The global stakes of the Ukraine crisis. The failure of western civilization

From Global Research, February 20, 2015

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By Prof. John McMurtry

War party bigotry and hate may be enough to drive neo-Nazis leading Kiev in the Ukraine civil war. But the reverse blame of Putin and Russia by corporate media and states has a deeper interest. It propels the geostrategic economic and military war of movement through East Europe to Russia. It is the indispensible big lie to mask their set up for foreign financial predation. A big pay-off matrix looms in Ukraine for US-led arms corporations and military services, agribusiness and GMO’s, speculator funds on debts and currency, monopoly providers of privatized social services, Big Oil frackers for newly discovered rich deposits, junk food suppliers like Poroshenko in US-frankenfood alliance, and – last but not least – the IMF money party waging a war of dispossession by financial means. 

The IMF enforces the global money-sequence cancer system by its defining policy commands on debt-impoverished countries to open them up to foreign feeding on their domestic markets and fire-sale enterprises, drastically reduced workers’ wages and benefits, stripped public pensions, healthcare and education, sell-off of historic infrastructures to pay ever more bank-created debts, and – in general- multiplying transnational money demand and profit invading their life functions at all levels. The IMF and Wall Street have been cumulatively hollowing out Africa, Latin America, South-East Asia, South Europe and the US itself in these ways over 35 years. Now it is the turn of the once social democratic Europe, state by state, beginning with the most indebted and helpless. Ukraine on the outskirts of Europe next to Russia is where the military option has been required to strip it and its former Slavic economic union with Russia. This historic relationship has been the last line of life defence in the way, a conservative but sharing ethos of resource-rich societies with Putin as a superior leader facing the US-EU’s many-times more powerful economic levers and lethal arms to bully him and Russia into submission.

To take the naturally rich Ukraine for transnational bank and corporate looting, the public must be sold the story of Putin as the villain. Only then can debt screws be applied and the country opened to long-term and full-spectrum financial, foreign and oligarch control beneath the people’s notice. The IMF is already in motion to ensure that the Kiev coup state provides all of this. Few observe the underlying fact that the crushing bank debt eating societies alive across the world is all debt money created by big private banks with no legal tender to back 97% of it. Ukraine is the latest nation to fall into the deadly trap without a sound. Here public money for public need is ended, although it created the US itself. As Ben Franklin has testified, to regain public money issue was the prime reason for the American Revolution. Public banking was also what made modern Canada from 1938 to 1974 by public investment money without private debt-servicing loaned by the public Bank of Canada for construction of Canada’s material and social infrastructures from the St Lawrence Seaway to public pensions and universal healthcare.

The same is true of almost every society that has economically succeeded in the modern world. . The Depression and the War especially taught the world’s real leaders something about public banking as the only thing that works for real social development. Germany in peace, China, India, Japan in their most prosperous periods have all relied on public investment banking in some form. But the Wall Street counter-revolution happened invisibly in 1974 by Bank of International Settlements policy to stop governments from lending their own money for their public investments – the BIS being a coterie of bank heads meeting in Switzerland led by Wall Street bankers and with no accountability to any public interest or body. On the contrary, against their constitutional rights, all governments have been made accountable to the Wall Street system which runs the US Treasury and the IMF by the revolving door method.  This silent BIS policy destroyed public investment free of the self-multiplying debt charges now eating away at every level of the Western economy including sovereign public investment. Ukraine, with few noticing, has just been privatized at the bank debt and investment level by the US-led coup state. Its arrangements with the IMF now loaning money on Wall Street permanent debt-servicing terms have replaced the $20 billion it had from Russia on payable public terms along with 30% cut-rate oil and gas.

This most far-reaching change of all has been erased from view by the official story – the delivery of Ukraine by the US-led coup into the ever-devouring funnels of the Wall-Street-and-company private banking system. With all the permanent new debt servicing of an already broken country spending its future debt on fighting a US-manufactured civil war fueled by neo-Nazi war thugs, Ukraine will be bled dry. A revealing example of how IMF debt bondage leverages transnational corporate control of Ukraine’s greatest resources is the new IMF $17 billion loan on the condition that Ukraine opens up its peerless vast stretches of black soil and fertile lands to the biotech cycles of Monsanto, Dupont, Deere and factory looting of the earth. Similar plans are also in motion for Big Oil racking of Ukraine’s large newly discovered gas deposits (fracking is prohibited in Russia). Continue reading