G20 Agree to Let the IMF Create its Own Currency

Curt Here...

The headlines coming out of the G20 economic summit give you the impression that our world leaders have made great progress towards solving our global economic problems. The world markets immediately responded to all the rosy headlines as they rose quickly across the globe.

I on the other hand read the article below and realize that the framework for the mark of the beast may have just been negotiated. The real headline in my humble opinion is of course the last item of the article listed below. It states that "in a new development, the G20 agreed to let the IMF create $250bn of Special Drawing Rights, its own currency comprising dollars, euros, yen and sterling, boosting the foreign exchange reserves of every country."

That's right the G20 just gave the International Monetary Fund the right to create its own currency. A brand new currency that will be some sort of combination of the major currency's of the day. Wow is all I can say to this news. The possible prophetic implications to this, are well, astounding. I wonder, who is going to control this currency?

Stay Tuned.

Curt

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G20 leaders claim summit success

World leaders on Thursday heralded the G20 summit as the day the world “fought back against the recession” as they put on a show of unity that lifted global markets and mapped out a new future for financial regulation

Gordon Brown, host of the summit, said the meeting marked the emergence of a “new world order”, as he unveiled what leaders claimed was a $1,100bn package of measures to tackle the global downturn, including support for lower income countries and a $250bn plan to boost the international money supply.

Close inspection showed some of the $1,100bn pledged included reannouncements and half-done deals. However, even before the summit ended, equity markets rose sharply around the world on hopes that the global economy was stabilising.

In London, the FTSE 100 jumped 4.3 per cent to go through the 4,000 mark for the first time in six weeks while in New York, the S&P 500 surged more than 4 per cent to close up 2.9 per cent.

The leaders papered over divisions between the US and Europe over whether the world could afford a new fiscal stimulus, with US president Barack Obama describing the summit’s measures as “bolder and more rapid than any international response that we’ve seen to a financial crisis in memory” and predicted they would mark “a turning point in our pursuit of global economic recovery”.

France’s president Nicolas Sarkozy, meanwhile, said the summit’s agreement on a new regulatory regime and crackdown on tax havens showed “a page has been turned” on an era of post-war “Anglo Saxon” capitalism.

Although the summit ended with smiles, a row between China and France over the blacklisting of tax havens – including possibly Hong Kong and Macao – continued behind the scenes well into the day.

US officials say that Barack Obama helped broker a compromise over offshore tax savings between Hu Jintao of China and Nicolas Sarkozy of France, who had threatened to walk away from the summit.

Mr Sarkozy had objected to the absence of agreement to publish a list of offshore tax centres that were not in compliance with existing standards on transparency. With the exception of China, all other countries agreed that the Organisation of Economic Cooperation and Development would publish a list of offshore offenders in a “naming and shaming” exercise. In the end they agreed a compromise in which the G20 would only “take note” of the OECD’s list, rather than endorse it.

The summit text included commitments to curb “risky” bank pay and bonuses, but offered little new on monetary policy action or efforts to clean up bank balance sheets.

Of the $500bn of money pledged to the IMF to bolster struggling economies, some had already been announced and $250bn was a pledge of future funds.

In a new development, the G20 agreed to let the IMF create $250bn of Special Drawing Rights, its own currency comprising dollars, euros, yen and sterling, boosting the foreign exchange reserves of every country. Most of this cash will go to the big advanced economies, but poorer countries facing budgetary strains will gain new cash without normal IMF conditions.

http://www.ft.com/cms/s/0/082652de-1fb0-11de-a1df-00144feabdc0.html?nclick_check=1