank chief economist said.

“The dollar reserve system is deflationary, unstable and it also has some inequity associated with it,” Stiglitz said.

Stiglitz said the effect of the dollar reserve system is that developing countries have been lending the United States trillions of dollars at almost zero interest rates when they themselves desperately need that money.

“It’s a net transfer, in a sense, to the United States of foreign aid,” he said.

Brazil’s President Luiz Inacio Lula da Silva also weighed in on the issue on Thursday. In a news conference with British Prime Minister Gordon Brown, he said it was important to discuss Russia’s proposal but did not elaborate.

However, Canada’s finance minister, Jim Flaherty, predicted in Ottawa that China’s SDR proposal would not get much attention.

Stiglitz, asked about the US and world economic outlooks, was not optimistic. He said rich countries were doing too little to help developing nations.

“There won’t be a robust (US) recovery until there’s a whole global robust recovery,” Stiglitz said. “If there’s going to be a global robust recovery, you have to bring in the developing countries, and right now we’re not doing that. And they’re just beginning to be hit.”

UN Secretary-General Ban Ki-moon has written to G20 leaders urging them to approve a $1 trillion stimulus package to help developing nations weather the financial crisis.

Wednesday, March 25, 2009

US Willing to Look at China Currency Proposal

Curt Here...

Just a quick update as the US has responded to China's interest in a new reserve currency. It appears as if US Treasury Secretary Timothy Geithner acknowledged that the US is willing to explore China's proposal, but according to Geithner any change would be "evolutionary" and that a new currency would not replace the dollar anytime soon.

This is obviously a rapidly developing story and I am not sure what to think at the moment. My first impression is that the US administration is trying to publicly bail out a sinking ship, but I could be off in that assessment. If anyone has any thoughts or ideas as to what this could mean, please post in the comments section.

I am sure there is more to come on this so,

Stay Tuned.



US willing to look at China currency proposal

The US is willing to explore China’s proposal to give a synthetic global currency a larger role in the international financial system, Tim Geithner, US Treasury secretary, said on Wednesday.

But Mr Geithner said any change would be evolutionary and that the synthetic currency, called the International Monetary Fund Special Drawing Rights (SDRs), would not replace the dollar.

The comments came after calls by Zhou Xiaochuan, China’s central bank governor, for a new global currency as an alternative to the dollar.

China’s idea of a new currency would in effect expand the use of the SDR, a currency devised by the IMF in 1969 that was initially pegged to the dollar but is now based on the value of four different currencies: the dollar, yen, euro and pound.

Mitul Kotecha at Calyon said China’s comments came at a time when the dollar was probably at its most vulnerable, given that the value of the currency was being debased in the wake of the quantitative easing policy of the Federal Reserve and the massive increase in the US fiscal stimulus.

“Should global reserve managers shift away from the dollar as a reserve currency, it would have a massive impact on US markets,” he said.

“Arguably the huge inflow of foreign capital into US Treasuries over recent years has helped to keep mortgage interest rates low and played a part in fuelling the crisis that the economy is currently facing.”

But he said any shift to the SDR or any other currency could take many years to implement and at the moment global authorities had enough on their plate determining the correct policy to revive economic growth.

“The dollar may not be the ideal currency for global reserves and has certainly lost some of its allure, but there is little else than can replace it anytime soon,” Mr Kotecha said.

“We believe there is scope for a dollar rebound as the recent sell-off looks overdone, with markets unlikely to pay too much attention to calls to move away from the currency given the difficulty in doing so.”

Marc Chandler, at Brown Brothers Harriman, advised against reading too much into Mr Geithner’s comments.

He said remarks from Barack Obama, US president, who on Tuesday said there was no need for another reserve currency and that the dollar was fundamentally strong, were the underlying signal coming from the US administration.

“Given the deflation threat and the liquidity crisis a new SDR issuance may make sense, but it does not take away from the dollar’s role [as a reserve currency],” said Mr Chandler.

“The SDR is not money in the commonly used sense of a means of exchange or a store of value. It is primarily a unit of account.”

The dollar fell 0.6 per cent to $1.3551 against the euro, lost 0.3 per cent to Y97.58against the yen and dropped 0.7 per cent to SFr1.1225 against the Swiss franc.

Monday, March 23, 2009

China Ready to Discuss New Reserve Currency at G20 Summit

Curt Here....

Russia was the first major member of the G20 to publicly advocate for a new global reserve currency and now China appears ready to discuss this possibility also at the upcoming G20 summit. I found it rather interesting and not all that surprising that Russia would be the first to push for this idea do to the fact that Russia's economic situation over the last few months has gone from bad to worst.

China on the other hand, alarms me. Mainly due to the fact that China has been a big buyer of the United States debt over the years. If China suddenly decides to quit buying our debt, especially at the alarming rate in which we are creating it today, than the US dollar is done. If this new reserve currency replaces the dollar as the major world currency than things are going to get crazy here in US and fast. For China to even be considering this idea, should be an alarm bell for all of us as the push for a one world currency continues.

Mark your calenders for April 2nd as the G20 economic summit kicks off in London.

Stay Tuned



BEIJING, March 23 (RIA Novosti) - China is ready to discuss Russia's proposal of a new global reserve currency as an alternative to the U.S. dollar at the G20 summit in London, a vice governor of the country's Central Bank said on Monday.

Russia earlier submitted a proposal to the G20 summit which could see the IMF examining possibilities for creating a supra-national reserve currency, and also forcing national banks and international financial institutions to diversify their foreign currency reserves.

"We believe it is necessary to consider the IMF's role in this process and also define the possibility and the need to adopt measures allowing for Special Drawing Rights (SDRs) to become an internationally recognized super-reserve currency," Russia's proposal read.

Hu Xiaolian said that China, which holds about $2 trillion in foreign exchange reserves, was prepared to debate the issue as "the dollar's dominance and U.S. economic woes could entail considerable currency fluctuations and affect the world financial situation."

At the same time, she said that discussion into a new global currency could be started but considering the dollar's status as the current primary currency, "we should focus more on enhancing control over the existing system."

The G20 summit, involving advanced and emerging economies and international financial institutions, will be held in London on April 2, aimed at finding ways to overcome the ongoing global financial crisis.

During the G20 summit, Chinese President Hu Jintao will meet Russian President Dmitry Medvedev and U.S. President Barack Obama, Chinese Deputy Foreign Minister He Yafei said.

Yafei also said that Jintao will address the summit outlining measures to stabilize the global financial markets, reform the international financial system and harmonize macroeconomic regulation standards.

Monday, March 16, 2009

Russia Proposes Creation of Global Super-Reserve Currency

Curt Here....

The news gets crazier by the day. Now we have the Country of Russia suggesting that the G20, at the April 2nd summit in London should start the process of establishing the creation of a "super reserve currency." According to the Russian plan this global super-reserve currency will be issued by the major international financial institutions. The hope is this new currency will provide stability and control to the current chaotic financial situation.

They are suggesting that we should disregard "standard approaches" of doing business and we should act globally together under one financial system, with one set of rules. The Russians take it one step further and say they believe at the coming summit, the G20 nations should seek and achieve accord on the main parameters of this new world financial system.

This is all happening very fast, and if major decisions are made at the G20 summit towards a global new financial order, we may have the framework in place towards the implementation of the mark of the beast. This is a pretty scary thought if you ask me and to be frank I am having a hard time believing what I am reading these days. But God's Word is true and I know that His coming will be fulfilled exactly as it was written. Still, I stand in awe.

Stay Tuned



Russia proposes creation of global super-reserve currency

MOSCOW, March 16 (Itar-Tass) -- Russia suggests the G20 summit in London in April should start establishing a system of managing the process of globalization and consider the possibility of creating a supra-national reserve currency or a “super-reserve currency.” The Russian Federation’s proposals for ways out of the ongoing financial and economic crisis and for a post-crisis order of the world financial system have been published on the Kremlin’s website. The proposals have been dispatched to the leadership of the G20 countries, the CIS and international organizations.

“The current global economic crisis points to the need for discarding standard approaches and requires the adoption of collective decisions, agreed at the international level and geared to creating a system of globalization process management,” the document says. Russia suggests “acting with the maximum resolution in order to restore sustainable economic development and also confidence and stability in the financial markets.”

The Russian side believes the summit should seek and achieve accord on the main parameters of a new world financial system. It suggests calling an international conference that would produce the basic parameters of a world financial architecture and adopt international conventions regarding a new financial world order.

Russia believes that the “obsolete mono-polar structure of the world economy should give way to a system based on cooperation by several major centers.”

In the sphere of control and supervision Russia suggests drafting and adopting an international agreement setting global standards of control and supervision in the financial sector – a Standard Universal Regulatory Framework (SURF).

Russia calls for reforming the international currency and financial system with the aim to strengthen its stability and control. In that connection the Russian side suggests discussing the possibility of expanding the list of currencies to be used as reserve ones, on the basis of the adoption of agreed measures to stimulate the development of major regional financial centers, and also “the creation of a supra-national reserve currency that will be issued by international financial institutions.”

“It looks expedient to reconsider the role of the IMF in that process and also to determine the possibility and need for taking measures that would allow for the SDRs (Special Drawing Rights) to become a super-reserve currency recognized by the world community,” the document says.

Also, Russia in the medium and long-term is for a revision of the role and mandate of the IMF in order to adjust both to a new structure of the world currency and financial system, whose modification is to be completed as a result of the current crisis.

For the purpose of overcoming the current crisis it will be necessary to considerably increase the resources of the IMF.

“The decisions we shall make at the London summit must be not only adequate to the current situation, but also meet the requirements of a new, post-crisis world,” the document says.

Thursday, March 12, 2009

Idea of Single World Currency Taking Hold

Curt Here...

According to the article below KAZAKH President Nursultan Nazarbayev has received backing for his plan for a one world currency from a very interesting person. He has received this backing from Nobel-prize winner Professor Robert Mundell. Who is Robert Mundell you say? He is none other than the man that laid the groundwork for Europe's single currency the Euro.

Mr. Mundell when asked about his backing took it a step further by recommending that the Group of 20 leading developed and developing economies needed to form a working group on the one world currency proposal at their summit on the global economic crisis in London on April 2.

The economic summit planned for April 2nd in London is turning into quite the event. It may also turn out to have some very serious prophetic implications. I suspect between now and April 2nd the rumble towards a one world government will get louder.

Stay Tuned.



Nobel-prize winner backs world currency

KAZAKH President Nursultan Nazarbayev has won backing for his plan for a single world currency from an intellectual architect of the euro currency, Nobel-prize winner Professor Robert Mundell.

Nazarbayev, speaking at an economic forum in the glitzy new capital he has built on the Kazakh steppe, defended his proposal for the "acmetal'' world currency saying it might "look kind of funny'' but was not.

And he received intellectual support from the Canadian economist Prof Mundell, who helped lay the intellectual groundwork for Europe's single currency.

"I must say that I agree with President Nazarbayev on his statement and many of the things he said in his plan, the project he made for the world currency, and I believe I'm right on track with what he's saying,'' Prof Mundell said, adding the idea held "great promise''.

Mr Nazarbayev and Prof Mundell urged the Group of 20 leading developed and developing economies to form a working group on the proposal at their summit on the global economic crisis in London on April 2.

"We should deliver our thoughts and the thoughts of this conference to the leaders of those countries,'' Mr Nazarbayev said, referring to the G8 and G20 nations.

Mr Nazarbayev, who has held his post since Soviet times and has seen his oil-rich state hit badly by the crisis, unveiled his proposal last month and said yesterday the UN should oversee the currency's introduction.

Though a boost for what might seem an other-worldly plan, Prof Mundell has previously suggested single currencies are only appropriate for countries with similar economies.

Mr Nazarbayev's coining of "acmetal'' combines the Greek word "acme,'' meaning peak or best, and "capital.'',25197,25173126-12377,00.html

Sunday, March 8, 2009

Revelation 4

Mike here...

Revelation 4 is a short chapter and makes the transition from the letters to the churches to a scene in heaven. A very descriptive John explains a setting that must have been difficult to put into words. While this scene depicts some very un- earthly creatures I'm impressed by the worship that we see, both out of the 4 creatures and the 24 elders.

Revelation 4:8-11

8Each of the four living creatures had six wings and was covered with eyes all around, even under his wings. Day and night they never stop saying: "Holy, holy, holy is the Lord God Almighty, who was, and is, and is to come." 9Whenever the living creatures give glory, honor and thanks to him who sits on the throne and who lives for ever and ever, 10the twenty-four elders fall down before him who sits on the throne, and worship him who lives for ever and ever. They lay their crowns before the throne and say:
11"You are worthy, our Lord and God,
to receive glory and honor and power,
for you created all things,
and by your will they were created
and have their being."

My takeaway from this chapter is more of a global observation regarding the underlying purpose of the events of Revelation. In our human nature I believe we look at prophecy and often ask why or attempt to get to the purpose of certain events or happenings. I have concluded that the events of the end times are all to glorify God.

So, here in this scene in heaven we see Christ being worshiped. My application is a simple one to say but very challenging to implement. As the events of this world unfold around us our duty is to worship Christ in Spirit and Truth. To join in the heavenly chorus exalting our Lord and Savior. Even in the face of financial uncertainty, relational struggles, and natural disaster the scriptures make it clear. We were created to glorify God every day.

As this scene in Heaven shows us, it is our eternal destiny.

Your brother in Christ!

Friday, March 6, 2009

Revelation 3

Mike here, this post has been delayed a few weeks, my apologies.

The passage in Revelation 3 that I found most interesting is the letter to Laodicea.

To the Church in Laodicea
14"To the angel of the church in Laodicea write:
These are the words of the Amen, the faithful and true witness, the ruler of God's creation. 15I know your deeds, that you are neither cold nor hot. I wish you were either one or the other! 16So, because you are lukewarm—neither hot nor cold—I am about to spit you out of my mouth. 17You say, 'I am rich; I have acquired wealth and do not need a thing.' But you do not realize that you are wretched, pitiful, poor, blind and naked. 18I counsel you to buy from me gold refined in the fire, so you can become rich; and white clothes to wear, so you can cover your shameful nakedness; and salve to put on your eyes, so you can see. 19Those whom I love I rebuke and discipline. So be earnest, and repent. 20Here I am! I stand at the door and knock. If anyone hears my voice and opens the door, I will come in and eat with him, and he with me. 21To him who overcomes, I will give the right to sit with me on my throne, just as I overcame and sat down with my Father on his throne. 22He who has an ear, let him hear what the Spirit says to the churches."

Upon reading that section of scripture I immediately think of our American Culture, but more specifically this financial crisis we are in.

Not only have most Americans put their faith in our Country's wealth our deeds are also neither hot or cold.

As we press on during these financial turbulent times, believers need to rally back to the basics of our faith. Our identity is in who Christ is making us to be and our salvation through His precious sacrifice. It is easy for me to get caught up in the negative emotions that seem to backfill the void of failing stocks, businesses and other financial institutions but at the end of the day I belong to Christ.

Let's focus on the riches and salvation that our Lord Jesus Christ offers to those who accept Him as Lord.

Keep looking up!


Wednesday, March 4, 2009

Brown: Global Bank Deal Coming

Curt Here...

Here is a new article that continues along the same lines that we have been reporting here at the the70thweek. UK Prime Minister Gordon Brown continues to not hide his aspirations for a new global order.

I keep posting on this because I believe it to be very important and possibly prophetic in light of the crazy economic times we are living in.

My word of encouragement to all that may read this site is, no matter what economic situation you may find yourself in never lose your faith in our returning King. He will be here soon and on time.

Stay Tuned



Brown: Global bank deal coming

Mar 03 2009 20:53

Washington - British Prime Minister Gordon Brown said on Tuesday that a global "new deal" on cleaning up the reeling banking sector was possible within months, during talks with US President Barack Obama.

"Look, there is the possibility in the next few months of a global new deal that will involve all the countries of the world in sorting out and cleaning up the banking system," Brown told reporters in the Oval Office.

"There is the possibility of all the different countries of the world coming together to agree the expansion in the economy that is necessary to restore confidence and to give people jobs and growth and prosperity for the future."