Gonzalo Lira : commentary on the decree that Vladimir Putin signed as follows:
Executive Order on retaliatory special economic measures in connection with unfriendly actions of certain foreign states and international organisations
The President signed the Executive Order On Imposing Retaliatory Special Economic Measures in Connection with the Unfriendly Actions of Certain Foreign States and International Organisations.
This Executive Order was signed in order to protect the national interests of the Russian Federation in response to unfriendly actions, which contradict international law, undertaken by the US, and joined by other foreign states and international organisations, and aimed at illegally depriving the Russian Federation, its citizens and legal entities of their property rights and/or restricting their property rights.
The Presidential Executive Order says federal and regional government authorities, other government authorities, local self-government bodies, and organisations and individuals under the jurisdiction of the Russian Federation shall operate on the premise that special economic measures are to be applied to certain legal entities, individuals and organisations under their control, starting on the day the Executive Order comes into force.
The document introduces a ban on government authorities at all levels, as well as organisations and individuals under the jurisdiction of the Russian Federation, implementing agreements (including foreign trade contracts) with legal entities, individuals and organisations under their control that are subject to the special economic measures, and on executing obligations under existing agreements (including foreign trade contracts) to individuals under the sanctions where such obligations are not satisfied or are partially satisfied.
The Executive Order also bans conducting financial operations whose beneficiaries are individuals under sanctions.
In addition, the document imposes a ban on exporting products or raw materials manufactured or extracted in Russia when they are delivered to individuals under sanctions, or by individuals under sanctions to other individuals.
The Government has been instructed to approve the list of individuals under sanctions within ten days and define additional criteria for transactions whose implementation and obligations shall be banned under the Executive Order.
Good measure and the impact will be immense.
And Russian oligarchs are wing clipped. A good starting point to rebuild/restructure trade.
Hopefully the large number of russian citizens who lost their jobs at foreign owned companies will be absorbed elsewhere. Several friends with qualified engineering jobs have received the pink slip.
Sadly some corruption will most likely ensue and trade will take place through “intermediaries”. Keep an eye on those so called friendly nations because that is where reverse trade will happen.
Btw, did I correctly understand that Poland receives reverse gas flows from Germany?
“Btw, did I correctly understand that Poland receives reverse gas flows from Germany?”
At least for now, that seems to be the case.
Poland hasn’t been receiving gas from Russia since the middle of last year, as Poland didn’t agree to extend the contract with Gazprom. But, it was buying the same Russian gas from Germany, that is, by siphoning off the gas transited to Germany through Jamal-Europa pipeline and paying for that to Germany — the so-called reverse buying. On 27th April, gas flow through that pipeline stopped. Now, Germany gets gas only through Nord Stream 1, and Germany pumps the same Russian gas to Poland. In a way, Poland doesn’t buy gas from Russia. Funny!
Russia said that it will penalize any country providing other countries with reverse flows. The message: if Germany reverse flows “X” gas to Poland … then Russia will penalize Germany “X” gas from the gas flows on Germany’s contract.
But there is a bigger issue. Russia is in a dilemma. Right now, EU gas purchases are bankrolling Russia’s attack on Ukraine. The EU is perhaps sending “millions” to Ukraine to impede Russia’s “Special Military Operation”, but at the same time it is sending “billions” to Russia to finance the SMO. This doesn’t sound very bright on the part of the EU.
All of the “cards” are held by Russia. Russia can “checkmate” the EU and United States at any time it chooses. Russia can wreak economic destruction on Germany and other unfriendly EU statelets tomorrow by turning off the gas. Russia will lose revenue in the short term … but in the long term “oil is oil and gas is gas”. Short of a global world war, Russia will always be able to sell its oil and gas to SOMEONE SOMEWHERE. On the other hand, the EU has no alternatives to Russian gas to keep its economy afloat and citizens fed and warm.
I hope that Putin has the guts to call “checkmate” by announcing that, starting tomorrow, all “unfriendly states” in Europe will no longer get Russian gas. THAT will get their attention! I’m sure the “woke” leadership of Germany and the EU will protest, “YOU CAN’T DO THAT … WE HAVE CONTRACTS!!!”
But the EU broke contracts when it sanctioned Russia. So, in a fair world, Russia likewise has the right to break contracts when it counter-sanctions the EU. With the exception of Hungary and Serbia, Western Europe will no longer receive the energy and raw materials necessary for its economies to survive or function. This could also mean that the EU can no longer afford to feed its 474 million citizens. GAME OVER!
European politicos need raise their heads out of the sand and put their “woke” politics aside to realize how the real world works. Their survival is at stake.
Better for Russia to continue trying to play the long game which is to wean the EU off US support. For Russia, defeating Europe is not the prize, defeating the US is the prize. As long as the US runs the global financial system, Russian is at very high risk.
It is clear that Europe is committing suicide. Which begs the question, who & why has brainwashed Europe into committing suicide? It’s amazing the citizens of the West do not put up any fight.
It’s not brainwashing, its brutal force of the USA and a fear.
All governments are fully aware of what they are doing their own nations.
Nuland said in 2014 ” FK the EU” – while the phrase was oriented at that time to EU opinion about the leadership of Ukraine and who picks the new ‘boy”…Yats
it was repeated recently by Nuland again – so the die is cast for the EU’s demise as a currency and economy with full acceptance by Scholtz / Macron / Brussels
only solution for German companies will be send manufacturing equipment / brand / know how to the far east.
For France and their shut down nuclear generating facilities they took them down due to immediate need for “maintenance” assuming that wasn’t a lie – on of the key process components is stainless steel tubing – all of which requires specialized certification.
Without- Nickel – there is no stainless steel made in Europe- all will be made in India / China / Russia – going forward. How does the Nuclear facilities come back up in France which has huge % of EU remaining electric capacity ????
To me, it seems that our continent is in a ‘fugue’-state, something like being hypnotized- collectively…
A great example in the news is the murderer who fled due to cooperation/ treason of this trusted prison blonde lady officer. The poor lady will face many years of incarceration when caught; but I doubt she will recall much of it (even when the escape attempt was well planned). Some psychopaths are known for their abilities to hypnotize and enslave people.
The whole tear jerking Ukraine hysteria seems similar. In the US, the same atmosphere was around just after 9/11 Very genuine emotions…
…Leading to more than 15 years of ugly wars…
Fear and money, corrupt government officials.
We are ruled by a compradore bourgeoisie which choosed to be ruled from Washington, as it was easier than following the fate of de Gaule.
They have a clientèle of high middle class people at all levels in the government, institutions and médias, keeping in check the people by broadcasting propaganda and denouncing as irréaliste, populist, fascist, “Islam-leftist” and others all opposing forces. They have the banks, the police and the secret services. Political parties whom might be slightly on the opposition to this dominance (like Le Pen) aré refused loans from banks in France. And trying to create a party in France is almost impossible. I know of two influencials youtubeurs dealing with politics in the media tried to participate to the European election, to contest this gabegie. They had honest chances to make something, along with other colleagues. They even wrote a book, “jusqu’ici tout ça très mal”. But there was a problem. To justify the finance and spending of their campaign, they had to create a bank account attached to their newborn party. They had the money, the motive, the expertise…. But no bank in France accepted to open an account for them. In the end they had to abandon.
The situation is such that you can’t even troll these bastards as they cut you even before you begin to try to mess up with them.
So much for “the rule of the people, by the people, for the people”, if the youth isn’t allowed to do a little trolling.
So yeah. It’s not that we don’t fight. It’s that those who are “awake”, free from propaganda, are not few, but can’t express themselves on mass media, and everything, from the media censored to the police to repress you, is in place to cut you down if you even try.
Look at the yellow jackets. They had on their back the police, the gendarmerie, the CRS, the secret services, the journalists treated them H24 as fascists, nazis, anti-semits, alt far right, puppets of Putin and all that is unholy. The demonstrations were infiltrated by militias of the power to burn, beat and provoque and in turn, justify the police violences. Thugs from all sides were let free if that meant they could beat yellow jackets. Benalla, one of the closest confidents if Macron, was among them, to make himself look like a police man and beat people in the street in daylight. And he went free for it. They were repressed with unlimited violence, beyond what was seen in France from at least half a century. Hell. Even military grade combat gas was used on them, for lacrymogène is forbidden by the Geneva convention which recognize it as such. And this shit contain poison (cyanure if I’m not wrong).
So you can’t even demonstrate peacefully.
I see things in the same light coming from Germany. The way the ‚authorities’ treated the groundswell resistance to the anti-democratic alleged health securing measures was equally mindboggling. The way this present unwanted colourful government was put together, led by complete ignorants chosen from the other side of gthe Atlantic. Long before that the peace movement was bought of and turned round so now there is hardly any relevant resistance left. The demise of the GDR, the Stasi hysteria, the demise of everything that once upon a time began as an effort to create Socialist statehood… They all cry out against Russia now. The Left has turned against its own former clientel. It will take a long time to undo the results of the brainwashing machinery. AN impoverished generation will have to learn from scrap again what struggling for your rights and for a more just society means. Greens are certainly no help.
You might be surprised that the majority of French citizens did vote against Macron. Are you not aware of the computer shenanigans on election night? There is no way Macron could win a legitimate election.
The citizens of the west will get a big shock when they awake from their slumber … but by then, a lot of their current leaders will have already left the scene in anticipation.
At least some people are thinking clearly over here in Germany and it is Sickergrube. Ukraine is poisoned and hopefully will die.
I’d explain my version of the “why”, which may lead to the who, when, what, etc., by itself
Since the 80s, the Collective West has been losing slowly but continuously many worldwide supremacies: First the industrial in the 70s 80s and 90s to the Eastern Tigers, then the commercial in the 00s and 10s to China, now the technological both on civilian and military fields to China and Russia, and there only remains the financial and cultural ones.
When the financial position becomes compromised (consequence of excessive indebtment and lack of competitiveness), the Western countries will have to run commercial surpluses in foreign currencies to be able to buy basic staples and services from abroad. They won’t be able to do so without a sharp decline in the living standards, and collapse is therefore inevitable if they are not able to magically “steer the wheel” 180º.
This shift in (the inevitable) direction cannot be performed smoothly and seamlessly. It should set (or reset) a new course in human history, by definition traumatically since the inertia of the current World situation doesn’t go spontaneously in the desired European way.
If the main (or only) tool remaining on the hands of the Western world is the control of the World financial system, they will use it to the fullest to provoke the change of action described above.
From the point of view of the financial “masters of the universe” (owners of the deep state and the mainstream Western politicians), it makes perfect sense: They were able to bring the USSR to its knees by manipulating the oil markets during the 80s with a barrel at a meager $10-$20 (which not only weakened the USSR but also Venezuela and Irak, prompting for the invasion of Kuwait years later and the Caracazo). “if it worked then, why not now?”. Now is different, but “when the only tool you have is a hammer, you start seeing every problem as a nail”.
Very well seen and said.We in the West are the new almost homeless.
Its worse than that.
You know what the Europeans will be saying? “We dont believe it”, “Its conspiracy theory”.
Prices are going straight up, gasolin and food, its written even in the news. But the Europeans dont and wont believe it.
I dont think even when the missiles begin to fly and they are walking around in sweaters, gasolin at $10/litre and empty shelves in the supermarket, they will still refuse to believe it. Its not true. A quick solution will arrive tomorrow.
Remember they have been living on QE and IMF the last 5 years, big new cars, new kitchens, new toys, new refugees to administrate and suck on the public coffers. The golden billion cant be wrong.
Although the full answer to your question is more complex and nuanced, the primary cause is that much of Europe are vassals to the United States, and ultimately follow their lead.
We are witnessing a major world paradigm shift. The US empire is on its last legs.
You don’t have to look far : Soros, Wolfowitz and Brzezinski back in the 90’s already were planning that war
Russia may well be autonomous, but they still need to sell their resources for currency and they are excluding a very large and wealthy bloc of consumers in Europe. This won’t be inconsequential to their own fate as Lira seems to suggest. Russia may sell to other buyers – but the Europeans can also source their needs from elsewhere too.
It will be interesting to revisit this in a year’s time. I don’t believe that most Europeans will go cold or hungry.
The Europeans are not going to go cold and hungry, but their lifestile and cost of lfe will suffer. It already does and they will respond to this in two ways – one, simple, which is the prevalent in the political and media milieu now : It is Russia’s fault, another, more broad: Whose fault is this after all?
” but they still need to sell their resources for currency”
A common myth. They don’t.
Currency isn’t a thing. Currency is a promise from the central bank backed by the government’s power to tax. And the Russians have their own version of that called the rouble.
Within the Rouble currency area the Duma is king, and they can maintain economic circulation within that area all on their own.
A nation exports solely to obtain needed imports. Its individual businesses that export for currency. Those have to be sacrificed to the greater good. Too many countries are in thrall to their exporters when there is no need.
Since Russia has no needed imports, it has no need to export.
‘Russia may well be autonomous, but they still need to sell their resources for currency and they are excluding a very large and wealthy bloc of consumers in Europe.’
They don’t need to, thats the definition of Autarky, that you don’t need to sell to others.
‘Russia may sell to other buyers – but the Europeans can also source their needs from elsewhere too.’
On the long term maybe, on the short term nope. You need time to do that, LNG Terminals need years to build, some experts say 4-5 years, they need more Cargo Ships for that which also need years to be build, the LNG is more expensive (some say 10x times more) than Natural Gas.
The other Nations with big Natural Resources already said they can’t do it, (Quatar, Venezuela, etc.), they need to raise their Production Capacities for that, new Refineries, new Mines, new Oil and Gas Fields, that also needs at least a couple of years. Russia in the meantime can sell to India and China. Some Experts say, China alone can Import 100% of the now Exports of Resources of Russia. You are right in the direction of Russia taking a hit, they sure are, but I don’t think its gonna be as hard as the EU or the US.
‘It will be interesting to revisit this in a year’s time. I don’t believe that most Europeans will go cold or hungry.’ Hard to predict, could be its going the way Gonzalo thinks it goes, the EU Politicians are really dumb. They already dug themselves in a hole the size of a giant Meteorit from out of space. With every statement they make, be it Oil, Gas, Wheat, all the other valuable Resources (Neon Gas, Nickel, etc), they disrupt the markets, send them flying into a sharp decline. One of those Bozos, Nehammer of Austria, said he thinks about taking the dip of the Gain some Companies made during the Pandemic and the Ukraine Crisis, the Austrian Stock Market went 10% down after those statements, thats how utterly stupid those people are.
I am living in Germany, they were already people who froze to death in the last couple of years, a couple of thousands every year. Pensions of Non-State-Employers are really low, there are a lot of people who are poor, the State Media lies about it, for example the Unemployment-Statistics, they are absolute garbage, they say 2.5 Million people are unemployed, the reality is 8-9 million. We will see, I also think more people are gonna freeze and be hungry the next years, hard to say if its like in the Weimar Republic.
Hungry and cold is a direct result of the cost of living which is a direct result of both inflation and scarcity.
Both can be sourced to the agenda of the elites controlling the US.
The self imposed overlords care nothing about the fate of the masses. Self-enrichment and serf subjugation and population control is how they play this game. They’re willing to sacrifice the Ukrainians. What’s so great about the Europeans? Nothing. They’re next.
Go along or get annihilated.
“When Orwell wrote /paraphrased/: “To speak the truth in times of universal deceit is a revolutionary act.”, it was not an encouragement. It was a warning.
Revolutionaries are shot on spot. No matter the government. The wise understand it. The unfortunate live it.” – random poster
“I am living in Germany, they were already people who froze to death in the last couple of years, a couple of thousands every year.”
Aren’t these mostly alcoholics/drunks who stay out in the cold at night and drink themselves into a stupor.
Nonsense. It’s begun already at the bottom end where child poverty is increasing exponentially. Homelessness and soup kitchens/food banks in supposedly affluent areas in US-UK. This is just the beginning and will spread upwards to the working and middle-classes who currently have trouble paying their energy bills or filling up their cars with diesel . You’re obviously clueless as to what’s happening at grass roots level. Expect summer riots in major European cities.
The idea that Europeans – that would include the UK – will not go cold or hungry is not congruent with facts on the ground.
Firstly, after four decades of falling real wages alongside rising profit levels and years of austerity, spending power across most of the populace is not equipped to cope with the present and future price rises of food and energy.
In the UK alone the cap on domestic Gas and electricity prices increased by 52% on April 1st and is set to rise by a further 32% in October. This is beyond the capacity of most people to absorb. Creating an increasing situation in which hard and harsh choices have to be made between eating and heating for a rapidly increasing number of households.
A dilemma which is likely to be solved by the fact that this imposed burden on the part of virtue signalling UK/European and even US elites by buying energy on the spot market at vastly inflated prices rather than cheaper energy from Eurasia is already impacting on the ability to produce food.
https://www.zerohedge.com/commodities/uk-sleepwalking-food-crisis-fresh-produce-set-vanish-supermarkets
This [above] link published on zerohedge on April 1st details the warning by the UK Farmers Union that “soaring energy and fertilizer costs have led to an unprecedented situation where growers’ margins have collapsed, forcing many to halt growing operations.”
…..30,000 square meters of glasshouses at Green Acre Salads business, which supplies major supermarkets such as Tesco, Sainsbury’s, and Morrisons, are shuttered because costs outpace market prices. In fact, the farmer would be losing money if he were to grow.
Compared with this time last year, European gas prices are up a mindboggling 500%…..
….Fertilizer prices have tripled since last year, along with soaring prices for packaging, diesel, freight, labor, and everything related to running a grow operation…..
…..the Valley Growers Association, whose members produce about 75% of Britain’s cucumber and sweet pepper crop, said 90% of farmers didn’t plant in January. Others said they would not grow with elevated gas prices.
“There’s definitely going to be a lack of British produce in the supermarkets,” association secretary Lee Stiles said. “Whether there’s a lack of produce overall depends on where and how far away the retailers are prepared to source it from.”
The UK could increase imports of produce, but countries worldwide are implementing protectionism measures to keep farm goods domestically to mitigate shortages due to the Ukraine conflict disrupting the global food supply.”
When that works through the system there will at some point later this year be severe food shortages in supermarkets across Europe as everyone chases limited supply arising directly from the cost of energy to produce food and the rising cost of fertiliser. As demonstrated in this article from January 23rd relating to the impact on US production capacity:
http://themostimportantnews.com/archives/a-farming-insider-has-warned-me-that-the-coming-food-shortages-are-going-to-be-far-worse-than-we-are-being-told
Already, only a few weeks ago German consumers were faced with basic food price rises of between 25%-50% in a single day at the supermarket.
I could continue, but the evidence is already ‘on the ground’ and will be further exacerbated as this self inflicted energy and food crisis deepens.
There is every likelihood of there being more casualties across the UK and Europe [and possibly the USA] as a result of this than occurred under the Covid Pandemic.
The only good news I can think of is that while ever there are punters out there willing to publicly make such statements which are totally at variance with the facts on the ground reality at least the Ostrich will never become extinct.
Russia will continue to export but through intermediary countries. Sadly Switzerland is no longer neutral, it has sided with the beligerant, Ukraine.
The intermediary agent will add their margin and reroute the goods or resources to get to their final destination.
This will imply greater transport distances and using different shipping arrangements.
This is an excellent opportunity for corruption, kickbacks, and black market dealings. This is what corrupt politicians love in order to get a bigger share of the transactions in their pockets.
The prospects for Turkey and Serbia are improving the most in my opinion.
There is another thing here .. and this is simply breaking the sanctions system. There is no-one that can police it really, excepting nabbing some big name here and there.
Lavrov, at his last visit to China, bellowed this out. Iran and Russia will break this system of sanctions.
Yes, I can’t understand why Switzerland would abandon its neutrality standard. Can you tell us why?
In our southern French agricultural town the stores haven’t seen any cooking oils for weeks now, except for Spanish olive oil at at least twice the price. This week we saw the last packs of flower sold and several other foodstuffs are getting less well supplied than before. The differences with what’s usual are quite visible.
OTOH, Russia has all the clients it needs in Asia and on other continents, and those not ‘unfriendly’ can pay with the normal currencies instead of rubles.
“they still need to sell their resources for currency ”
That is the racket the US set up in the Bretton Woods Agreements of 1944-5, and imported to the RF via the plebiscite of December 1993. That’s why Russian economists nationalists like Glazyev have been talking about the re-nationalization of the Ruble since then.
The minute it is politically possible to repudiate the Bretton-Woods-connected RF Central
Bank and to base the Ruble on locally-held gold and other Russian export commodities without instigating a constitutional crisis, Russians can tell the US Fed and all its vassal entities to take their OTA “currency” and stuff it.
If this is the long-awaited commodity cut-off from the West, this might be a major step in that direction.
The European vassals will use Hungary to buy those raw materials, or Iran, or Serbia, or Belarus. They will find the way.
They are already doing that, I don’t know about Hungary, but I know the US Sanctions on Russian Oil are already circumvented via other Companies and Countries. The Problem of course is, its gonna cost a lot more than before, if they are lucky just 5-10%, in many cases 10-20% and thats the difference between a Normality and sharp Inflation.
Russia is not the only country that can be a true autarky, USA +Canada has the same vast resources, human capital and power if they were not seized by… long list here. So is China to a less degree.
It is interesting that G.Lira focused on Russia-EU, but left USA out of this analysis, knowing well that EU is a occupied territory – militarily , politically, financially, culturally. Which answers not all, but most of the questions regarding the EU decisions.
The difference is industries to not appear overnight out of thin air. They appear over at least a decade, and they like to settle in “good and friendly business climates”, not depressions managed by lunatic despots in power.
The USA has spent decades making itself a consumer nation, and so has the majority of europe and the UK. Russia, china and indea meanwhile have been on the producer nation road for a long time.
This complete lack of preparedness by the west – fuck, call it self-sabotage outright – this inability to respond in time is all that’s needed for western economies to go into severe depression. Could they fix it 20 years from now? Sure, so did europe after WW2. But 20 years can be a long time, when people barely have enough patience for a 5 minute video.
“So is China to a less degree.”
China had a lot of starvation and poverty before it opened up to the west. I don’t think it can produce enough food for its huge population.
Any starvation China had was the result of western occupation and droughts and famine. Today China has enough wheat stored and food in abundance despite COVID lockdown.
China can get all it’s food and energy from reliable countries, and have the money to pay for it. Get your facts straight!
Europe faces mass shortages of everything coming very soon and talks about recession is putting it mildly. In fact it will be a Depression.
I now realize that Western media is the greatest tool that Zion USA has but it will only go so far. Take that garbage to buy groceries or to get gas, for that is what you have brought upon yourselves.
Having recently lived in China for several years, the abundance of year-round high quality food was amazing, and most of it locally sourced. It reached a point where the issue became food-waste, not food shortage, even though the Chinese eat basic noodles and rice 3 times a day, every day. Don’t worry; the CPC takes care of it’s own, and nobody there gives a shit what a foreigner thinks..
As a few posters have already stated, India, China and Asia are already set to buy as much Russian & Iranian gas & oil as is available, at higher prices, so no, Russia really doesn’t need the European market at all.. Why they torture themselves with the belligerent west is a mystery without a clue..
Nice summary, I remember that Bismarck also said that the Russians plan for everything, including going to the latrine, and that seems true as well if you’ve ever played chess with a Russian.
And they will totally annihilate you in a simple game of checkers.
International Convention against the Taking of Hostages:Kidnapping-for-ransom, or hostage-taking, is defined in the International Convention against the Taking of Hostages:
Any person who seizes or detains and threatens to kill, to injure or to continue to detain another person to compel a third party, namely, a State, an international intergovernmental organization, a natural or juridical person, or a group of persons, to do or abstain from doing any act as an explicit or implicit condition for the release of hostages (article 1).
USA and EU leadership are aiding and abetting kidnapping for ransom by supplying weapons and giving direct orders to Azov Nazis. Like the hostages that were held by Al-Qaida, Abu Sayyaf Group, and Boko Haram the Azov Battalion is holding civilian hostages for ransom. The Azov Battalion is under the direct control of Zelensky, the Ukrainian military commanders, EU leadership thus under international law Ukrainian leadership as well as EU leadership are criminals and need to be placed on the Interpol list as their action is direct threat to the life of civilians held by the Azov battalion.
How does this affect gas or oil for rubles? Surely there is an exception for such trading?
Gonzalo has described the “unintended consequences” of the hybrid financial war between Russia and the West in no uncertain terms.
Russia and China have known for years the day would come when they would need to unleash a financial response to the degradation of the USD. It’s real and abusive power over the world was made possible by its often forced use as a world reserve currency. Coerced by military action, both real and threatened. Ironically, the US military budget was financed by the use of the USD.
Paying the US to bomb you is not going to happen now that Russia is in the vanguard of standing up to the Global Bully. Excellent news for eighty five percent of the global population!
Impressive articles have been published by “The Saker” which enunciate the events leading to a transfer of economic, monetary and financial power from West to East, centered in the Eurasian landmass. Russia and China are bound by self-preservation to resist the decaying West in its death throes, and in unison forge a new model of economic, monetary, and financial stability which may usher in a brief period where humanity can coexist in peace, equality, and cultural inclusiveness while we still have energy resources and a moral compass.
Hegemonic control by the US led West was always about control of resources, and the always-set-to-fail FIAT monetary experiment — made in USA — which really started when the US cut the last link to a claim on money, which is gold, using a derivative called the USD, thereafter using debt to finance endless wars. IOU’S in the form of sovereign bonds exchanged for Federal Reserve notes “printed” digitally to infinity have a real time expiry date. That day, 50 years in the making, has arrived.
The reason why both Russia and China haven’t instantly destroyed the Western financial system by declaring their real and undeclared gold reserves is obvious because they still depend on the West to buy their manufactured goods and commodities. But that time is fast approaching as the seizure of USD reserves held by Russia has put all holders of USD reserves on notice, hastening the death of the USD. That fact and the masterful move by Russia to demand payment for its exports of commodities in RUB.
When Russia and China begin to demand gold for their commodities and manufactured goods is when the USD has done its work to destroy the economy of the US and the economies of its vassal states in the West. Then the West will need Russia, China, the Eurasian Economic Cooperation Union members, and the Global South countries, to emerge from the ashes of defeat.
Russia cannot afford to lose this financial war, for its own sake. The assured support from China almost guarantees success — a success that the US, coercing the EU, and arming Ukraine, is desperate to extinguish — even if it means the people in those countries lose everything, including their lives.
The US is psychopathically addicted to slaughtering incalculable numbers of “sacrificial lambs” to achieve “full spectrum dominance” to enable the wealth of the world to fill their coffers, so their plutocratic class could survive unchallenged by the best democracy money could buy.
These plutocrats know the financial war on Russia is their last chance to maintain the status quo world order — it’s do or die.
As Alasdair Macleod wrote on 5 May 2022, “It is the financial war which is going ‘nuclear.’ Talk in the West of the military war escalating towards a physical nuclear war misses this point. China and Russia now realise they must protect themselves from the West’s looming currency and economic crisis as a matter of urgency. To fail to do so would simply ensure the crisis overwhelms them as well.”
China, and Russia, are acting with increasing urgency to distance themselves from the West’s impending currency, banking, and financial asset crisis.
https://www.goldmoney.com/research/goldmoney-insights/financial-war-takes-a-nasty-turn
As Bush said, who to call in Yurp?
Global NATO is now war-gaming MAD financial attacks on China, as applied to Russia.
The Atlantic Council let the cat out of the bag.
Hungary likens ban on Russian oil to nuke strike
https://www.rt.com/news/555067-hungary-russian-oil-ban-nuclear-bomb/
There is one EU country with no illusions.
Mr Lira laying it all out nice and simple so even a moron could understand it. Stupid is as stupid does. Not like it hasn’t been written on the wall from the beginning.
The reality of starvation and despair is a cruel teacher. Looks like serious interest is going to be taken in who actually represents our interests. Talk means little when you’re hungry. Didn’t have to be this way but like I said. Stupid is ……..
Well, isn’t that what make Mr Lira fun to listen too, KISS principle, works every time…..the way he flows through it, his experience at telling a ‘tale’ shines through.
Cheers M
The European people (who are neither holy nor innocent) will soon learn that all this evil comes from the Zionists who control the American government. They will suffer, of course, but at least they will identify the source of the evil. Perhaps this will lead to the true liberation of Europe from the Zionists… With the end of the unipolar world, it is likely that Zionism will be banished from the planet.
Eliminating usury would also have the same effect.
Isn’t this guy still on House Arrest or being Censor-Edited in UKR?
He has his Family in UKR whose lives he risked for his Live Shows.
He’s Compromised. Probably prudent to consider him Controlled.
BTW, Lira – Economist Steve Keen wants his Website back.
Controlled well maybe, but then again who isn’t.
Some people need to get over themselves……
Cheers M
Gonçalo is right, the EU is committing economic suicide and Europeans have already started to feel it in their pockets. But they will feel much more with inflation soaring and wages not keeping pace with inflation. All because of the rise in commodities. And there are many doubts whether the EU economy will be competitive again without Russian commodities. Which would cause unemployment and hunger. That when it becomes clear that the populations will demonstrate against what they are doing now, demanding more sanctions against Russia because of the propaganda.
And the question that matters is why is the EU committing suicide? In my opinion, because it is a vassal of the USA and you can even think that soon the world will live only with renewable energies?! What will not happen during the entire Sec. 21st century and even to store renewable energy, rare minerals from Russia are needed. Which today are already accurate in all technology. Which also gives a good idea of the economic backwardness that the EU is imposing on Europeans. And since I don’t believe it’s because the EU doesn’t understand why Russia entered Ukraine – Germany and France signed the Minsk accords – or because it thinks Russia wants to destroy European democracies, reason can only really be because almost 100 years after the At the end of World War II, Europe cannot stop being subaltern to the USA.
And that was clearly seen when Biden told Scholz in the White House press that he was destroying Nord Stream II. Where Germany has already spent millions of euros on its construction. And when Germany knows perfectly well that the US will never be able to export half of the gas they contracted to the EU. Europe needed strong leaders which it unfortunately does not have. To say to the US what some Europeans are already starting to shout: NATO GO HOME. And return the reserves to Russia. US$ 300 billion that it is also not clear how Russia let it slip away.
To me, it seems that our continent is in a ‘fugue’-state, something like being hypnotized- collectively…
A great example in the news is the murderer who fled due to cooperation/ treason of this trusted prison blonde lady officer. The poor lady will face many years of incarceration when caught; but I doubt she will recall much of it (even when the escape attempt was well planned). Some psychopaths are known for their abilities to hypnotize and enslave people.
The whole tear jerking Ukraine hysteria seems similar. In the US, the same atmosphere was around just after 9/11 Very genuine emotions…
…Leading to more than 15 years of ugly wars…
Lira overstates his case, but not fundamentally misleading. If the sanctions stay on forever price will adjust supply and the non Russian block will end up paying more for its resource use. In the short run some very serious shortages are likely because the system hasn’t had time to adjust.
How this turns out will depend on to what extent the different populations are willing to put up with a lower income. It would appear that Western Europe will be hit the hardest. Hubris I guess, they are too full of themselves to take into consideration the actual outcomes of their policy.
And by the way, if there is a genuine reduction in the world’s food supply, black Africa is likely to suffer the worst. Oh, they will blame Putin and all that, but the continent has been reproducing beyond its food supply for some time. European assistance and modern medicine have allowed the population to grow beyond what can be supported locally. A period of widespread starvation is baked in the cake, the only issue when will it happen.
To be honest I think he is wrong about food shortages, hunger, and rolling blackouts in Europe. Yes there will be bad inflation, but beyond that the Europeans will find alternative supply lines to compensate.
The Executive order states, amonst other things, this: “In addition, the document imposes a ban on exporting products or raw materials manufactured or extracted in Russia when they are delivered to individuals under sanctions, or by individuals under sanctions to other individuals.”
To my ears Gonzo made the raw material ban sound as if it applies to unfriendly countries wheras this paragraph specifically mentioned individuals. Supplying raw materials etc to individuals would not be as damaging to the EU as Gonzo would make it appear as there have not been many individuals sanctioned in the EU.
Cn anyone clear up my confusion (if it is confusion) over this?
Gonzalo has a unique ability to convey his message simply. That is hard to find nowadays. He is right, the west has totally did their ownselves in. In other words, they provided the noose for the Russians and they stuck their own necks into it and pulled the trapdoor lever themselves.
A very important Russian document that will take years to be fully functioning. No doubt.
We understand why Gonzalo centers his attention on how European citizens will be/ are being hit hard. (Our Italian friends are telling us that their latest gas costs, to heat their small homes have hit over 800 euros for two months worth. Ghastly!)
What Gonzalo shares is relevant news. No doubt However, the economist Dr. Michael Hudson, envisioned this weeks & weeks ago. He rightly stated how the US Financial/Propaganda Hegemony is behind ALL of these coming woes to Europe.
The US Financial power serves as a wedge between Europe and Russia. Why? Because the US KNOWS that IF Eurasia (Russia/China/India/etc.) becomes a fully integrated trade,monetary system, the US hegemony dies. Period.
Europe’s extreme wealth amongst a small population will not be hurt. As long as they continue to suck the tits from the US Financial Hegemony. Those fortunate few could care less if millions of Europeans die from hunger, cold and disease.
But Life is never a Black/White entity. As an example: consider the German industrial base. What will happen, when under further pressure, the US Hegemony imposes strict sanctions against German industrialist’s and their trade to China, elsewhere? Will the Germans allow that, or could this serve as a catalyst with Germany eventually severing ties with the US.
All food for thought.
The German state and Germans have been turned into a basket case.
You must know the NWO cabal is using Russia (as an excuse) to destroy and depopulate Europe, they aren’t dumb to pursue these sanctions, they want this to happen!!
I am a little confused over this decree, where it states…..
“The document introduces a ban on government authorities at all levels, as well as organisations and individuals under the jurisdiction of the Russian Federation, implementing agreements (including foreign trade contracts) with legal entities, individuals and organisations under their control that are subject to the special economic measures, and on executing obligations under existing agreements (including foreign trade contracts) to individuals under the sanctions where such obligations are not satisfied or are partially satisfied.
Where it states “executing obligations under existing agreements (including foreign trade contracts) does this mean Nord Stream 1, if so German would have no gas at all. Could anyone explain this very important point?
Thats because in the Eu the information war is to Russia’s disadvantage. I always thought the type of US media disinformation couldn’t happen on that scale here but I was wrong.
Two months of relentless propaganda has ensured that the whole nation is fully on this eu&US bandwagon.
Please remember that history should not be overlooked.
In the early 1940’s the United States threatened to cut off Japanese oil supplies.
And what happened?
I agree that the circumstances are different, however those USA neocon crazies seem to have endless control and influence on European governments, and could push them into war rather than the Europeans stepping back and rectifying their relationship with Russia.
Jesus, it finally hit.
Oh, no, this has all been a terrible misunderstanding! GThe JUS has been arming Russia, not Ukraine!
“On May 3, Biden gave a speech at a Lockheed Martin (LM) factory in Troy, Alabama. The president told LM employees “Before Russia attacked, we made sure Russia had Javelins and other weapons…”
Very good news for Portugal and Spain. Our energy market does not depend on gas, Portugal has a lor of renewables, and Spain also has some nuclear, and the little amount of gas we get comes from Algeria and Lybia through Morroco’s or Mediterranean’s streams.
That gas might become a little bit more expensive, but it will be compensated by the fees the Iberian Commons Market will charge to deliver some of it to Europe through France.
With the Euro currency weakening, our Iberian economies regain competitiveness, when compared to the struggle of the “strong” Euro years.
Our imports are reduced, our exports get the currency in a sweet spot to export, just like before our Euro mistake in 1999.
On the other hand, it’s bad for those still fueling their cars with oil, since it’s now much more exepensive.
But hey, the EU is paying for our energetic transition.
In terms of NATO expenses, we’re doing the bare minimum, at 1.5% GDP for Defense (and that’s a low percentage of even lower budgets in Euros… 1% is just 2 billion/year for Portugal, that’s barely enough to pay the MINIMUM wage for non special troops: around 700€/month). If we raise to 2%, it’ll be along the years, and most of that is just to renew old scrap or pay a little bit better than today to our “cannon fodder”.
That by the way will never set foot in any NATO war in any significant way. For example, the “effort” from Portugal to this “NATO more united than ever” to reinforce the Eastern front (Baltic) was an incredible amount of… *drums*… 28 soldiers. Hahahah
This reminds me of another news, about the “cripling sanctions” againt Russia’s oligarchs. Portugal froze a total of… *drums again*… 242 €uros. You read that right. That’ll show Putin! Now he no longer has money for an extra tire of a truck…
Another good thing is that “Mr Sarmat” is reserved for a nuclear attack on valuable targets, like the ones in USA. While other missile systems don’t have enough range to reach the Portugal or even Spain. But do the guys in Poland know where they are on the map? I think they forgot.
Also, in terms of agriculture and food resources, this blockade from Ukrainian and Russian cereals might be good for us. Due to stupid European “reform” we got paid in last decades to stop producing, so there’s a lot of land unused, and some of recent investments were on things that need a lot of water, and due to a faster warm up of Iberian Peninsula and more frequent and worse draughts, we’ll have to change that. So I’m already foreseeing: EU paying us to do the change we needed to do anyway, and paying us for the 2nd time to re-plant the terrains we were paid to stop planting, because this time Europe is starving.
And in the long run, maybe the Euro currency will weaken so much, that we’ll be able to EUROexit without any caos happening. Get back to our working currencies, regaining sovereigny, and saying: F*CK you Frankfurt (ECB headquarters).
It’s so good to have idiot “leaders” in Brussels, Berlin, and Paris. We suffered, we were the “PIIGS”, but now the wind is finally again in our favor. Thank you Russia. Thank you Kiev Banderistas/NeoNazis. Thank you USA, and thank you RAND corporation… We would never be able to slap Berlin in the snout on our own.
Interesting info. The whole economic system was skewed and possibly the south European countries will regain a bit of balance.
What one should be afraid off are the bases/replenishment nodes such as Rota in Spain, Crete, Southern Italy or Akrotiri/Dhekelia bases in Cyprus. If the conflict evolves from proxy to direct kinetics, these are the primary strategic targets (thus, one should move from there).
Thank You so much for your valuable assessment – and greetings to Portugal from Germany.
It counts down to one‘s own strength and with whom you are connected. As Russia will now turn away from Europe to whom they were reaching out (Germany in particular) in such an enduring way it will focus on its own strength and its relations to friendly states.
Those who are used to exercise power over others, including indirectly as willing vassals, are those countries that will wake up in a hard way as they are not used and not prepared to sustain themselves …
I guess the counter-sanctions will be revealed in details tomorrow and if a period of transition has been smartly included … the EU will even faster become a combat zone and in the end not much of its power and unity is left.
The leaders throughout the rest are so idiotic that they didn’t bother to see what Russia must import.
Because if they had, they would have realized that the only things that Russia imports are luxury goods and frivolities, and therefore, trying to harm Russia’s ability to conduct international trade is an exercise in futility.
Great video. Still, I would like to see in writing, an explanation as to why Euroweenie leaders and parliaments are willing to commit economic sucide just to support Uncle $hmuel. Are these so called “leaders” all on the payroll of the U$? That is the only explanation that I can come up with. The leaders and officials willing to sacrifice their economy are probably receiving untold wealth from the U$ taxpayers to implement the policies dictated to them by Uncle $hmuel. If I am wrong, please tell me.
And who is now going to be poor as rats soon? Americans US and Europeans! I couldn’t have asked my Brussels government to be better! and yet I am in their hands,so I am seriously thinking of picking my stuff and go and live in Nicaragua,where they really like me there!
Sad,but u are right.my foreign friends,also thinking to move somewhere to Latin countries and some italians moving to Russia.