Bank of International Settlements

Thursday, January 9, 2014
Bank of International Settlements
Assalamu ‘Alaikum,

Bank of International Settlements (BIS) in Basel, Switzerland is where all central bankers in the world go to school. This is where they produce the banking regulations called Basel I, Basel II and Basel III etc. It basically tells the central banks throughout the world to go back and tell the banks under their jurisdictions in their respective countries how much capital to have in order to lent a multiple of that amount to the borrowers. That’s the official lingo.

In everyday language it means how much cash to maintain in the vaults to cover the actual cash requirements of their borrowers when the banks lent more money than they actually have. If they have RM1 billion in deposit, and reserves to be placed with central bank is 2% of deposits, they will actually lent out a total RM25 billion to their borrowers. The RM24 billion is money they don’t have, which the banks created out of thin air not backed by anything, when they lent and relent and relent the original RM 1 billion deposit placed with them. They can do this because people settle with cheque books not cash and dont all go and withdraw cash at the same time! They even charge interest for this fictitious money but that’s episode II.

Another way to look at it is to imagine you have a house, then you rent it out to 25 people at the same time because you have a system where the 25 people will return to the house at different times, not knowing they are sharing the same rented house!

In the old days people safekeep gold with goldsmiths and are given gold receipts. These gold receipts soon become money acceptable to everyone.

Soon the goldsmiths hit on the idea to produce more gold receipts than there are gold, because nobody knows any different, and nobody goes to them at the same time to take out the gold.

Soon the amount of gold in the vaults is only 10% of the volume of gold receipts! That’s the origin of the banking system above called fractional reserve banking.

This is also the reason prices constantly shoot to the roof and never falls. Poor people with fixed wages are just collateral damage under this system. Making the rich richer and the poor poorer is also an unimportant collateral damage under this system.

Sooner or later poor people will not be able to buy nutritious food for their children and poor children will be malnourished which is also another unimportant collateral damage under this system.

Now the interesting part. The BIS policies are influenced and determined by a Group of Thirty Individuals currently led by the Chairman of the Federal Reserve, and includes amongst its members the former Chairman of Bank of Israel, and a current Governor of Bank of Israel who was a Managing Director of the IMF { ].

Hence the BIS is very much controlled by the Federal Reserve, the Central Bank of the US. But the Central Bank of the US is not owned by the Government of the US. It is a private company owned by the major banks of the US. The major banks of the US are owned by certain individuals of a certain vested interest.

{Who controls America?} { “Summary:
Of the sixty(60) senior officials of the U.S. Government economic, financial, and monetary institutions, thirty-nine(39) are Jews or have Jewish spouses. This is a numerical representation of 65%. Jews are approximately 2% of the U.S. population.* Therefore Jews are over-represented among the senior officials of the U.S. Government economic, financial, and monetary institutions by a factor of 32.5 times(3,250 percent).}…/
Of the seven(7) Federal Reserve Board governors, four(4) are Jews. This is a numerical representation of 57%. Of the twelve(12) Federal Reserve District Bank presidents, four(4) are Jews. This is a numerical representation of 33%. Jews are approximately 2% of the U.S. population.* Therefore Jews are over-represented on the Federal Reserve Board of Governors by a factor of 28.5 times (2,850 percent), and over-represented among the Federal Reserve District Bank presidents by a factor of 16.5 times(1,650 percent).}
So when the central bankers return to their country to implement the BIS preferred policies, whose preferred policies are these?

To learn more join us at Facebook – Towards a Just Monetary and Financial System or Kearah Sistem Monetari dan Kewangan yang Adil.

Source :

The Group of Thirty, often abbreviated to G30, is an international body of leading financiers and academics which aims to deepen understanding of economic and financial issues and to examine consequences of decisions made in the public and private sectors related to these issues. Topical areas withi…

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