Home » Posts tagged 'Poland' (Page 2)
Tag Archives: Poland
Wondering who will take over the mantle of Treasury bond buyer now that the Fed is stepping away? Curious of the government’s next steps towards repression and control of wealth? Wait no longer. As the AP reports, President Obama will unveil a new retirement savings plan tonight that allows first-time savers to buy US Treasury bonds tax-deferred for retirement. Of course, this is not the mandatory IRA that remains somewhat inevitable (as the muddle-through fails) but is certainly a step in the direction we alerted readers to a year ago by which the government generously offers to help manage your retirement savings. Two words spring to mind… remember Poland.
Eager not to be limited by legislative gridlock, Obama is also expected to announce executive actions on job training, retirement security and help for the long-term unemployed in finding work.
Among those actions is a new retirement savings plan geared toward workers whose employers don’t currently offer such plans.
The program would allow first-time savers to start building up savings in Treasury bonds that eventually could be converted into a traditional IRAs, according to two people who have discussed the proposal with the administration. Those people weren’t authorized to discuss it ahead of the announcement and insisted on anonymity.
Of course, this is not what the CFPB suggested a year ago… We’re sure the government is just trying to protect your retirement account from terrorists. From Bloomberg:
The U.S. Consumer Financial Protection Bureau is weighing whether it should take on a role in helping Americans manage the $19.4 trillion they have put into retirement savings, a move that would be the agency’s first foray into consumer investments.
That’s one of the things we’ve been exploring and are interested in in terms of whether and what authority we have,” bureau director Richard Cordray said in an interview. He didn’t provide additional details.
The bureau’s core concern is that many Americans, notably those from the retiring Baby Boom generation, may fall prey to financial scams, according to three people briefed on the CFPB’s deliberations who asked not to be named because the matter is still under discussion.
But it’s getting close.
The European Union proposed cutting the region’s greenhouse-gas emissions by 40 percent in 2030 to accelerate efforts to reduce global warming.
The European Commission outlined its strategy to reduce pollution and curb rising energy costs and called for an overhaul of the bloc’s policies in the next decade, the EU’s executive arm said in a statement today. The current goal is to cut emissions by 20 percent in 2020 from 1990 levels.
The proposed design of future policies pits nations including Germany and the U.K., who are seeking stronger efforts to protect the atmosphere, against Poland and its allies, which rely mainly on fossil fuels to keep their economy humming. It also highlights the divide between energy intensive companies, whose gas and power costs are more than double their U.S. and Asian competitors, and green lobbies such as Greenpeace seeking deeper emission cuts.
“Political agreement on a 2030 EU energy and climate framework is absolutely vital for businesses,” Katja Hall, chief policy director at Confederation of British Industry, the U.K.’s main business lobby group, said by e-mail before the commission’s announcement. “We need long-term certainty to drive investment in a secure, low-carbon and affordable energy future for Europe.”
In the package unveiled today the commission asked member states to consider a 2030 framework that focuses on the carbon-reduction target to avoid conflicts with policies subsidizing renewable energy. The strategy is the start of a debate among member states, which may lead to a draft law in early 2015.
Under the new proposal, the EU wouldn’t extend legally-binding renewables targets for individual member states beyond 2020, instead setting an EU-wide goal to boost the share of renewable energy to 27 percent by 2030.
Scrapping renewable energy targets is “good news” for the economy and environment, according to Robert Stavins, director of Harvard University’s Environmental Economics Program. The renewables goal conflicts with the EU emissions trading system and removing it would lower the cost to achieve the pollution cap, he said.
The package will also include an indicative goal to boost energy efficiency by 25 percent, which will be discussed later this year.
As a part of the proposal, the commission will also seek to strengthen its carbon market cap-and-trade program by making the supply of permits more flexible. A carbon market stability reserve to start in 2021 would withdraw permits once allowances in circulation reached at least 833 million, the commission said in a statement.
The cost of emitting a metric ton of carbon dioxide in the EU’s $53 billion carbon market slumped to a record low of 2.46 euros ($3.32) in April and traded at 5.20 euros today at the ICE Futures Europe exchange in London.
To contact the reporter on this story: Ewa Krukowska in Brussels email@example.com
To contact the editor responsible for this story: Lars Paulsson at firstname.lastname@example.org
The following interview with Richard Heinberg was originally published in Flemish at the Belgian website De Wereld Morgen. The interview was given in conjunction with the release of the Dutch translation of Richard’s Book Snake Oil: How Fracking’s False Promise of Plenty Imperils Our Future. The Dutch title is Schaliegas, piekolie & onze toekomst.
Europe is recovering, right? Wrong. As Nigel Farage raged last night, things are not what they seem and even the IMF is now beginning to get concerned again (especially after Lagarde’s call yesterday for moar from Draghi and every other central banker). As Bloomberg’s Niraj Shah notes, it’s not just the PIIGS we have to worry about (or not), Denmark, Finland, Norway and Poland have been added to the IMF’s list of countries with the potential to destabilize the global economy.
Via Bloomberg’s Niraj Shah ( @economistniraj ),
The IMF’s decision means the four nations will be subject to mandatory financial sector assessments. The total number of countries on the list has risen to 29 from 25. The IMF’s decision may further undermine the safe-haven status of the Nordic nations, where rising household debt imposes a financial risk.
Ballooning Household Debt
Household debt and government-imposed austerity measures are deterring consumers from spending in the Nordic region. Denmark’s financial regulator is considering curbing banks’ lending policies to address the record household debt load. Danish households owe creditors 321 percent of disposable income, the OECD says. Norway’s household debt reached a record 200 percent of disposable income in 2011.
Austerity Triggered by Rising Government Debt
Finland’s debt-to-GDP ratio will almost double to 60.5 percent by 2015 from 33.9 percent in 2008, the IMF forecasts. The fund estimates the Finnish economy shrank 0.65 percent last year. Polish government debt reached 57.6 percent of GDP last year. A clause in the country’s constitution states that breaching a 55 percent ceiling triggers mandatory austerity measures.
Competitiveness at Risk
Denmark has dropped to 15th place in the World Economic Forum’s global competitiveness report from third in 2008. Labor costs rose 9.1 percent between 2008 and 2012, compared with an EU average increase of 8.6 percent in the period. Norway has the highest labor costs in Europe at 48.3 euros per hour in 2012, compared with 30.4 euros in Germany. That may undermine competitiveness and the growth outlook.
Most Financially Interconnected Countries
The inclusion of three Nordic nations for mandatory assessment is the result of a new methodology by the IMF that gives more weight to financial interconnectedness. The U.K. is the most financially linked nation in the world, followed by Germany. Seven of the top 10 most interconnected financial nations are in the euro-area.
So as the world congratulates itself (most notably Ben Bernanke today), the IMF seems concerned that this could all get worse again very quickly. Think they are all too small to worry about? Remember Lehman?
“Russia will deploy Iskander missile systems in its enclave in Kaliningrad to neutralize, if necessary, the anti-ballistic missile system in Europe.”
– Dmitry Medvedev, former Russian president, November 2008 in his first presidential address to the Russian people
2013 was a year when Europe tried to reallign its primary source of natgas energy, from Gazpromia to Qatar, and failed. More importantly, it was a year in which Russia’s Vladimir Putin undisputedly won every foreign relations conflict that involved Russian national interests, to the sheer humiliation of both John Kerry and Francois Hollande. However, it seems the former KGB spy had a Plan B in case things escalated out of control, one that fits with what we wrote a few days ago when we reported that “Russia casually announces it will use nukes if attacked.” Namely, as Bloomberg reports citing Bild, Russia quietly stationed a double-digit number of SS-26 Stone, aka Iskander, tactical, nuclear-capable short-range missiles near the Polish border.
The range of the Iskander rockets:
- Russia has stationed missiles with a range of about 500 kilometers in its Kaliningrad enclave and along its border with the Baltic states of Estonia, Latvia and Lithuania, Germany’s Bild-Zeitung reports, citing defense officials it didn’t identify.
- Satellite images show a “double-digit” amount of mobile units identified as SS-26 Stone in NATO code
- Missiles were stationed within the past 12 months
- SS-26 can carry conventional as well as nuclear warheads
In other words, Russian quietly has come through on its threat issued in April 2012, when it warned it would deploy Iskander missiles that could target US missile defense systems in Poland. From RIA at the time:
Moscow reiterated on Tuesday it may deploy Iskander theater ballistic missiles in the Baltic exclave of Kaliningrad that will be capable of effectively engaging elements of the U.S. missile defense system in Poland.
NATO members agreed to create a missile shield over Europe to protect it against ballistic missiles launched by so-called rogue states, for example Iran and North Korea, at a summit in Lisbon, Portugal, in 2010.
The missile defense system in Poland does not jeopardize Russia’s nuclear forces, Army General Nikolai Makarov, chief of the General Staff of the Russian Armed Forces, said.
“However, if it is modernized…it could affect our nuclear capability and in that case a political decision may be made to deploy Iskander systems in the Kaliningrad region,” he said in an interview with RT television.
“But that will be a political decision,” he stressed. “So far there is no such need.”
Looks like a little over a year later, the “political decision” was taken as the need is there. But why does Russia need to send a very clear message of escalation at a time when the Cold War is long over, when globalization and free trade, promote game theoretic world peace (or “piece” as the Obama administration wouldsay), oh, and when Russia quietly has decided to reestablish the former USSR starting with the Ukraine.
We’ll leave the rhetorical question logically unanswered.
Greece Considering Confiscation Of Private Assets | Zero Hedge. (FULL ARTICLE)
The last time we opined on the possibility of a Cyprus-style “bail-in” in Greece, which is essentially a legally-mandated confiscation of private sector assets held hostage by the local financial system, until such time as the balance sheet of said financial system is viable, we were joking. Well, not really joking.
But not even we thought that a banking sector “bail in”, in which unsecured bank liabilities, which include bonds and of course deposits, are used as a matched source of extinguishment of non-performing bad debt “assets” could spread to the broader economy, and specifically to unencumbered private sector assets. Alas, this is precisely what Greece, which is desperately to delay the inevitable and announce it needs not only a third but fourth bailout, appears keen on doing.
As Kathimerini reports, the Greek Labor and Social Insurance Ministry is “seriously considering drastic measures in order to obtain the social security contributions owed by enterprises and to avoid having to slash pensions and benefits.” What drastic measures? “The ministry is planning to force companies to pay up or face having their assets seized, so that the 14 billion euros of contributions due can be recouped.”
After all, it’s only “fair.”
Kathimerini is kind enough to layout the clear-cut problems with this plan which will further crush any potential rebound in the Greek economy:…
- Poland Confiscates Half Of Private Pension Funds To Cut Sovereign Debt Load (govtslaves.info)
- Cyprus-Style Wealth Confiscation Is Starting All Over The World (zerohedge.com)
- Russia confiscates private pension funds (dailypaul.com)
- Cyprus Has Finally Killed Myth That EMU Is Benign (ritholtz.com)
- Guess What: You are an Unsecured Creditor! That Means Your Money Is Not Safe In The Big Banks from a Confiscating Government (sgtreport.com)
- Russian Leader Warns,’Get All Money Out Of Western Banks Now! United States are preparing for the largest theft of private wealth in modern history. (intelwars2.wordpress.com)
- Poland Confiscates Private Pensions – Yours Are Next (dollarvigilante.com)
- Polish Government Seizes Private Pension Assets (fromthetrenchesworldreport.com)
- Bank Confiscation Scheme for US and UK Depositors (ritholtz.com)
- AmericanKabuki – Poland Confiscates Half Of Pension Funds To Cut Sovereign Debt Load – 7 September 2013 (lucas2012infos.wordpress.com)
- Are you awake America? Are you prepared? (grumpyelder.com)