Endless Entanglements The Evil Sisters (World Bank and IMF)

➡ Jim Pugh, through the Ministry of God as Government, discusses the history and implications of the World Bank and the International Monetary Fund (IMF). He highlights controversial statements by Lawrence H. Summers, former Chief Economist of the World Bank, about moving pollution to less developed countries. Pugh also explains the origins of these organizations, their roles in controlling international exchange rates and stabilizing currencies, and their influence on global wealth distribution. Lastly, he discusses the potential for a new global currency and the impact of these organizations on the U.S. economy and trade deficit.
➡ The World Bank and IMF, largely controlled by the U.S., provide loans to struggling countries with strict conditions attached. These conditions often require countries to sell off key assets and make drastic changes to their governments and economies. This has led to negative impacts, such as increased poverty and social unrest, in many countries. Critics argue that these organizations are part of a system that benefits the wealthy at the expense of the poor.

The following teaching is by Jim Pugh through the Ministry of God as Government. If you have never listened to one of our Bridge of Truth podcasts and wish to see all the topics taught through this Bridge of Truth ministry, please go to www.godisgovernment.com to find the inventory of Bridge of Truth podcasts. Now welcome Jim Pugh as he presents another historical study of truth from history, Bible scripture, or current events. Endless entanglements, The Evil Sisters, World Bank, and IMF. In an internal memo dated December 12, 1991, Lawrence H. Summers, Chief Economist of the World Bank, who later went on to become the U.S.

Treasury Secretary in the Clinton administration and President of Harvard University stated, just between you and me, shouldn’t the World Bank be encouraging more migration of the dirty industries to the LDCs, less developed countries? I think the economic logic behind dumping a load of toxic waste in the lowest wage countries is impeccable, and we should face up to that. I’ve always thought that under-populated countries in Africa are vastly under-polluted. Their air quality is probably vastly inefficiently low compared to Los Angeles or Mexico City. The concern over an agent that causes a one in a million change in the odds of prostate cancer is obviously going to much higher in a country where people survive to get prostate cancer than in a country where under five mortality is 200 per thousand.

The problem with the arguments against all of these proposals for more pollution in LDCs, intrinsic rights to certain goods, moral reasons, social concerns, lack of adequate markets, etc., could be turned around and used more or less effectively against every bank proposal for liberalization. In addition to the United Nations, the Council on Foreign Relations, through its War and Peace Studies project, also spawned the International Monetary Fund, IMF, and the World Bank. The articles of agreement for these organizations were drawn up at an international conference of 44 allied countries at the Mount Washington Hotel and Resort in Bretton Woods, New Hampshire.

The agreement which brought the two sisters to life was ratified on December 27, 1945. According to A.K. Chesterton, the World Bank and the IMF were not incubated by hard-pressed governments engaged in waging war, but a supranational money power which could afford to look ahead to the shaping of a post-war world that would serve its interests. The IMF, with headquarters in Washington, DC, was set up to control international exchange rates and to stabilize currencies. The funding for the organization was based on a quota system with the most industrialized countries, providing the greatest share of revenue.

But the lion’s share, over 20%, came from the United States since the currencies of other countries were not transferable into gold. FDR had confiscated the gold of the American citizenry and removed the nation from the gold standard, but everybody else in the world could still exchange their paper dollars for gold at a fixed price of $35 per ounce. The result of this arrangement was the ongoing transference of Americans’ wealth to overseas banks and the recognition of the dollar as the basis of the global economy. As long as the dollar remained redeemable in gold, the amount of currency that could be created by the money cartel in charge of the IMF remained limited.

John Maynard Keys, the leading British economist as the Bretton Woods Conference, recognized this problem as soon as the IMF was established. He wrote, I felt that the leading central bank would never voluntarily relinquish the then-existing forms of the gold standard, and I did not desire a catastrophe sufficiently violent to shake them off involuntarily. The only practical hope lay in a gradual evolution in the forms of a managed world currency, taking the existing gold standard as a starting point. The ultimate goal of the group who gathered at Bretton Woods was the creation of a world currency called the Bancor.

At the conference, Mariner Eccles, a governor of the Federal Reserve Board, noted, an international currency is synonymous with international government. But his act, which would have driven the final nail in United States coffin, proved to be even too radical for acceptance by the American dignitaries in attendance, including Harry Morgenthau, Jr. The plan to wean the world from gold came to fruition on August 15, 1971, when President Richard Nixon signed an executive order declaring that the United States no longer would redeem its paper dollars for gold. Nixon was acting on the advice of Secretary of State Henry Kissinger, a lifelong appendage of the Rockefeller interests and budget advisor George Shultz, later Secretary of State and Chairman of the vast Bechtel construction giant.

Thanks to Nixon’s executive order, the IMF now could function as the world’s central bank by providing an unlimited issue of its own fiat currency to member nations. This new money, based solely on the money cartel’s statement of its worth, was called a special drawing right, SDR. It operated, as economist Dennis Turner explains, in the following way. SDRs are turned into loans to third-world nations by the creation of checking accounts in the commercial or central banks of the members in the name of debtor governments. These bank accounts are created out of thin air.

The IMF creates dollars, francs, pounds, or other hard currencies and gives them to a third-world dictator, with inflation resulting in the country where the currency originated. Inflation is caused in the industrialized nations while wealth is transferred from the general public to the debtor nation, and the debtor nation doesn’t repay, but the sword is two-edged. Nations borrow SDRs primarily to pay interest on their mounting debts. This would be fine and dandy, save for the fact that the IMF charges interest on every SDR that it produces from its computer system. And so the loans, for the most part, do not serve to bolster failing economies.

They simply create a steady flow of wealth from borrowing nations to the money changers who control the IMF and are not subjected to any international supervision. The dollar served from the gold standard ceased to serve as the official IMF currency and was compelled to compete with other currencies, primarily the make and the yen, on its relative value to the countries. Over the decades, the dollar became increasingly discounted. Still in all, it remained a favored medium of exchange since America as a country remained wide open to foreign investors who could buy American real estate, American factories, and industrial plants.

American mining companies and shopping centers without the restrictions placed on such purchases by other nations. For this reason, the Federal Reserve continued to churn out massive amounts of fiat paper money since the demand for such dollars seemed to be endless. This situation permitted Americans to finance its enormous trade deficits with more and more money made out of nothing and allowed them to purchase cars, cell phones, computers, clothing, generic drugs, and 70-inch high-definition television sets at cut rate prices, while the foreign companies seemed to be discounted caused the time when foreign manufacturers no longer will accept dollars for their goods, and the Federal Reserve no longer will be able to finance its enormous trade deficit by churning out paper money.

At the end of 2016, the U.S. trade deficit stood at $502 billion. This prompted the following response from Chinese officials. The U.S. government has to come to terms with the painful fact that the good old days when it could just bore its way out of messes of its own making and finally gone. China, the sole superpower’s largest creditor, now has every right to demand that America address its structural debt problem and ensure the security of China’s dollar-denominated assets. The officials went on to demand that the Federal Reserve be placed under restraints and subjected to international monitoring.

International supervision over the issue of U.S. dollars should be introduced, and a new stable and secured global currency may also be an option to avert a catastrophe caused by any single country. While the IMF purportedly provides loans to stabilize economies, the World Bank, which was set up with funds from Morgan Stanley and First Boston, another J.P. Morgan facility, shelled out loans to war-ravaged and underdeveloped nations. Through the years, the majority of the presidents of the World Bank have come from the stables of the Council on Foreign Relations. Eugene Meyer, the first president of the World Bank, 1945, was a CRF official and the former chairman of the Federal Reserve.

He was succeeded by John J. McCloy, 1947 to 1949, who also served at the CRF chairman. All of these men had strong ties to Wall Street. McCloy was a partner of the Wall Street corporate law firm of Milbank, Tweed, Hope, Handley, and McCloy, which had long served the Rockefeller family and the Chase Bank as legal counsel. From there, he moved to become chairman of the board of the Chase Manhattan Bank, a director of the Rockefeller Foundation and of Rockefeller Center. Eugene Black, who replaced McCloy, was senior vice president at Chase Manhattan, and his son Bill was a Morgan Stanley executive.

The House of Morgan looked on the World Bank as its greatest creation. It represented the crystallization of the family’s efforts, beginning with the Pilgrim Society and the Federal Reserve to acquire, along with the Rothschilds and the Rockefellers, ultimate control over the world’s financial systems. The World Bank established its headquarters in Washington, D.C. Its membership consisted of the same 44 nations that belong to the IMF. Like its sister agency, it was controlled by $1 one vote rather than the one country one vote UN system. Since the United States provided nearly 20% of the money required to fund the World Bank, the New York bankers, Morgan, Rockefeller, and Kuhn Loeb gained a permanent place among the bank’s executive directors and the exclusive right to appoint the bank president.

Ostensibly, this Morgan creation was supposed to serve as the savior of mankind by enabling foreign governments to provide care for those most in need. The loans were provided on generous terms, usually at rates below market, and for durations as long as 50 years. The lion’s share of the cash, which amounted to $30 billion, came from the U.S. taxpayers. But there is a snare to the World Bank’s every transaction. The money, the IMF loans, is provided with very exacting conditions, known as Structural Adjustment Programs, SAPs. One SAP is the immediate reimbursement to the country’s agreement to sell off its key assets, including their water supply, their pipelines, and their power systems to buyers provided by the World Bank IMF.

A third condition is the country’s commitment to take remedial steps, including a restructuring of its government and the resettlement of populations dictated by World Bank IMF officials. The SAPs have caused devastating results for countries who accept the loans. The World Bank slash IMF forced Argentina and Ecuador to liquidate its public holdings in order to comply with the repayment demands. In this way, Rockefeller affiliated Citibank seized control of 50% of Argentina’s banks. Rockefeller owned British Petroleum assumed ownership of Ecuador’s pipelines and Enron, a shell company tied to the House of Rothschild, obtained control of the Great Lakes that provide water to Buenos Aires.

Other SAPs mandates include the lowering of existing wages, the raising of the interest rate, the downsizing of all state facilities, the phasing out of statutory minimal wages, and the termination of surplus teachers and health care workers. In extreme circumstances, even the resettlement of existing populations is required. Such a program got underway in Tanzania, which has received more aid per capita from the World Bank than any other country. Thousands of Tanzanians were driven from their villages, which were set ablaze and loaded like cattle into trucks for relocation in government villages. On average, third world countries face as many as 67 conditions for every World Bank loan.

Some countries are hit with a far higher number of demands. Uganda, for example, where 23% of LL children under 5 are malnourished, faced a staggering 197 conditions attached to its World Bank Development Finance Grant in 2005. Anxious to uphold the conditions, Ugandan security forces engaged in mass detentions, torture, and the killing of hundreds of prisoners. Zimbabwe, formerly known as Rhodesia in honor of Cecil Rhodes, serves as a prime example of the effects of SAPs on a third world economy. In accordance with stipulations from the IMF slash World Bank, the leftist government confiscated and nationalized many of the farms that were owned by white settlers.

Do you not see the same playbook today in South Africa? The most desirable properties became occupied by leading government officials while the least desirable farms were transformed into state-run collectives. The collectives were such miserable failures that the natives who worked the farms were forced to beg for food. By 1992, one year after Zimbabwe became subjected to the IMF slash World Bank, the economy went into a deep recession. The GDP fell by nearly 8%, 25% of the public workers were laid off, and unemployment began to soar, racing 50% in 1997. By 1999, 68% of the population was living on less than $2 a day.

The per capita budget for healthcare fell from $22 in 1990 to $11 in 1996, causing a 30% decline in the quality of medical services. Twice as many women were dying of childbirth in Harare hospitals in 1993 than in 1990. By 1995, the number of cases of tuberculosis had quadrupled. At the dawn of the 21st century, one-fourth of Zimbabwe’s population was infected with HIV AIDS, caused by Bill Gates Foundation. According to a three-year study released in 2002 by the Structural Adjustment Participatory Review International Network, SAPRINT, in collaboration with the World Bank, SAPs have been expanding poverty, inequality, and insecurity around the world.

They have torn at the heart of economies and social fabric increasing tensions among different social strata, fueling extremist movements, and delegitimizing democratic political systems. Their efforts, particularly on the poor, are so profound and pervasive that no amount of targeted social investments can begin to address the social crises that they have engendered. Since the World Bank and the IMF are located in Washington, D.C., and controlled by the House of Morgan and Rockefeller, the people who have been subjected to SAPs manifest a strong anti-American animus. They assume that the Twin Banks are part of a corrupt capitalistic government that seeks to deprive them of life’s basic necessities.

Within 40 years of the creation of these sister organizations, violent riots directed against Americans and caused by the austerity programs erupted in Argentina, Bolivia, Brazil, Ecuador, Egypt, Haiti, Liberia, Peru, and the Sudan. Concerning these occurrences, Luis Ignacio Silva, a prominent Brazilian politician said, without being radial or overly bold, I will tell you that the Third World War has already started. A silent war, not for that reason any the less sinister. This war is tearing down Brazil, Latin America, and practically all the Third World. Instead of soldiers dying, there are children. Instead of millions of wounded, there are millions of unemployed.

Instead of deconstruction of bridges, there is the tearing down of factories, schools, hospitals, and entire economies. It is a war by the United States against Latin American continent and the Third World. It is a war over foreign debt, one which has, as its main weapon interest, a weapon more deadly than the atom bomb, more shattering than a laser beam. You have been listening to Bridge of Truth, brought to you by biblical teacher and author Jim Pugh with God is Government. For free access to all of Jim Pugh’s Bridge of Truth podcast, please go to www.godisgovernment.com.

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