Caribbean Faces Uncertain Times

This year promises to be another hard slog for many Caribbean economies.

Caribbean Faces Uncertain Times

This year promises to be another hard slog for many Caribbean economies.

The US Economy In 2011

The 2011 seems to usher in some good news after the long economic slump. At least that is what the experts have to say. Though not a major economic punch, but the betterment can be felt in ripples.

Ireland Swallows Bitter Pill Asked For Bailout

Debt-crippled Ireland formally applied Sunday for a massive EU-IMF loan to stem the flight of capital from its banks, joining Greece

2010 US Bank Failures Rose to 143 Surpassing 2009

On Friday, State and Federal regulators closed four banks, as the total number of bank failures this year rose to 143, surpassing 2009 which saw a total of 140 bank failures amid the recession and mounting loan defaults.

The Global Currency War

The Finance Ministers of 187 nations began meeting in Washington, DC on Thursday, Oct. 7, 2010 to discuss the growing concerns that the world is now in the grip of an “international currency war” initiated by China.

18 Signs That America Is Rotting Right In Front Our Eyes

Sometimes it isn’t necessary to quote facts and figures about government debt, unemployment and the trade deficit in order to convey how badly America is decaying.

Top Economists: The Second Great Depresson Has Arrived

The worst nightmare forecast by economic specialists over the previous years has come true: new research by economic gurus in the United States of America has revealed a bleak scenario: the United States’ economy is in a state of depression.

IMF Warns Countries Of Debt Risks

The International Monetary Fund (IMF) has warned that many wealthy countries are amassing risky debt burdens, which could spark a market-wide panic.

‘Lost generation’ Feared As Global Jobless Youth Hit Record

Youth unemployment hit a record 81 million youngsters worldwide last year with the economic crisis, potentially breeding a “lost generation,” the International Labor Organization (ILO) said yesterday.

Greece – Now 2 Million Public Servants On Strike In Spain – Italy Next

Nearly 2 million Spanish state employees have stopped work in anger over government spending cuts that will see them lose about 5 per cent of their salary.

32 US States Brankrupt Must Borrowed For Unemployment Payments!!!

According to EconomicPolicyJournal.com 32 US states have run out of funds to make unemployment benefit payments. The end result is that the federal government has been supplying these states with funds so that they can make their  payments to the unemployed.

China Sells $34.2bn Of US Treasury Bonds

China sold $34bn (£21.5bn) worth of US government bonds in December, raising fears that ­Beijing is using its financial ­muscle to signal that it has lost confidence in American economic policy.

Secret Banking Cabal Emerges From AIG Shadows

January 29th 2009

The idea of secret banking cabals that control the country and global economy are a given among conspiracy theorists who stockpile ammo, bottled water and peanut butter.

Leading Economist Says World Still Mired In Financial Crisis

An internationally renowned economist said on Wednesday that banks need to review their banking strategy following the global credit crunch, noting that the world has not yet recovered from the financial crisis.

“One look at banking is that banking is accepting credit and lending money,” said Souhail Elia, chairman of the ABC anti discrimination league in Nevada and chairman of Asian American leadership council for president Obama, speaking before a panel of Beirut’s top bankers and economic experts.

“To me, this is not the true definition of banking. To me, banking is the business of buying and selling money.”

Latin Americans To Approve Replacing US dollars With A New Virtual Currency

The leftist Latin American ALBA trade bloc is scheduled Friday (16 Oct) to approve measures that would replace US dollars with a new virtual currency for regional commerce, an official said here.

Bolivian Deputy Minister of Foreign Trade Pablo Guzman told reporters that members of the Bolivarian Alternative for the Americas (ALBA) “will replace the dollar in commercial exchanges” between members with the Unified Regional Compensation System, or sucre.

The new monetary system was adopted in principle at an ALBA summit in April by organization members, which include Venezuela, Bolivia, Cuba, Ecuador, Nicaragua, Honduras, Dominica, Saint Vincent, Antigua and Barbuda.

Dollar Falls To 14-month Low Against Euro

The dollar slid to a 14-month low against the euro on Wednesday as investor appetite for risk increased following upbeat comments from Intel Corp. and after a top Federal Reserve official indicated U.S. interest rates would likely remain low for a quite a while.

By early afternoon London time, the euro was trading 0.3 per cent higher at $1.4896, just down on the 14-month high of $1.4913 it hit earlier in the session.

Meanwhile, the dollar was 0.5 per cent lower against the Japanese currency at 89.20 yen.

Barbados Government Preparing For Rainy Day

The Barbados Government is taking a number of steps, including negotiating multiple loans, to cushion the effect on the island’s critical sectors if the global recession deepens.

In light of the uncertain economic outlook, Minister of Economic Affairs and Empowerment, Innovation, Trade, Industry and Commerce Dr David Estwick says government has initiated ‘A Short and Medium Term Action Plan ‘formulated by a Special Working Group on the Economy, to outline a “road map for the development and implementation of several policy initiatives to stabilise the economy”.

Among the proposals to be undertaken by government are measures to improve the level of competitiveness and to maximise the opportunities which may emerge from the crisis; the provision of resources to assist the productive sectors in riding out the current period; and the allocation of a fiscal stimulus to sustain economic activity and safeguard jobs. 

‘End Dollar Supremacy’

The United Nations called on Tuesday for a new global reserve currency to end dollar supremacy which has allowed the United States the ‘privilege’ of building a huge trade deficit.

‘Important progress in managing imbalances can be made by reducing the reserve currency country’s ‘privilege’ to run external deficits in order to provide international liquidity,’ UN undersecretary-general for economic and social affairs, Mr Sha Zukang, said.

Speaking at the annual meetings of the International Monetary Fund and World Bank in Istanbul, he said: ‘It is timely to emphasise that such a system also creates a more equitable method of sharing the seigniorage derived from providing global liquidity.

Financial Crisis Boosts IMF

In reponse to our post ‘Most Countries Worse Off After IMF Agreement – US Think Tank, IMF spokesman Bill Murray, using the handler ‘wmurray’ , rejected the Centre for Economic and Policy Research (CEPR) findings as ‘seriously misleading conclusions’, ‘relying on faulty analysis and often inaccurate information.’ Other critics were Ms Caroline Pearce, from international aid agency Oxfam. AFP quoted her saying “‘If the IMF wants to be relevant, effective, credible and legitimate, it has to give countries hardest hit by the financial crisis a say in their own destiny.’

The Centre for Economic and Policy Research (CEPR) study was published to coincide with the IMF/World Bank meetings.

The havoc wrought by the economic crisis has given the IMF a new sense of purpose as the world’s emergency lender – and even some of its fiercest critics are starting to mellow.

It is a remarkable turnaround for an institution targeted by anti-globalisation protesters and reviled by millions of people after imposing harsh conditions on its loans during previous crises.

‘I think the response has been much more positive in this crisis and it’s been very constructive,’ said Joseph Stiglitz, a Nobel Prize-winning economist well-known for his diatribes against International Monetary Fund lending practices.