BIS: Lending To Developed Country Banks Falls by $296B … Banks cut their international lending to each other during the second quarter, and in particular to lenders in the U.K. and the U.S., according to a report by the Bank for International Settlements. The BIS report released on Wednesday said total cross-border lending fell $185 billion, or 0.6%, in the three months to the end of June, to $35.6 trillion, compared with the first quarter. Cross-border lending rose $634 billion in the first quarter. – Dow Jones
Dominant Social Theme: What's the BIS? We can't keep track of all these nonsensical international organizations … What does the BIS do? What does the B stand for? Is it a global bowling league?
Free-Market Analysis: The Bank for International Settlements is the organizing force behind central banking around the world. In this article from the Dow Jones newswire, excerpted above, we can see that the BIS is an authority on central banking, reporting on currency flows and the activities of the 100-plus central banks that basically report to it.
What exactly is the BIS? it was established in 1930 initially but underwent changes throughout the 1930s and even after World War II as well. David Rockefeller was apparently intimately involved with the BIS and its workings as he and his family were, as well, with the creation of the IMF, the World Bank and of course the UN, for which they donated land.
There is a good deal of danger in having one man so intimately involved in every part of the modern world structure, and this may be a reason for the current state of global affairs. Perhaps in the 21st century a more sane system can emerge. Here is Wikipedia on what the BIS is and does:
The Bank for International Settlements (BIS) is an intergovernmental organization of central banks which "fosters international monetary and financial cooperation and serves as a bank for central banks." It is not accountable to any national government. The BIS carries out its work through subcommittees, the secretariats it hosts, and through its annual General Meeting of all members. It also provides banking services, but only to central banks, or to international organizations like itself. Based in Basel, Switzerland, the BIS was established by the Hague agreements of 1930 … It has representative offices in Hong Kong and Mexico City.
What is perhaps most interesting is that the BIS was established by international Hague agreements but is "not accountable to any national government." Just who IS the BIS accountable to? The BIS's establishment and continued operation is as good an evidence of any of the shadowy clique of banking families that are attempting to run the world behind the scenes.
in fact, the BIS is seemingly part of a larger elite dominant social theme having to do with the "good gray men" who work in the vineyards of central banking. These men are not to be noticed and thus the idea is perpetuated that they and central banking itself are but minor aspects of the modern financial system. If people want to change the way the system works – and reconfigure the current money system – the BIS itself should be addressed.
The BIS has a very low profile, but this belies its importance. Not only does it coordinate central banking policies around the world, it is so important that BIS couriers, by international law as we understand it, are not to be stopped or searched. This alone shows the tremendous power the BIS wields, or rather the Anglosphere power elite that set it up. And the money flows themselves tell a tale about how the financial world really works. Of course, you have to read between the lines …
Lending to banks in developed economies fell $296 billion. Lending to U.K. banks fell $94 billion, while lending to U.S. banks fell $128 billion. Lending to German banks fell $25 billion. By contrast, lending to developing economies rose for the ninth consecutive quarter, by $145 billion. That was a slower expansion than in the first quarter, when lending rose $194 billion. Lending to borrowers in China, including banks, rose $68 billion, to Brazil by $22 billion, and to India by $9 billion.
We can see here that BIS movers-and-shakers are quite aware of how capital flows are circulating around the world. They are ebbing in developed economies and flowing toward the BRICs. This means that money shortages will inevitably make the problems of Europe more severe, while additional currency in the BRICs will aggravate price inflation problems.
So … tougher times ahead. Unfortunately, you will not read about such money flows (or the BIS itself) in the mainstream media generally and certainly from a news standpoint. You are far more likely to be educated about Lady Gaga's outfits than on the BIS in today's world.
And certainly the powers-that-be like it that way. They would prefer that people are NOT educated about fiat money and central banks, even though it is the world's ubiquitous modern system and a problematic one. Without commodity backing, paper money merely ratchets around the world in search of the highest return. It can be printed in ever larger quantities to maximize "profits" and the BIS supervises this endless inflation.
For this reason, as well, the BIS often sends out defensive or warning press releases to ensure that its leadership looks responsible and concerned about the various distortive impacts of money printing. One such release (as part of its annual report) was issued back in June 2011 and summarized by The Australian. Here is part of the article:
Age of cheap money must end, warns Bank of International Settlements … Rising labour costs in emerging countries threaten to set off a global inflationary spiral similar to the one triggered by escalating food prices in the 1970s, the Bank for International Settlements warned today. "Against this backdrop, central banks must remain highly alert to a build-up of inflationary pressures," the bank said in its annual report.
Central banks should stay tough against price rises even if this approach would seem to be incongruous with conventional estimates of slack in the domestic economy and price trends, the bank said. "All in all, still we continue to see that monetary policy is too accommodative," but "it doesn't mean we call for raising rates in each country," BIS general manager Jaime Caruana said in response to a journalist's question at a brief media conference concluding the bank's annual general meeting …
Though the situation is different from that in the 1970s, monetary policymakers may confront challenges similar to that era of spiraling prices, the BIS wrote … The bank also cautioned advanced economies against prolonging the loose monetary policy many deployed during the financial crisis, saying this likely has been an important factor in recent "large capital flows to emerging market economies."
Once again, we can see here how the BIS positions itself as a responsible moderator. This is especially ironic as central banks are inflation PRODUCERS. No central bank, no modern money inflation. The BIS and central banks in general don't want people to realize that central banks are the source of the inflation, not the cure.
Of course, in the era of the Internet Reformation, this is increasingly difficult. Nearly two years ago we predicted that the Fed and central banking generally were in a great deal of trouble from the standpoint of elite dominant social themes. We argued that the moral case for central banking had collapsed because the Internet had revealed – as mainstream media did not – the sheer outrageousness of how the system really worked.
The BIS so far has been immune to criticism because its leadership keeps such a low profile. But it is a central organizing part of the larger problem and we figure sooner or later its turn will come. In asking the question "End the BIS, too?" we are merely prompting examination of the issue by interested parties. Now it is true that we may not have a great deal of clout in the larger scheme of things, but we can certainly work to bring such facilities as the BIS to the fore where others can examine them for themselves.
The BIS is indeed big stuff. Because the BIS's influence is so pervasive with at least 100 big central banks around the world, some might consider that global governance is already a fact. Money is the most important factor in social control and central banks print the world's money. This alone should mean that people ought to be paying more attention not just to individual central banks but to the central bankers' bank – the BIS. And to trying to figure out a way to do away with it, or at least moderating its influence. Why on earth do BIS workers apparently have global immunity? That might be a good place to start.