Ecuador defaults on foreign debt

8 posts / 0 new
Last post
Feanor's picture
Feanor
Status: Member (Offline)
Joined: Dec 13 2008
Posts: 5
Ecuador defaults on foreign debt

So, any opinions on equadors foreign default? It seems like they are defaulting just because they view the terms of the debt unfair? Is this setting an example for other debt-ridden third world countries?

http://news.bbc.co.uk/2/hi/business/7780984.stm

 

Ecuador is to default officially on billions of
dollars of foreign debt it considers "illegitimate", says President
Rafael Correa.

Mr Correa said he had given the order not to approve a debt
interest payment due on Monday, describing the international lenders as
"monsters".

The president said that some of Ecuador's $10bn debt was contracted illegally by a previous administration

 

 

joe2baba's picture
joe2baba
Status: Martenson Brigade Member (Offline)
Joined: Jun 17 2008
Posts: 807
Re: Ecuador defaults on foreign debt

i have an opinion.

virtually all loans to  foriegn  countries by the world bank/imf/ rockefeller chicago school of economics wrecking crew is designed to do one thing......................gain absolute control of a country so that the huge multinational corporations can have their way with the entire country........................that is rape and pillage......... the only question is which comes first.

unfortunately for mr.. correa he is likely to get blown up for looking after the interests of his people

ps. ecuador has oil in case you are wondering why we would waste time on a banana republic

krogoth's picture
krogoth
Status: Platinum Member (Offline)
Joined: Aug 18 2008
Posts: 576
Say goodbye to President Correa

Yes, sadly the people or leaders have a tendency to blow up after doing something like this. You know, most of my  life I have studied assassinations, removals or discrediting of leaders or officials, and the theories or so called factual evidence behind them. An alarming consistent fact is that they went up against currency or controllers of currencey in some fashion. It's really disturbing how common this is if you start to tie all this together throughout history.

WhoKnew's picture
WhoKnew
Status: Bronze Member (Offline)
Joined: Dec 11 2008
Posts: 41
Re: Ecuador defaults on foreign debt
joe2baba wrote:

i have an opinion.

virtually all loans to  foriegn  countries by the world bank/imf/ rockefeller chicago school of economics wrecking crew is designed to do one thing......................gain absolute control of a country so that the huge multinational corporations can have their way with the entire country........................that is rape and pillage......... the only question is which comes first.

unfortunately for mr.. correa he is likely to get blown up for looking after the interests of his people

ps. ecuador has oil in case you are wondering why we would waste time on a banana republic

 

Bingo !

kiwixport's picture
kiwixport
Status: Member (Offline)
Joined: Jul 18 2008
Posts: 10
Re: Ecuador defaults on foreign debt

Maybe someone should watch for news on this and then raise it if this is the case (that is the Equadorian President being removed or discredited in some way). Think of it as an imperical test, testing the theory put forward.

Krogoth, after been a bit of a voyuer to these forums for a while, I see you are fairly active. Would you mind pointing out to every one when this happens if it does with a gentle reminder??? Its good to come up with theories, its even better when you can point to events which back them up.

Im not taking the p*ss and at an intuitive level believe in the theory myself. It just needs to be rigourously tested, preferebly on recent and current events. 

If the theory of dissenters and reformers being removed holds true does anybody know why Hugo Chavez is still around??? What sort of leverage keeps him in place???

 Cheers.

 

krogoth's picture
krogoth
Status: Platinum Member (Offline)
Joined: Aug 18 2008
Posts: 576
Re: Ecuador defaults on foreign debt

I will collect some data I feel has a connection to assassinations or removals for you, but keep in mind this is my opinion. I am sure a lot of others on here will be commenting on who they think on what leaders they think were directly removed or killed based on money.

As for Chavez and Castro, they both have a great skill in giving the military under them very preferential treatment, including food, housing and benefits well over the average citizen. I think this was the secret for Castro's long reign of power and in the future will be the same for Hugo Chavez being that they are such close friends.

Rule number 1
If you want to stay in power, keep your military happy and close. That philosophy has work generally for every successful leader of any army in history.

 

 

joe2baba's picture
joe2baba
Status: Martenson Brigade Member (Offline)
Joined: Jun 17 2008
Posts: 807
Re: Ecuador defaults on foreign debt

Elections were held on April 29th, 1979 under a new Constitution. Jaime Roldós Aguilera
was elected President, garnering over one million votes, the most in
Ecuadorian history. He took office on Aug. 10 as the first
constitutionally elected President after nearly a decade of civilian
and military dictatorships. In 1980 he founded the Partido Pueblo, Cambio y Democracia (People, Change and Democracy Party) after withdrawing from the Partido Social Christiano (Social Christian Party) and governed until May 24, 1981, when he died along with his wife and the minister of defense, Marco Subia Martinez,
when his Air Force plane crashed in heavy rain near the Peruvian
border. To this day many Ecuadorians believe that he was assassinated,
given the multiple death threats levelled against him due to his
reformist agenda and the sometimes contradictory accounts of the
incident.

 

On January 9, 2000, the administration of President Jamil Mahuad announced its intention to adopt the U.S. dollar
as the official currency of Ecuador to address the ongoing economic
crisis. The formal adoption of the dollar as currency in January 2000,
as opposed to merely pegging the Ecuadorian sucre to the dollar as Argentina had done, theoretically meant that the benefits of seigniorage
would accrue to the U.S. economy. Subsequent protests related to the
economic and financial crises led to the removal of Mahuad from office
and the elevation of Vice President Gustavo Noboa to the presidency.

However, the Noboa government confirmed its commitment to dollarize
as the centerpiece of its economic recovery strategy. The government
also entered into negotiations with the International Monetary Fund
(IMF), culminating in the negotiation of a 12-month standby arrangement
with the Fund. Additional policy initiatives include efforts to reduce
the government's fiscal deficit and to implement structural reforms to
strengthen the banking system and regain access to private capital
markets.

see its like this. you get an imf loan you play by their rules. ie. strengthen the banking system..........sounds like henry paulson was in on that one. how many countries use the dollar as their national currency? my guess is that when the imf is run by china some countries will be using the yuan......................wait i am now channeling salvador allende................................ah there he is coming in now a little weak as he was murdered in 73 in a cia sponsored coup

"the lesser evil".

Allende's socialist beliefs and friendship with Cuban president Fidel Castro made him deeply unpopular within the administrations of successive U.S. presidents, from John F. Kennedy to Richard Nixon; they believed there was a danger of Chile becoming a communist state and joining the Soviet Union's sphere of influence. Allende however publicly condemned the Soviet invasion of Hungary (1956) and of Czechoslovakia (1968) and he later made Chile the first Government in continental America to recognize the People's Republic of China (1971).

Various U.S. corporations (including ITT, Anaconda and Kennecott) owned property and mineral rights in Chile. The Nixon administration feared that these companies might be nationalized
by a socialist government, and was openly hostile to Allende. During
Nixon's presidency, U.S. officials attempted to prevent Allende's
election by financing political parties aligned with opposition
candidate Jorge Alessandri and supporting strikes in the mining and transportation sectors.

i would just add that the major banks of wall street were involved very heavily as well. chile had nationalized healthcare and  a very good education system. there was a major problem with inflation which some surmise may have something to do wiht the american banking interests. previous to this high school students were given scholarships to the university of chicago school of economics. when the coup took place they were put in charge of the economy under general pinochet.

this was the start of the shock doctrine economics which devastated large areas of south america. 

the big o has received large capmpaign contributions from the u of chicago which was founded by the rockefellers.

one of his advisers on the budget is from the u of c.

you know i am beginning to see a pattern here ...............................what's up with chicago ?

now this is a short list of reasons to believe correa will be blown up. i couls come up with more but it is my daughters birthday and i have to go party with her,

i also understand that past performance is no guarantee of future returns but if i am correa i am having someone else start the car and i am not getting on a plane .......................maybe have an official taster as well.

 

 

joemanc's picture
joemanc
Status: Martenson Brigade Member (Offline)
Joined: Aug 16 2008
Posts: 834
Re: Ecuador defaults on foreign debt
joe2baba wrote:

i have an opinion.

virtually all loans to foriegn countries by the world bank/imf/ rockefeller chicago school of economics wrecking crew is designed to do one thing......................gain absolute control of a country so that the huge multinational corporations can have their way with the entire country........................that is rape and pillage......... the only question is which comes first.

 

This is dead on! I just read Economic Hit Man by John Perkins and he talks about Ecuador quite a bit. Yes, all loans made to these countries are made so that they can never be re-paid. And once they default, we go in as their "friends", you know, take their oil, build bases, etc.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Login or Register to post comments