What is the AIIB and is it important?

RAVEN POST 11

 “Silence in the face of evil is itself evil. God will not hold us guiltless. Not to speak is to speak. Not to act is to act”.   Dietrich Bonhoeffer

“Patriotism means standing by your country. It does not mean standing by your President or any other public official.” Teddy Roosevelt

“The end of democracy and the defeat of the American Revolution will occur when government falls into the hands of lending institutions and moneyed incorporations.” Thomas Jefferson 1825

Background

I got the idea for this “Raven Report” from James Corbett and his article in the International Forecaster March 25, 2015. His report, “What You Need To Know About China’s New Development Plan” was relevant to me because I just commented on the AIIB in my two-part new book soon to be published. More information is available daily.

• Who’s Next? – – – Analysis of 53 Mysterious Banker Deaths. Part I: Federal Reserve System Banks White Collar Crimes.
  

• What’s Next and How Much Booty Is It? – – – An Analysis of Federal Reserve System Banks Plundering in Port Usury (NY).  Part II: Federal Reserve System Banks White Collar Crimes.  

China today is at an interesting point in history. The 21^st century will go down as probably China’s century unless the United States becomes organized and puts a statesman in office in 2016. We have gone through a period of 24 some years of extremely weak presidents who are more interested in their personal glory and personal financial success than they were in the success of this nation. As strong contrast, we have China’s perspective

• The people feel that their natural place in history is to be the world leader.
• History to China is measured in thousands of years not hundreds.
• Today China is growing at 8% per annum and the United States, if you believe their statistics, is growing at 2%.
• China has $3 trillion in foreign reserves that can be spent anywhere. The U.S. is broke.
• China wants to be a world leader and take over leadership from the United States.
• China’s Yuan is now backed by gold but it is not announced yet. In China today, one can exchange gold for Yuan at any bank in China.
• My estimate is that China has accumulated somewhere between 30,000 and 60,000 tons of gold in its national coffers. Official numbers are misleading in this category.
• In a leadership position for the world, China would expect
  • The Yuan       to be considered a world currency in international transactions. Today, it does about 20% of the world’s transactions, whereas the dollar does about 80%. They would expect that that relationship to be reversed in the near future.
  • China should be considered the thought leaders and proponents of world progress for underdeveloped nations. They are concentrating on infrastructure.
  • China should be looked up to as helping people not destroying them.
  • China’s methods would be admired as builders and helpers not feared and distrusted as the American government has become.
  • China should become a leading member in the world’s national bodies such as the UN, the IMF and the World Bank or create their own independent of the West. The United States does not want them to be and will fight it.

 

With the situation as the above, China can wait and continue to perform until they are accepted or they can get aggressive and establish their own organizations in parallel to and in competition with the United States and the Federal Reserve’s financial bodies.   Apparently, they have decided to do the latter. As a result, they became the leader of the BRICS and established the BRICS development bank. In addition, they established parallel systems to everything that the Federal Reserve provides in the financial world. The BRICS are going to be successful but they are a specialty group of very important, countries. They are not the world. In order to create world leadership, China needed to create a world infrastructure development bank. One that is independent of the United States and its allies, be looked upon as China’s “baby”, be fair and impartial in its allocation and thus be a “breath of fresh air” in contrast to the IMF and its policies of taking advantage of Third World countries.

What Kind of Bank?

The AIIB is the Asian infrastructure investment bank, a development bank proposed by Xi Jinping, in a speech to the Indonesian Parliament in October 2013. He explained that he wanted to support the integration of economic development in the region. Therefore, he proposed an investment bank to provide financial support for that infrastructure development.

The bank was established October 24, 2014 in Beijing, where 21 founding members sign the bill. Initially the bank was capitalized at $50 billion-$100 billion.

Egypt could become one of the countries that it helps. China is in talks with Abdelfattah El-Sisi, the General, who is friendly toward the U.S. and educated in the U.S, who threw out Morsi and his Moslem brotherhood on June 30 2013.   Since then he has won the approval of his people and the enmity of Obama for being successful. He has vision and proposes to awaken Egypt and bring it into the modern world with infrastructure projects of about $200 to $300 billion. The first step would be to correct the 30 years of mismanagement by the IMF and World Bank controls placed on the country. Then get the funding for the Canal with bonds directly from the Egyptian people. This is done and it was oversubscribed.   The project list is long and they have started. The list includes the following projects.

• A new Suez Canal
• A new national capital 60 miles away from Cairo
• New nuclear, gas and coal plants for electricity along with the grid built by China
• New rail lines linking Egypt to the Eurasian Silk Road bridge of China.
• 4 million acres of desert converted to farmland.

 Who Are Its Members?

The initial founding members are China, India, Thailand, Malaysia, Singapore, the Philippines, Pakistan, Bangladesh, Brunei, Cambodia, Kazakhstan, Kuwait, Laos, Myanmar, Mongolia, Nepal, Oman, Qatar, Sri Lanka, Uzbekistan, and Vietnam. I point out and you should note that a number of these countries are very rich oil-producing countries in the Middle East. The money will be there.

Since the initial signing, 13 more countries have agreed to join. They are the UK, France, Germany, Italy, New Zealand, Australia, and South Korea and Taiwan are considering it. Note that this signing on is in direct contrast to America, suggesting strongly that they not join. Then something unique happened. Last week, the IMF, the World Bank and the Asian development Bank all came out in favor of the AIIB. With this much “egg on their face”, Washington finally recognized a true competitor to their IMF and Wall Street banks. And issued a statement saying

“The US would welcome new multilateral institutions that strengthen the international financial architecture.”

Before issuing that statement, Obama was slammed in the press.

“U.S. Allies lured by China’s Bank . . . and Obama has no coherent plan” NY Times March 20 2015

“Obama’s approach is mistaken both on policy and execution.” Wall Street Journal, March 18, 2015, Robert Zoellick, Former Secretary of State for George W. Bush

“The Administration has made a major mistake. Not just the refusal to take part in the bank, but the pressure on our allies not to take part was very short-sighted.” David Sedney, former State Department official, Washington Post, March 19 2015.

“Welcome Germany! Welcome France! Welcome Italy! So, Washington, What are you waiting for?” Xinhua – China’s official news agency, March 18.2015

“The IMF is proud to be a partner in China’s economic endeavors here at home [in China] and on the global stage.” Christine Lagaude, President of IMF, March 20 2014, China remarks

It is apparent that China has led what has become a new World Infrastructure Bank that is in direct competition to the IMF and Wall Street banks. However, the IMF management has changed and now they are in full agreement with China and not the U.S.   The differences are striking. China will not carry veto power. In contrast, to the United States that holds veto power in the IMF and the World Bank. The world is participating in this bank. In contrast to the IMF, which usually has friends of the United States. It concentrates on infrastructure that was off limits for the IMF. The goals are laudable. It remains to be seen whether the bank carries through to truly help the infrastructure in undeveloped countries. However, China has already demonstrated in the last few years, the willingness to not only do the work, but to fund the work in underdeveloped countries. Again, this is in sharp contrast to the United States results where the US is only interested in war and killing people that are their stated enemies. They are puppets of the military industrial complex and the financial banking complex of the Federal Reserve.

What Will The Bank Do?

As an infrastructure bank, the AIIB invests in projects to contribute to the economic development of the Asian region. A report issued in 2009 by the Asian development Bank estimates that between $8 and $13 trillion of investment is required over the next decade

The projects that are required in this region are many and will fall into the following categories:

• Electricity
• Access to clean water
• Sanitation facilities
• Transportation

Doing these things over the next 10 years would bring the Third World development countries into the modern world. In the process, their GDPs would soar and their standard of living would rise dramatically.

 Why is China doing it?

China is doing it because it is economically sound for China. China will use his excess foreign reserves in a manner that will help its neighbors, but give them the infrastructure to trade with China. This is how you build empire. In doing so, they will draw a strong contrast to the American Empire of war, destruction and killing over the last 70 years. This is positive – that was negative.

The AIIB is almost a perfect way to use China’s excess reserves, place it in world leadership position, contrast it strongly with the US military position and come out a winner economically, politically and socially. As a controlling and founding member of the AIIB, China will be in a position to influence investments that will help China. For instance, the completion of the Laos Kumming – Singapore railway that would enable trade between Laos and China.

Why is this Important?

It is important because China is perceived as a rising power, whereas the United States is perceived as a declining one.   Washington led organizations such as the IMF no longer reflects the true economic balance of power in the world. Thus, the US should be and is worried about international organizations that challenge their power such as the BRICS and AIIB.

At this point, there are three ways to look at this.

• WEST: The Western mainstream perspective of that the US is good and China is ominous and dangerous. China must be contained.
• REST OF WORLD: The US and its allies are the main force of death, destruction and infrastructure destruction in the world. The rise of China in the birth of an alternative is positive and cheered. Thus, any opposition to the NATO block controlled by the U.S. is to be cheered by the people of the world.
• CYNICAL PERSPECTIVE:  China was helped dramatically by the Western money powers. We
  • Put laws in place that helped outsourcing
  • Put laws in place the encouraged our international corporations to invest overseas keep profits overseas and pay no taxes on them ($3 trillion currently).
  • Put laws and regulations in place that restricted the U.S. Development
    1. No petro chemical plants in 34 years
    2. Restrictions on low cost nuclear
  • Restrictions on getting products to market – pipelines
  • Restrictions on resource recover by making national parks over major national resources.
  • Environmental restrictions that drove companies overseas – semiconductor plants – multiple billion dollar plants in China.
  • Put financial laws in place that helped the Federal Reserve and its banks at the expense of the electorate
    1. Repealed Glass Steagall Act
    2. Enacted the Dodd Frank Act – Too big to fail
  • Enacted Graham, Leach Bliley – Derivatives
  • Accepted G20 2010 Strategic Plan – Bail In

 

I could go on but let us look who benefits from China taking over leadership. The New World Order elitists benefit the most. First, the new world order elitists are transnational bankers. They and their transnational corporation friends want to control the world. To do this, they need

• A centralized government where the people obey or else.
• A communist country that believes in the state not God and does not have private property. Any private property is closely controlled by the state.

China provides this environment and not the U.S. In spite of their obvious efforts, the elitists cannot erase this country’s belief in God. The Judeo Christian ethic is too deeply embedded. Further, they believe in private property and do not like government encroachment into their lives. Therefore, the elitists must create an alternative. They have in China. It suits their purpose beautifully.   The communist party in China is becoming democratic and that means that money is what can influence those in power. Money wins over ideals. Thus, Jefferson’s prophecy, quoted above, has come to life.

On the other hand, being an optimist, there is hope. Hope that Chana’s intentions are honest. They have $3.8 trillion in reserves – U.S. dollars and other currencies – to be spent. They are taking leadership and it would be possible for them to throw out the old Khazarian bankers and start anew. I hope so but only time will tell.

Is there an answer for the U.S.? Of course. The public must become educated and one could start with an “audit of the FED”. Then new legislators and a president with a vision for the future would have to be elected   Finally, new laws like Glass Steagall would have to be put in place and Dodd Frank, Graham Leach Bliley and acceptance of the G20 2010 Strategic plan would have to be repealed. Possible yes but the probability is a big question mark.