The IMF and Global Impoverishment

“The powers of financial capitalism had another far reaching aim, nothing less than to create a world system of financial capitalism in private hands able to dominate the political system of each country and the economy of the world as a whole. The system was to be controlled in a feudalist fashion by the central banks of the world acting in concert, by secret agreements, arrived at in frequent private meetings and conferences. The apex of the system was the Bank for International Settlements in Basle, Switzerland, a private bank owned and controlled by the world’s central banks which are themselves private corporations. The growth of Financial capitalism made possible a centralization of world economic control and the use of this power for the direct benefit of financiers and the indirect injury of all other groups.” –Professor Carroll Quigley

“When an IMF mission goes into a country and requires the destruction of social and economic institutions as a condition for lending money - this is very similar to the physical destruction caused by NATO bombing. The IMF will order the closing down of hospitals, schools and factories. That's of course more cost effective than bombing those hospitals, schools and factories, as they did in Yugoslavia, but the ultimate result is very similar: the destruction of the country.The IMF has what is called the MAI - the Multilateral Agreement on Investment. It's the ultimate investment treaty. Signing leads to the economic destruction of the targeted country. Well, really, war is simply the MAI of last resort.” –Professor Michel Chossudovsky

In the past several decades there has been a tremendous growth of inequality, not only in the world, but also within the advanced countries. This continuing trend in not accidental but is driven by the wealthiest families on the planet. These secretive families, referred to as the High Cabal by their agent Winston Churchill, aim at bringing mankind to its knees by increasing economic hardship for the masses. 

The goal of these families is the elimination of nation states as well as all the great religions, and their replacement by a Satanic One World dictatorship with a much reduced global population. As the former Russian military intelligence officer Col. Vladimir Kvachkov recently said, the Covid pandemic was “planned depopulation”. Most of these families remain anonymous by design and form the core of various secret societies that infest and dominate this planet.

In the first phase of their quest for a global dictatorship these families destroyed religious sentiments by promoting religious and sectarian wars, by capturing academic institutions and promoting “rationality” while denigrating religion, by promoting “nationalism”, by instigating “revolutions”, and by penetrating the Church. In the next phase they manipulated perpetual wars between nation states and got them into debt bondage by funding both sides in a conflict. The peak of these wars were the two planned World Wars. It was during WWI that President Wilson, the stooge of four men, three of whom were committed Jewish Zionists, and the fourth one was a Rothschild agent, announced the commitment of the US to a World Order. This World Order was a major reason for the instigation of WWI. 

In 1913, prior to the outbreak of WWI, these secretive Satanic banking families, managed the passage of the Federal Reserve Act, through which these families, who came to own the US Federal Reserve, usurped from the US government the power to print dollars. From then onwards the Federal Reserve prints dollar and, apart from charging for the printing costs, it lends these dollars to the US government at a slight interest. Every dollar carries with it a slight interest and thus brings in billions of dollars in interest to the families who own the Federal Reserve. The families do not do an iota of work to earn this usurious income and this has gone on for the last 110 years!

Before WWII broke out, FDR’s confidante, the homosexual Jewish banker and US ambassador to France, William Bullitt, told the Polish diplomat Jerzy Potocki (in November 1938) that a war lasting six years will erupt in Europe. In February 1939 he told the Polish ambassador to France Juliusz Lukaseiwicz that should war break out, the US will not join it initially, but will enter the war to end it. Obviously the war, the timing of US entry in the war, its duration and goals had been planned and thoroughly discussed well in advance by the bankers who controlled President Roosevelt. WWII erupted in September 1939 and lasted six years, as predicted by Bullitt, ending in 1945. And the US joined the war in December 1942.

It was clear after the entry of the US in the war that Germany and Japan would not be able to sustain the war in view of their limited resources in comparison with the US and its allies the Soviet Union, Imperial Britain and others. Both world wars had been planned by the High Cabal, the secretive clique of international banking families with the object of moving towards a global empire. Their plan was most clearly revealed by Professor Carroll Quigley, who had been given access to secret papers of the Rhodes-Milner Group which had, under Rothschild wing, planned WWI and WWII. We have quoted him at the opening of this article. In fact, Quigley was also the first person to reveal the existence of the secret Rhodes-Milner group.

Once the US entered the war, the international banking families moved quickly to set up financial and political structures that would permit them to control nation states through global organizations like the IMF and the UN. Therefore, in July 1944, while the war was still far from ended, the United States invited delegations from 44 countries to a ski resort, Bretton Woods, in New Hampshire. The delegates met for three weeks at the sumptuous Mount Washington Hotel to discuss the outlines of a new economic order that would result from the expected Allied victory, a victory made possible by the US entry into the war. The bankers could not wait for the war to end but wanted to settle matters as per their desire so that as soon as the war ended the new order would immediately kick in.

The two world wars had brought Britain under heavy debt. And the overseas British colonies also began clamoring for independence. The writing was on the wall – Britain was no longer the preeminent global power. But Britain probably did not expect what happened at Bretton Woods. John Maynard Keynes represented the British at Bretton Woods whereas Harry Dexter White led the US delegation. It was Harry Dexter White who dominated at Bretton Woods and secured an agreement whereby the dollar would be the only international currency. He is regarded as the architect of the IMF and the World Bank.

The most astonishing thing about White was revealed by Douglas Reed. He wrote: “According to American newspapers, no birth certificates of any man called Harry Dexter White exist and none knows who he was.”  Reed completed his very thorough book in 1956 and what he has stated is based on what the US papers had reported. It is fascinating that the Wikipedia article on him mentions that he was the son of Jewish Lithuanian immigrants and that he was born in Boston in 1892, and studied at Columbia, Stanford and Harvard Universities and died at age 55 in 1948. Why then, until 1956 at least, nobody had uncovered any birth certificates of Harry Dexter White?

The High Cabal produces mysterious men out of nowhere who carry out their agenda. The Protocols of the Learned Elders of Zion state [Protocol 2(2)]: “The administrators, whom we shall choose from among the public, with strict regard to their capacities for servile obedience, will not be persons trained in the arts of government, and will therefore easily become pawns in our game in the hands of men of learning and genius who will be their advisers, specialists bred and reared from early childhood to rule the affairs of the whole world.” Harry Dexter White was one of President Roosevelt’s numerous ZionistJewish “advisers”.

Ernest Wolf describes the outcome at Bretton Woods in the following words: “The ‘White Plan’ conceptualized a world currency system never before seen in the history of money.  The US dollar was to constitute its sole center and was to be pegged to all other currencies at a fixed exchange rate while its exchange relation to gold was to be set at $35 per ounce of fine gold. The plan was supplemented by US demands for the establishment of several international organizations designed to monitor the new system and stabilize it by granting loans to countries facing balance of payment problems.” One may note that the right to print dollars lay, not with the US government, but with the private entity, the US Federal Reserve, which was owned by a few international banking families - these families are the core of the High Cabal.

The two international organizations set up at Bretton Woods were the IMF and the World Bank - the latter, at the time, was called IBRD (International Bank for Reconstruction and Development). The structure of the organizations was such that the US controlled them completely. The voting rights were not equally allocated. Nor were the voting rights allocated according to the size of the population of member states. The voting rights were assigned according to the contribution paid by the members. Since the US paid most of the money on account of its financial superiority, it held absolute sway in the IMF and the World Bank.

It is significant that apartheid South Africa was also an important founding member of the IMF and the World Bank. By pegging all currencies to the dollar, Washington was able to deprive all other countries at Bretton Woods, from the right to control their own monetary policy. This is what the international banking families, which controlled the US government absolutely, desired. The effect was a curtailment of the sovereignty of nation states.

Since the goals of IMF were at odds with what Americans understood about democracy and the spirit of the US constitution, a propaganda campaign was launched whereby the real purposes of the IMF and the World Bank were concealed and, instead, rhetoric about “free trade” and an end to “protectionism” pervaded the press. Wolf states that the New York Herald-Tribune spoke of the “most high-powered propaganda campaign in the history of the country.”

Harry Dexter White had, very cleverly, incorporated long-term “monitoring” into the functions of the IMF in the interest of “protecting” the system. This meant that the US, and in fact the bankers behind the entire scheme, had acquired the right to be permanently informed of the financial and economic situation of the countries involved! The countries no longer were sovereign – the US and the bankers behind them could then dictate their terms to the countries involved. 

In order to deceive the world, the practice of appointing a non-American as the head of IMF was adopted. Camille Gutt of Belgium was the first non-American to head the IMF. He assumed charge in 1946 and continued till 1951. The second IMF chief was a Swede named Ivan Rooth. He was former Director of BIS at Basle. It was Rooth who introduced “conditionality” in the IMF loan policy. The granting of loans was made conditional to certain obligatory requirements. Harry Dexter White had proposed conditionality at Bretton Woods but, owing to very strong British opposition, could not succeed in getting it approved. However, the 1956 Suez crisis, and the freeing of various colonies after the war had weakened Britain considerably. Thus “conditionality” went far beyond the original loan grant requirements viz. duration of loan, deadlines for repayment, and interest rates.

From 1958 onwards the IMF required a so-called letter of intent from the loan seeking government. The government had to express an intention to take “reasonable steps” to meet its balance of payment problem. Who will interpret “reasonable steps” and how? The interpretation will come from the IMF. This also gave the impression that the loans were being given on the request of the concerned government. As a next step the loans were to be released in tranches, depending on the extent of submissiveness of the government. For example, the loan of $3b, for which the PDM government begged the IMF, is to be released in three instalments, and one of the conditions is the holding of elections.

In addition to the foregoing the IMF insists that the agreement between it and the debtor government will not be treated as an international agreement. Therefore, parliamentary approval is generally not required. This helps maintain secrecy, something which is a part of the policy and strategy of those who created the IMF. Further, if it is not an international agreement the IMF cannot be sued in any international court. The IMF insists and has been doing so for over half a century, that its agreements with any debtor government be treated as classified information. This way the details of the agreement are hidden form the public eye and public outcry, discouraging the government from accepting humiliating conditions, or further loans, can be avoided.

The use of language intended to deceive is a hallmark of the international bankers and their institutions such as the IMF and the World Bank. In 1979, the IMF introduced SAPs (Structural Adjustment Programs) which went beyond conditionality, enhancing the opportunities for international finance to plunder and bankrupt poor or developing countries. It introduced “liberalization, deregulation, stabilization and privatization.” It enforced, among other things “devaluation of national currency to enhance competitiveness” (What? How often have we heard this “bs” in the context of Pakistan?).  It required, as stated by Ernst Wolf, “Restricting domestic lending by raising interest rates” – this prevents people from borrowing money to do business (our IMF controlled and IMF backed State Bank, infested with IMF agents, currently has interest rates at 22%). Further, the IMF requires privatization of state-owned assets and enterprises (this has been repeatedly done in Pakistan). It also requires removing conditions on foreign investments.

All these requirements of IMF have only one consequence for the common man – the skyrocketing of prices and the ensuing pain and hardship. We are witnessing these in Pakistan and this is an ongoing process which will, most probably, not at all be easy to arrest. It is instructive to read how the IMF destroyed the Soviet Union and then Russia. But there is hope for Pakistan because Russia has been able to get out the debt trap. Ernst Wolf has provided data on what happened to the Soviet Union, and subsequently Russia, when the mentally unstable Boris Yeltsin took charge. 

In 1991 the power of Yeltsin grew rapidly after a failed coup against Gorbachev. The IMF then demanded that the Soviet Union repay all its debts in one go and for that end it demanded that the Soviet Republics end all subsidies on agriculture and industry and cut down the defense budget drastically. It was as a result of this demand that Yeltsin appointed on March 12, 1992, a new PM named Yegor Gaidor who had converted to the neoliberal economics of Milton Friedman. He could have been a mole in the Soviet system who revealed his true thinking once he had the opportunity. He introduced the “shock therapy” treatment for the Soviet economy.

Gaidor implemented the IMF instructions with the result that within a year industrial production fell by 8% and the GDP by 17%, and imports from satellite states fell by 63%. A bad harvest and food rationing ended Gorbachev’s career who resigned on Dec 25, 1991 and by December 31, 1991 the Soviet Union had ceased to exist. The IMF had achieved its first major objective. But what subsequently happened to the Russian economy is heart-breaking and provokes deep anger. IMF appointed neo-liberal economist Augusto Lopez Carlos as its representative in Russia. He urged a transition from “totalitarianism to democracy” in a 1994 lecture. What an attractive phrase but with devastating consequences.

Ernst Wolf writes in his book on the IMF, “Pillaging the World”: “Within the first year of shock therapy, the process of basic foods – which had until then been subsidized – skyrocketed. The price of eggs increased by 1,900%, that of bread by 4,300% and that of milk by 4,800%. Over the next four years, Russian GDP fell by an average of 42%, industrial production fell by 32%. Due to the IMF reluctance to lend, the Russian government ordered its own Central Bank to resort to the printing press. This in turn fueled hyperinflation to a level of 1,000%, wiped out the savings of the working people and pushed an even greater number of them below the poverty line.” 

Finally, the oligarchs that came to the fore as a result of IMF policies plundered Russia robbing it of an estimated $200-$500 billion. Some of the oligarchs were ex government officials. Were they moles too? This was the wealth that was transferred outside Russia impoverishing her further and increasing her dependence on international lending agencies. The late Michael Ruppert had pointed out that this plunder was carried out also because the US wanted to weaken Russia to such an extent that when it invaded Afghanistan, the Russians would be so weak economically that they would not be able to respond. The war in Afghanistan had been planned at least four years in advance of the 2001 invasion.

The bankers and the US et al hate Putin because he managed to pull Russia out of this hopeless situation and revived it as a power to be reckoned with. To quote Wolff: “Despite all assertions to the contrary, the IMF (as well as Western governments) never intended to ‘democratize’ Russia or help the Russian people attain greater prosperity and more freedoms. The exclusive objective of the IMF’s policy was to break down all barriers for international finance capital and provide it with the opportunity of seizing the country’s wealth, of exploiting cheap labor and creating ideal conditions for global financial institutions to rake in millions and billions by means of currency speculation, lending and short-term investments.”

There is some hope for Pakistan in the Russian example. But that would require quiet integrity, deep comprehension, determination, and spine on the part of real controllers of the country. That is not an impossibility. The bankers are also unhappy because Putin’s Russia is a Christian Russia and not a Satanic state as planned by the Satanic High Cabal. The US attitude towards a Christian Russia is dictated entirely by Satanic bankers and the US ruling Elite is Masonic and Satanic. We have quoted the Russian example in some detail because there is some hope for Pakistan in the Russian example. 

While the IMF, and to some extent the US, draws the criticism for what the IMF does, the real operators, the secretive Satanic bankers, the High Cabal, remains completely shelved by design. Professor James Petras correctly points out: “The IMF assumes the burden of doing all the dirty work through its intervention. This includes the usurpation of sovereignty, the demand for privatization and reduction of social expenditures, salaries, wages and pensions, as well as ensuring the priority of debt payments. The IMF acts as the ‘blind’ for the big banks by deflecting political critics and social unrest.” By forcing the state to privatize its assets which are then purchased, many a time by multinationals or foreign entities tied to the bankers, the IMF deprives the governments of precious assets and makes it poorer. 

What kind of individuals head the IMF? Professor James Petras calls them a “Rogue’s Gallery: Crooks, Rapists and Swindlers.” Christine Lagarde was the Managing Director of IMF from 2011-2019 and visited Pakistan when Imran Khan was the Prime Minster. In December 2016, she was found guilty in a criminal case in France while she was still head of IMF. She had, as the French Finance Minister, improperly paid 400 million euros to a French business tycoon, a friend of the French PM Sarkozy, who is himself a known agent of the international banking families. In order to avoid a crisis at the IMF (!), the court did not impose a penalty even though the court could have awarded her a year’s imprisonment and 13,000 Euros as fine.

Lagarde’s predecessor at the IMF, Dominique Straus-Kahn (2007-2011) had to resign on charges of raping a chamber maid in a New York hotel. Subsequently he was arrested and tried in Lille, France, for pimping. His predecessor was a Spanish banker named Rodrigo Rato who headed the IMF from 2004-2007. He was arrested and charged with tax evasion – he had concealed 27 million euros in seventy overseas banks. He had also swindled about 200,000 small-scale savers who had put their money in a Spanish bank named Bankia which went bankrupt and had to be revived in 2012 at huge public expense. Rato was sentenced to four-and-a-half years in jail by a Spanish court in 2016 for embezzling money from two banks that he used to run.

Rato’s predecessor was a German named Horst Kohler (200-2004). He had to resign after he openly stated that military intervention was needed to defend Germany’s economic interests! For an IMF chief to state such a thing explicitly was most undiplomatic. Kohler was preceded by Michel Camdessus who was MD IMF from 1987-2000. He was the longest serving Director of the IMF. He wrote the “Washington Consensus”. This book, according to James Petras, was “the doctrine that underwrote the global neo-liberal counter-revolution. His term of office witnessed his embrace and financing of some of the worst dictators of the time, including his own photo-ops with Indonesian strongman and mass murderer, General Suharto.” Suharto was one of the most corrupt dictators in world who sold the gold of Indonesia to a US corporation.  According to the Time magazine the wealth accumulated by the Suharto family was $73.24 billion.

While we described the Russian case at some length the story is the same worldwide. The destructive hand of the IMF can be seen in every major crisis of the world in the past many decades. IMF was responsible for the Latin American debt crisis. It ruined Chile. It successfully enforced the bankruptcy of Argentina, the largest ever bankruptcy. Yugoslavia was another victim of IMF. To quote Wolff: “In the 1980s and 1990s, the IMF contributed significantly to the impoverishment of a people of 24 million, helped break up a multi-ethnic state and thereby created the conditions for the bloodiest conflict on European soil since World War II.” Iceland’s banking crash of 2008 was another IMF achievement! In Ireland the IMF managed to cause immense poverty. It made Greece hungry and it plundered Cyprus. Sri Lanka defaulted very recently and Pakistan is in dire circumstances. Chile and Venezuela are facing the consequence of US and IMF policies. Potentially rich African countries like Nigeria have become paupers, thanks to the IMF.

The true story behind South Africa’s problems has been revealed by Ernst Wolff. South Africa gradually fell in turmoil as the black population became increasingly restless and demanded an end to apartheid rule. In the 1970s bloody clashes and uprisings became frequent. The South African regime met these protests with brute force and the world reacted with revulsion at some of these bloody suppressions. In order to safeguard its own corporate interests, the US changed course and was behind highly secret negotiations that took place between certain industrialists and exiled leaders of Mandela’s ANC (African National Congress) in 1985. Mandela had been sentenced to life imprisonment in 1964. 

The most important secret meeting took place between Nelson Mandela, President Pieter Botha and the South African intelligence chief Neil Barnard. The meeting took place in a prison in the suburbs of Cape Town. Botha made an offer to Mandela: if Mandela were to encourage ANC to renounce violence and to give up the “demand for a state run economy and the partial collectivization of monopolistic enterprises, banks and natural resources – as laid down in the ANC’s Freedom Charter – and above all to recognize all foreign debts of the apartheid regime” the government could consider lifting the ban on ANC and freeing him.

The apartheid regime would have collapsed in view of the growing popularity of the ANC and the growing sentiment against apartheid. Unfortunately, Mandela and his other party leaders accepted these demands without sharing it with the black population. Mandela was released in 1990. From 1990-94 Mandela and his team “bent over backwards to prove their reliability to the old regime, the IMF and the World Bank.” When the government introduced a 10% value added tax as required by the IMF, the blacks were furious. The compromised ANC and COSATU (Confederation of South African Trade Unions) immediately jumped in the arena and a two-day countrywide strike of the 3.5 million blacks was staged. Then they waited a few weeks without doing anything and, since the steam had been let off, the law was passed!  

The ANC had already renamed the “Department of Economic Planning” calling it “Department of Economic Policy” instead. Further the original ANC program of reallocating 30% of the large land holdings was dropped in compliance with the IMF demands and renamed “market oriented land reform”! The new policy covered less than 1% of the large land holdings! Then, before the 1994 elections, instead of shunting out the white racist minority which had brutally suppressed the blacks for decades, ANC inducted them as partners and in return also accepted a $850 million IMF loan. 

All the revolutionary plans and policies were given up quietly and gradually. A law against usury that provided for 32% ceiling on interest rates was also abolished. The usurious bankers had defeated the revolutionary Mandela et al quietly and comprehensively through the IMF. The woes of black South African population till today stem from these and similar betrayals by the ANC under Mandela. The real reason for Western adulation of Mandela lies in the fact that he had compromised and allowed the IMF of the bankers to prevail. When he died, the convicted criminal MD of IMF Christine Lagarde paid him the following tribute: “Nelson Mandela was a courageous and visionary leader . . .The extraordinary global reach of Mandela’s admirers is testimony to his profound contribution to making South Africa and the world a better place.” A better place for the God forsaken international bankers! That is why the Western media has built Mandela.

The “liberal” and deregulatory” policies of the IMF have produced a situation where CEOs of corporations have obscene salaries. In 2022 the CEO of Tesla (Elon Musk) had an annual salary of $23.5 billion, the CEO of Apple, Tim Cook, had an annual salary of $99.4 million and Satya Nadella, CEO of Microsoft has an annual salary of 54.9 million US$. But the wealth of these individuals pales into insignificance before the trillionaires of the High Cabal, who created the IMF, the World Bank, the UN, the BIS, etc. for control of the entire global population and all global resources. The masses worldwide toil day and night, and yet do not, in most cases, get two square meals a day.

The views expressed by the writer and the reader comments do not necassarily reflect the views and policies of DailyPakistan.