The Italian people must understand that their country is at war

The conflict between the European Union and Italy is a full-blown financial war. Euro countries cannot print their own money and for that reason they cannot have an endless deficit. Countries within the eurozone have to live within their means or else, without the intervention of the ECB, they will go bankrupt. Nobody knows the consequences of an Italian default and debt restructuring, but it can lead to the end of the euro.

To make the euro sustainable, the European financial elites want the Italians to reduce their spending and turn a budget deficit into a budget surplus. However, due to the country’s shrinking population the Italian budget deficit — as we have argued many times – can only increase. The European commission rejects the Italian budget because Rome wants to increase its debt far beyond the limit allowed by the ECB. “This is the first Italian budget that the EU doesn’t like,” wrote Deputy Prime Minister Luigi Di Maio on Facebook. “No surprise: This is the first Italian budget written in Rome and not in Brussels!”Matteo Salvini added: “This (the rejection of the Italian budget plan by the EU) doesn’t change anything.”. “They’re not attacking a government but a people. These are things that will anger Italians even more,” he said.

The country has entered a demographic winterand sustainable economic growth is simply impossible, at least for the foreseeable future. As is the case with the whole of Europe, the Italy needs a plan to support an ageing and declining population. As if not aware of it, the Brussels-Frankfurt establishment only wants Italy to stick to their austerity program, i.e. decrease public spending and do away with the current Italian administration, which refuses to comply.

To force Prime Minister Luigi Di Maio and Matteo Salvini out of office, the European Union will go to any lengths to destroy the Italian banking sector the way they did it in Greece and Cyprus. In 2015 Greece shut down its banks, ordering them to stay closed for six days, and its central bank imposed restrictions to prevent money from fleeing out of the country. Continue reading →

A new flashpoint in the Mediterranean deepens the conflict between Turkey, Cyprus and Greece

The conflict over gas in the eastern Mediterranean is intensifying. In February, the first case of intervention by the Turkish navy took place in the Exclusive Economic Zone (EEZ) of Cyprus. Last month, two more flashpoints have appeared.

The dispute concerns gas blocks, i.e. areas into which waters around Cyprus have been divided. Turkey does not recognize the government in Nicosia or its agreements regarding EEZ. Ankara thinks that the right to extract gas should also be exercised by the Turkish Cypriots and also by Turkey in the case of Blocks 4, 5, 6, and 7, through which – according to Ankara – passes the Turkish maritime border (the map below).

At the beginning of October, Cyprus put gas extraction in the disputed Block 7 out to tender, which the Gefira Team has informed about. In response to this, in the middle of the same month, Turkey sent an exploration ship assisted by four naval vessels and began exploration in the area of 44 thousand km2, including blocks 4 and 5. Nicosia and Athens consider it a violation of the Exclusive Economic Zone of Cyprus. On October 18, another event took place. Greece reported that the Turkish ship had entered the Greek continental shelf, which provoke Athens to send the frigate Nikiforos to drive the Turks out.

Continue reading →

Marxists have found their new proletariat: people of colour

In the end of the nineteenth and almost throughout the whole of the twentieth centuries it was the working class that was adored by them. Everything was done for this class, through this class, for the sake of this class, in the name of this class. They all devoted their lives to the liberation of the working class which was ruthlessly exploited by the capitalists. Who were those working class’ liberators, those do-gooders? Sons and daughters of intellectuals (and intellectuals themselves), sons and daughters of civil servants, of the déclassé or landed gentry, and last but not least sons and daughters of… capitalists. Although they themselves either never did menial jobs or did them but for a moment to “prove themselves”, and although they hardly ever mingled with the working class people, they idolised them nonetheless.

Truth be told, on closer acquaintance with the working class members the intellectual do-gooders very soon grew deeply disappointed with them, with their way of life, jokes, likes and dislikes, mentality and custom and as a result they secretly despised them. In the countries where the do-gooders eventually established their political systems – which were known by the name of socialist or communist countries – they had as little to do with the working class as possible, living in luxurious houses or separate city quarters. Continue reading →

European car market is saturated, German manufacturers are at the mercy of China. Germany will be Europe’s last falling domino piece

The turmoil in the financial markets and the increase in the Italian bond yield are a prelude to the real crisis we expect to happen next year, or at the latest in 2020. The current Italian government will not change its plan to increase its budget deficit under pressure from the financial markets. Salvini is winning more and more support for his confrontation with the European Union. A part of the Italian establishment wants to regain control over its currency, thus spurning the ECB monetary and borders policy.

Many prominent Italians such as Claudio Borghi, head of the Budget Committee for the Lower House and senior adviser to the Northern League (Salvini’s party), and Paolo Savona, European Affairs Minister, are waiting for the right opportunity to introduce the mini-BOT as a parallel currency. Brussels’ reckless mass-immigration policy has played into Salvini’s hands: he is enjoying popular support, as well as that of the military and security, which strengthens his position against the European Union. Italy’s powers that be are beginning to understand that if they lose sovereignty to the European Union, they will lose their raison d’être.

Gefira Financial Bullletin #27 is available now

Arrow one: German manufacturers sell out to Xi Jinping
Arrow two: “Energiewende” will make Vladimir Putin Germany’s energy tsar
Arrow three: Recep Tayyip Erdogan leader of the German Muslims
North Korea is the world’s last economic growth opportunity

The ECB is highly likely to buy Italian bonds in order to prevent a further escalation of the yield of these bonds.

The national economies in Europe will start to collapse around 2020, causing government spending in many European countries to go out of control, which will in turn cause the budget deficit and public debt to start growing again. It is only Germany that seems to be in control of, and to benefit from, the European project. Not for long, though. The economic and monetary rulings of Brussels will eventually put an end to the country’s relative prosperity. Its manufacturing base will be taken over by Xi Jingpin, the environmentalists who demand the imposition of various restrictions on the industry will make it all the easier for Vladimir Putin to become Germany’s gas tsar, and Recep Tayyip Erdoğan is well on the way to becoming the beloved president of large groups of “Germans”

The Gefira financial bulletin is a monthly periodical that the Gefira team releases ten times a year. We give a clear projection of the future of energy and politics.From Trump’s election to the steep increase in the oil price and the value of bitcoin, it was all in the Gefira before it happened.

According to the Gefira team, the next systemic crisis will happen around 2020 as the oil price is back at 100 dollar and German mass retirement begin. There is a high risk of war on the Old Continent. However, it is not Russia but Turkey that is the most imminent threat.

It is not the emerging markets, nor public or private debt that should be of interest to investors but instead the shrinking populations in the developed world. Japan is the first country that experiences a diminishing number of people, and for that reason, it pursuing extraordinary monetary and fiscal policies. The decrease in the European and US populations will have dire economic consequences, and after 2025 China will join the club of dying nations.

Apart from China and Russia, economic growth in Africa, the Middle East and South Asia is dependent on the developed countries which see a dramatic shrinkage of their populations.

In the Gefira bulletin we provide investment suggestions and give a coherent vision of the time ahead from a macroeconomic perspective.

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The Gefira Financial Bulletin is a confidential briefing paper on the current economic events for investors and generally the business community. It is accompanied by our website, where you will find articles on social issues. The Gefira research team is the only one that is acutely aware of the importance of the current unprecedented demographic changes not seen before in all of history.

The Gefira research team elaborates its anticipation, drawing on:

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The European financial establishment has just declared war on Italy

This week in a CNBC interview Jeroen Dijsselbloem, the former Dutch minister of finance who served as the President of the Eurogroup, declared war on the Italian government. The European financial establishment is prepared to destroy the banking system and cause the Italian economy to implode. Like a Mafia boss, Dijsselbloem warned that Italy could run into trouble if it does not comply with Brussels’ directives. Of course, his statement was cloaked in diplomatic language:

“If the Italian crisis becomes a major crisis, it will mainly implode into the Italian economy … as opposed to spreading around Europe,” he said. “Because of the way that the Italian economy and the Italian banks are financed, it’s going to be an implosion rather than an explosion.”

For a man of this format it is unusual to publicly expose Italy as a state in a weak negotiating position or try to act as a scaremonger. We have never seen anything remotely like that, so we think that the utterance could only serve the purpose of giving the green light to the financial markets to orchestrate an attack on Italian bonds so as to drive Italian yield up.

“And there is gonna be a role for the markets, I mean if you look at what Italy needs in funding next year alone – we are talking of over 250 billion euros – refinancing part of the stock of their debt and also, of course, these new spending plans. So markets will really have to look at that very critically.”

Italy’s situation is ‘pretty worrisome’: Dijsselbloem from CNBC.

He reminded the Italian government that Italian banks are a sitting target for the European financial authorities. In order to destabilize a country’s economy, one must break its backbone i.e. banks.

“There will also have to be a role for the banking authority, banking supervisor to look what this does to the Italian banks. We have already seen their stock valuation going down” Mr Dijsselbloem said with a smile. Continue reading →

Sweden: escalation of crime caused by the increase in the number of immigrants

Malmö, once a quiet industrial port. Yesterday’s serenity gave way to today’s widespread violence: shootouts, rapes, robberies, assaults and shoplifting are the order of the day. Swedes are leaving Malmö because the police are unable to enforce law and order. What is the reason behind it? A sharp increase in the number of immigrants. Other Swedish regions are afflicted as well: the authorities cannot cope with the escalation of crime: their incompetence came to the fore on one August evening when in several Swedish cities nearly 100 cars were set ablaze.

Demographic growth based on immigrants
The increase in crime is explained by the increase in the number of people.Our calculations show that within seventeen years (2000-2017), during which 1.76 million immigrants arrived, and the overall number of inhabitants rose by 12%, the sum of registered acts of serious lawbreaking was larger by 25%. Therefore, it cannot be denied that the intensity of lawlessness has a lot to do with the influx of foreigners. Continue reading →

Do Erdoğan and Merkel need Kurds?

There are 82 million people living in Turkey. Almost five million people of Turkish descent live in Europe (3 million in Germany, about 350 000 in Austria),including many Kurds who can play an important role in ethnic exchange in Europe. Many migrants from Syria, Iran and Iraq who come to Europe via Turkey are also Kurds. They are also important for the demographic developments in Turkey.

The lie that has been untiringly told by EU propaganda since the 1950s is that the European industrialised countries need fresh skilled workers and specialists from Algeria (in France) or Turkey (in Germany), for example, because of the constantly slowing population growth. Former German Chancellor Helmut Schmidt made a fitting statement on the emigration of workers at the time of the economic miracle: “Basically, he [the then Economics Minister Ludwig Erhard] wanted to keep wage levels low by recruiting foreign workers. Instead I would have preferred the German wages to have risen”So the aim was to maximize the profits of the companies at the expense of the German workers, which ultimately led to decades of deflation and stagnation of the economy. The rest is a fairy tale of propaganda. If you take a closer look at who has come to Europe through this insane policy, you will immediately see that they are predominantly unskilled people (mainly because of family reunification) who do not fill any gaps in the economy, but form social and political hotspots and are supposed to slowly but surely exchange the indigenous population of the old continent. If we take a closer look at Turkey, we notice that most migrants do not come from the developed regions of western Turkey, but from the poor and educationally disadvantaged areas in the south and east of the country; the illiteracy rate in Turkey is on average 20%, in Anatolia even 60%. So it is not all Turks who come to Europe as migrants from Turkey, but mostly Kurds.