Skip to main content

When the US feared Yugoslavia's resistance against the IMF tyranny

CIA Files


In the newly released archive of 13 million pages by CIA, we found another report concerning the IMF and the imposed austerity on former Yugoslavia.

In this report, dating back in 1986, under the title "Yugoslavia's Anti-IMF Tactics", serious concerns expressed about the fact that Yugoslavian leaders wanted to loosen the tight rope of austerity around Yugoslavia imposed by the IMF cruel strategy, which had changed just a year ago and monitored by the CIA, fearing that it will bring political unrest to the debtor countries as already being revealed in another document.

It is characteristic that the report acknowledges that Belgrade felt like being humiliated by the fact that the IMF and the United Kingdom didn't let Yugoslavia to roll back interest rates against the new tight rules imposed.

As a consequence, the report reveals the US concern about the fact that Yugoslavia might had walk away from the Western model of free market and cruel austerity, toward the influence of the Soviet Union. Another concern was that Yugoslavia could have become a leading example of resistance against the IMF tyranny among the group of NAM (Non-Aligned Movement) countries.

There are plenty of similarities in today's debt-enslaved Greece under the Troika of destruction (IMF/ECB/European Commission). Various information shows that the West feared that Greece would attempt to escape from the cruel policies imposed by the creditors, finding alternative finance through Russia, China, or, BRICS. Such a potentially successful attempt by Greece, might had become an example for other countries to escape from the eurozone madhouse, away from austerity and Berlin's sado-monetarim.

Some characteristic parts of the report:

Belgrade has charted an approach toward the IMF which may bring it into conflict with Western lenders over rescheduling conditionality beginning in Mid May. The Yugoslavs since late 1985 have been planning to unilaterally soften some austerity measures [...] however, most of the planning group appears confident that the West will back down from a showdown rather than damage Belgrade, always tough in rescheduling negotiations anyway, is likely to be downright truculent this year. This might well thrust Yugoslavia into the limelight as a banner carrier for third world debtors as the NAM summit preparations begin.

Into its fourth year of financial crisis and IMF supervized austerity, Yugoslavia is anxious to restart its lagging economy in the hopes – probably vain – that new growth will show a way out of its seemingly hopeless financial fix. Lacking a consensus or commitment on market-style reforms which they earlier promised to try, many leaders are now willing to revert to artifices which led the boom in the last decade – at the risk of deepening structural weaknesses and feeding inflation.

In December Belgrade tried to roll back interest rates without IMF agreement. The plan failed – largely because the IMF and the United Kingdom insisted the Yugoslavs adhere to commitments or be declared in default of rescheduling agreements for 1985. Belgrade backed off and added this humiliation to its other simmering resentments against the IMF and the West.

Belgrade thus is ready to go back to its old wasteful ways and to defy the West when it protests. [...] The chances of an orchestrated campaign against the IMF would increase during such transitional junctures in Yugoslav politics.

The Soviets may feel that their waiting game is paying dividends now that the IMF and the West are becoming the scapegoats for Yugoslavia's economic problems. A few Yugoslav leaders - angry at the West and frustrated by the divisions within NAM – have begun to urge a swing eastward. Serbia's new President-to-be Ivan Stambolic reportedly has expressed the view that Yugoslavia's future lies more with the USSR because it would somehow advance the Serbs' cause against Albanian nationalists in Kosovo.

In sum, we think that the Yugoslav leadership is becoming more inclined than in the past to join or even lead the NAM [Non-Aligned Movement] debtors in some new demands against the West's debt strategy. And one side effect of such policy switch could be that Belgrade would willy-nilly be aligned with Moscow's strategy to an extent that we have not seen since Tito's last eastward “tilt” after the October War in 1973.

Also, another piece is particularly characteristic:

Since backing down from its initial attempt to decrease interest rates Belgrade has drafted new measures – probably to be promulgated in May after the new government is in place – which will again roll back interest rates and lessen the bite of austerity in other ways. One new measure would “restructure” domestic debt, which in fact would be a first step in erasing a largely worthless collection of paper debt from loans long ago squandered. The IMF agrees that this problem needs to be cleaned up as firms still use these ficticious assets to secure new credit. But as Belgrade still has not demonstrated that it can control local borrowing, the IMF rightly fears a new borrowing binge would result.

The outrageous contradiction here is quite evident. While the most reasonable action for a government is indeed to clean up the "worthless collection of paper debt" to re-start the economy, something that even the IMF clearly acknowledged, a lame excuse is provided in order to forbid the government take such an action. The excuse is simply that "Belgrade still has not demonstrated that it can control local borrowing". In other words, the 'logic' provided by the Western neoliberal sadists was that 'we will let the cancer continue eating your economy because we assume that you are unable to clean it!'

Comments

  1. Anonymous8/2/17 23:24

    The IMF is just an acronym for EXTORTION
    http://wsenmw.blogspot.com/2016/11/extortion-in-3-letters-is-imf.html

    ReplyDelete

Post a Comment

Popular posts from this blog

Confirmed: Alex Jones' popularity rises after Infowars banning from social media

globinfo freexchange
We wouldn't expect to be confirmed so fast on this.
A few days ago in the article IT and social media supergiants have just made Alex Jones a hero in the eyes of the ultra-conservative audience, we wrote that Alex Jones' wet dream has just become reality thanks to the combined move by Facebook, Apple, YouTube and Spotify to ban Infowars. These private IT and social media companies couldn't give a better gift to him right now. At a time where Infowars was going through a saturated period according to the best scenario, the corporate giants actually saved it with that stupid(?) strategy.
Suddenly, a corporate branch of the liberal establishment gave real value to Alex Jones' awful performance, pretending to be the 'anti-establishment' hero - just like Donald Trump - and made him a real hero in the eyes of the ultra-conservative audience that has been brainwashed by his absurd conspiracy theories.
Only a couple of days later, Kyle Kulinski of the…

Corporate media begin typical operations to make progressives comply with the establishment

The operations will multiply and become more aggressive towards 2020
globinfo freexchange
Corporate media of the ultra-conservative side made already a ridiculous attempt to present Alexandria Ocasio-Cortez as totally unreliable. In the video, TYT hosts analyze very well the specific strategy followed by Conservative Review TV.
The strategy is quite simple: you create a fake video, you upload it on social media and after being watched by thousands you admit that it was created for satire purposes. Yet, the propaganda will be definitely effective because only a small portion will notice that this was satire. Most of the viewers (especially from the conservative audience that has been heavily brainwashed for decades to love corporate America and believe whatever comes from the Fox apparatus) will believe whatever transmitted from the ultra-conservative propaganda machine.
But the corporate media of the liberal side have a very big problem right now. It is almost impossible to start an open …

While you've been occupied with that Infowars-banning story, the establishment machine already started a covert censorship operation against leftist independent media

globinfo freexchange
Developments are coming like storm. Just when the prediction that Infowars banning will actually strengthen Alex Jones' popularity became true, it seems that our second 'prophecy' (and prediction by many progressives), also becomes true. According to this, Infowars banning will be used as a blueprint by the establishment machine to shutdown progressive independent media and voices, based on that 'fake news' narrative.
We wrote that a corporate branch of the liberal establishment gave real value to Alex Jones' awful performance, pretending to be the 'anti-establishment' hero - just like Donald Trump - and made him a real hero in the eyes of the ultra-conservative audience that has been brainwashed by his absurd conspiracy theories.
Max Blumenthal speaks with Aaron Mate and gives details about Alex Jones' dark role in the whole story:
Alex Jones has always served establishment priorities. First, by taking the 9/11 truth movement, whi…

‘I knew and approved the assassination of Maduro’ claims TV show host

globinfo freexchange
Peruvian journalist Jaime Bayly claimed in his TV show Bayly, that he was aware and had personally approved the attempted assassination of Venezuelan President Nicolas Maduro.
"My reliable sources have called me and told me 'on Saturday we will assassinate Maduro' and I told them 'do it'," he said in his show and added: "When they asked me if I would condemn their move I replied that if they want I can buy them another drone."
Referring to Maduro, the journalist called him to be on alert. "My friends," he said, "are very capable, they have already scared you and there are more to come".
In a press conference, Maduro wondered how it is possible a host of a show in the US stating openly that he was aware of the attempted assassination.
Info from:
https://info-war.gr/gnoriza-kai-enekrina-ti-dolofonia-madoyro-ischyrizetai-paroysiastis-sto-maiami/

Meanwhile, Venezuelan Attorney General, Tarek William Saab, announced Wedn…

How normal human behavior became a false mental disorder epidemic

globinfo freexchange
In the early nineties, an epidemic of mental disorder was sweeping America and Britain. It had been uncovered by a new system for identifying disorders. Psychiatry had been attacked for relying on the personal and fallible judgement of psychiatrists.
But instead, a new objective method based on checklists had been invented. These listed only the objective symptoms, and deliberately did not enquire into why the individuals felt an anxiety. In the late 80s, nationwide surveys had revealed an incredible picture: more than 50% of Americans suffered from mental disorders.
But at the very same, the drug companies had announced that they had created a new type of drug, called an SSRI, which they claimed, targeted the circuits inside the brain that were causing these malfunctions. The SSRIs were marketed under names like "Prozac". What they did was alter the amounts of serotonin that flowed across the circuit connections within the brain, and they readjusted the …

The US empire was always conducting trade wars that even included deliberately created cartels

globinfo freexchange
Donald Trump is using his trade wars to support the part of the US capital that has heavily lost from free trade globalization, which is more powerful than ever in our days. This is also part of the Trump agenda to persuade Americans for his "patriotic devotion" based on his "America First" slogan.
The reality is that the US empire was always conducting trade wars that included not only tariffs on specific products, but even deliberately created cartels.
In the early 90s the Clinton administration uncritically adopted the neoliberal doctrine from Ronald Reagan and continued the big fraud against the majority of the Americans.
On the one hand, the Clinton administration was selling the big fairy tale of neoliberalism to the American public: free market capitalism would bring prosperity for all through that trickle-down fiasco. And it was translated, as always, in further cuts in public spending - more tax-cuts for the super-rich. On the other hand, …

Retired US army colonel implies that a war with Iran could start with a Vietnam-type false flag operation

globinfo freexchange
After Tucker Carlson brought additional embarrassment to the pseudo-Left warmongering liberals with his anti-war positions, he tried to make Trump appear, more or less, as a kind of peace defender. He was joined by Douglas Macgregor, a retired US Army Colonel.
Both Carlson and Macgregor attempted to blame Trump's warmongering officials and the war lobby for the fact that another devastating war, this time with Iran, becomes more and more possible. The truth is slightly different because Trump has enormous responsibilities for this development too. He was from the start very hostile against Iran, he did everything in his power to kill the Iran nuclear deal and put the most bloodthirsty, anti-Iran neocons in key positions.
Yet, it would be worth to focus on a peculiar statement by Macgregor at the end of this short interview. As he said:
           You and I know that there are lot of people who would welcome conflict with Iran, that's obvious. I think the presi…

Why the rapidly escalating and most disgusting propaganda against Jeremy Corbyn is actually a good sign

failed evolution
In the UK front, the liberal establishment machine is escalating its propaganda campaign against Jeremy Corbyn through that 'anti-Semitic' smearing. In reality, his only 'crime', of course, is that he is too lefty for the totally-occupied-by-neoliberalism Britain.
After the collapse of that ridiculous Skripal case - that ended to an embarrassing fiasco for the Western clowns - the establishment machine in the UK gave up its campaign to smear Jeremy Corbyn as a Russian stooge.
The new 'brilliant strategy' of the establishment tools is simply to paint Jeremy Corbyn as 'anti-Semite'. Which is actually the permanent smearing by the mainstream media and the liberal political center - many have been bought by the Israeli lobby- against anyone who has the ‘audacity’ to condemn the Israeli crimes against Palestinians.
The logical leap in this case is literally ridiculous: if you condemn the Israeli crimes against Palestinians, immediately means tha…

WikiLeaks paper shows France & UK pioneers behind Libya breakup

On March 16, 2016 WikiLeaks launched a searchable archive for over 30 thousand emails & email attachments sent to and from Hillary Clinton's private email server while she was Secretary of State. The 50,547 pages of documents span from 30 June 2010 to 12 August 2014. 7,570 of the documents were sent by Hillary Clinton. The emails were made available in the form of thousands of PDFs by the US State Department as a result of a Freedom of Information Act request. More PDFs were made available on February 29, 2016, and a set of additional 995 emails was imported up to February 2, 2018.
globinfo freexchange
A letter from Clintons' top advisor Sidney Blumenthal to Hillary Clinton in early March, 2012, reveals that two of the Western neocolonial powers, France and UK, were trying to breakup Libya in order to secure a privileged place upon the Libyan corpse for their big companies. It appears that both Sarkozy and Cameron, as well as their intelligence services, were working closely…

The financial system of chaos: no one can tell the 'when', 'where' and ‘how’ of the next financial meltdown

globinfo freexchange
In previous article we wrote that, the last mutation of capitalism, which has started about four decades ago, appears to contain the tools of its final demolition. Financial capitalism, accompanied with the corresponding neoliberal ideology, created a deeply unequal and unstable system.
Another study by The Democracy Collaborative comes to confirm that we live in the most unstable times, where financial crises become more frequent and more devastating. According to the study:
It appears that, contrary to the great moderation theory, the occurrence of financial crises has been accelerating in the neoliberal era.
An important 2001 paper by a number of economists from Rutgers, Berkeley, and the World Bank found that "since 1973 crisis frequency has been double that of the Bretton Woods and classical gold standard periods and is rivaled only by the crisis-ridden 1920s and 1930s. History thus confirms that there is something different and disturbing about our age.&qu…