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Posts tagged ‘Central Bank’

Tip of the Day Get you money out now from AIB and Bank of Ireland!

European Central Bank president Mario Draghi has raised concerns about the health of Irish banks, urging “decisive” action on issues revealed by a recent balance-sheet assessments before European stress tests next year.

Addressing the European Parliament, Mr Draghi said while the balance-sheet assessments of the Irish banks had identified no capital shortfall, there were needs for adjustments for provisions and risk-weighted assets.

“This should be addressed before the SSM assessment,” he said in a response to a question from Irish MEP Gay Mitchell.

Under the original terms of Ireland’s EU-IMF rescue, Ireland was obliged to undergo a full health check of its banks before the end of the programme.
Stress tests However, this was downgraded to a “balance-sheet assessment” after Dublin argued it should not be treated differently from other countries in next year’s Europe-wide stress tests.

Mr Draghi emphasised yesterday that the balance-sheet assessments by the Irish Central Bank were “not forward-looking” and fall short of the “stringent” stress tests that would be required next year.

Ireland’s three main banks – Bank of Ireland, AIB and Permanent TSB – informed the market last month the Central Bank tests had been completed and that no capital requirements had been required.

However, the full results of the tests were not published.
Commercial loans Bank of Ireland revealed that the Central Bank had concluded that it should take an additional €1.3 billion in provisioning against its mortgage and commercial loans, while Permanent TSB chief executive Jeremy Masding told The Irish Times that the bank would be taking extra provisions for bad loans following the reviews. AIB has yet to comment on whether provisions are needed.

Mr Draghi also said the ECB had “a more cautious assessment” of Ireland’s budget for 2014 even if targets were likely to be met. However, he noted that the deficit-to-GDP ratio, which has been credibly set at 4.8 per cent, overperforms relative to the requirement of 5.1 per cent set out in the European Commission’s excessive deficit procedure.

source: http://www.irishtimes.com/business/sectors/financial-services/draghi-expresses-concern-about-health-of-irish-banks-1.1629952

see also related news: http://www.zerohedge.com/news/2013-04-29/728-trillion-presenting-bank-biggest-derivative-exposure-world-hint-not-jpmorgan




The hidden and off the books derivatives losses by the Irish banks are now becoming so large that even Draghi and his associates are heading for cover ! Once the Irish banks are forced to acknowledge these losses we can expect a cascade effect throughout Europe and all this will land at the door of Deutsche Bank with its $72.8 Trillion derivatives exposures. Still Draghi knows with 156 billion on deposit in Irish banks they can plunder at least 35% of this FREE Cash from the Gullible Irish depositors!

Tip of the Day Get you money out now from AIB and Bank of Ireland!

QE Euthanasia of the Economy?

Today’s Outside the Box comes to us from my good friend and business partner Niels Jensen of Absolute Return Partners in London. Niels gives us an excellent summary of how QE has affected the global economy (and how it hasn’t). I have found myself paraphrasing Niels all week.

I also want to call to your attention an interview first posted at ZeroHedge between my friends Chris Whalen and David Kotok. This is an inside-baseball view of a not-so-minor issue involving central banks and ZIRP. The FDIC charges 7-10 basis points on deposits for the national deposit insurance scheme. At close to the zero bound, the fee means that banks can lose money on deposits. As Chris and David point out, this is just another distortion being fed into the system. David was the first to introduce me to this concept (and rather passionately). I have not written about it because it gets complicated quickly, but it highlights a very serious problem and one that is not dissimilar to the deflationary aspects of the Basel III requirements, working at odds with what central bankers are trying to do. This goes with my long-held contention that the models the Fed and all central banks are working with are simply inadequate to describe the complexity of the global economy, and we have no true idea what we are doing, just a guess and a hope.

full article at source: http://www.marketoracle.co.uk/Article43446.html

ECB to start bank stress tests in November

By MarketWatch

FRANKFURT–The European Central Bank in November will begin a thorough review of the balance sheets of 130 financial institutions from Latvia to Germany, opening a year-long process aimed at removing doubts about the strength of European banks and restoring credit to the private sector.

“Capital shortfalls identified for viable banks should, first and foremost, be made up with private sources of capital,” the ECB said in its report, noting that should that not be sufficient, “public backstops might need to be drawn upon.”

-Todd Buell contributed to this article.

Write to Brian Blackstone at brian.blackstone@wsj.com and Christopher Lawton at christopher.lawton@wsj.com

full article at source: http://www.marketwatch.com/story/ecb-to-start-bank-stress-tests-in-november-2013-10-23




By Thomás Aengus O Cléirigh


The Irish Banks in my opinion(Allied Irish Bank and Bank of Ireland are “Broke”:  these zombie banks and have little or no capital, they have hidden derivative losses not to mention enormous mortgage losses and are going to have to get further capital injections and the Irish government doesn’t have the means to recapitalize these toxic banks so the  highlighted section in the article is a clear indication that a smash and grab is been prepared on the depositors of these two banks.

“Capital shortfalls identified for viable banks should, first and foremost, be made up with private sources of capital,” the ECB said in its report, noting that should that not be sufficient, “public backstops might need to be drawn upon.”

So how much money are we talking about? well placed sources indicate that a shortfall of 10 Billion Euros in the magic number .So we can expect a 25-45% contribution from the banks depositors and expect no warning this is likely to be announced over a holiday weekend and reassurances from political puppets and central bankers will be forthcoming just before they pounce on the gullible depositors.

Get you hard earned savings out of these corrupt toxic banks before they get their greedy hands on it!

You have been warned!

see also:http://www.zerohedge.com/contributed/2013-09-07/exactly-i-warned-cyprusization-goes-mainstream-ireland-tap-next-citizen-fund

see also: http://www.zerohedge.com/contributed/2013-10-10/lies-damn-lies-and-eu-confiscation-greek-sovereignty-masked-bailout-never-hap







Irish Economy 2013: Central Bank expects weak growth this year

By Finfacts Team
The Central Bank said today that its expects weak growth this year with a
continuation of the gradual recovery in the overall level of economic activity,
though at a slightly slower pace than previously expected

In its Q4 2013 bulletin [pdf],
the Bank says its latest forecasts for GDP (gross domestic product) growth for
2013 and 2014 are marginally lower than those published in the last bulletin.
GDP growth of 0.5% is now projected for this year, with growth of 2.0% forecast
for 2014, representing a downward revision of 0.2 and 0.1%, respectively, to the
previous forecasts for 2013 and 2014. The forecast for GNP (gross national
product), mainly excluding the profits of the multinational sectors has also
been revised down in a similar fashion and is now projected to grow by 0.1% this
year, and by 1.2% next year.

full article at source: http://www.finfacts.ie/irishfinancenews/article_1026631.shtml

What the Economic Crisis Really Means – and what we can do about it

We were told that the global financial crisis of 2008 happened because irresponsible borrowers couldn’t afford to pay back their loans. This is true, but it was also part of a much deeper problem. The issue is that our economic system is based on the need for continuous, perpetual growth. It’s highly likely that we’re already in the beginnings of something much worse than a depression, even if bankers and governments won’t admit it yet. Fortunately, we don’t need to hear it from them. We can tell that something is going on, we have the internet and we can share information amongst ourselves. And thankfully, if we try hard enough, we could just end up with something much much better than what we have now. I’m no expert, however I am someone who’s done several years of reading on these topics and I really want everyone else to know what’s going on, and understand the risks and the opportunities. It’s only fair.

So let’s look at how our banking system really works. It’s commonly believed that banks lend out money that they already have from invested savings. That would’ve encouraged a fairly stable system of banking. Instead, we have what’s called a fractional reserve banking system. This means that banks can loan out almost all the money that gets deposited with them. For example, when you put $100 in one bank, they lend $90 of it to someone else, who then puts that $90 in their bank. Now there’s $190 where there used to be $100. That $90 lent out will also be deposited and $81 lent again. In this way, money ends up being multiplied between ten and a hundred times. Sounds crazy right? Less than 1% of the money in the economy is actual notes and coins, the rest are just numbers on computers, created as debt. This system rapidly increases the amount of money in the economy, which fuels economic growth, allowing most of us the ability to pay back our debts with interest. But only so long as the economy keeps on growing…………………..

full article at source: http://www.doingitourselves.org/

Gangsters the lot of them!

Tim Healy– 18 July 2013

                    THE Department of Finance and Central Bank conspired with Anglo Irish Bank in relation to its advancing more than €2bn in loans to Quinn companies for the unlawful purpose of propping up its share price, it has been alleged in the Commercial Court.

The alleged conspiracy involved the department arranging for documents from Anglo to be “significantly amended” to disguise the true extent of the department’s knowledge about what was happening in relation to the loans, the family of bankrupt businessman Sean Quinn has claimed.

Had the regulators done their duty and not encouraged Anglo’s actions, these illegal loans would not have been advanced, Anglo “would have gone to the wall” much more quickly and the Quinns would not have been exposed to claims for €2.34bn, Martin Hayden SC, for the Quinns, said.

He was applying for orders joining the department and Central Bank, in their capacity as regulators, as co-defendants with Anglo in the Quinns’ action denying liability…………

full article at source: http://www.independent.ie/irish-news/courts/quinns-claim-central-bank-conspired-with-anglo-29429511.html

Comment :

By Thomás O Cléirigh

Remember this ?

These scoundrels must face the music one way or another we the people of Ireland must get justice!This activity is called “Insider Trading” and is illegal and all who took part in it must be brought before the courts otherwise we are just living in a Be-NAMA Republic and I do not accept this!

Quinn took part in this obvious illegal act, and was happy to do so when he thought he was going to benefit from it! So no tears from me for him! He just got caught holding the baby! , and is it any wonder when he was dealing with gangsters like the two lads in the tapes above?

While I am on topic where are the other inner circle members (Golden circle)  who were also involved in this little scam???

“Austerity and Evections will push people to open revolt”

By Thomas O Cléirigh


The Banks have no legal or moral right to dictate to the Irish people, the Irish government have totally lost all credibility and are no longer the legitimate government of this republic.

We the people are slaves to no one, least of all to a bunch of “Gombeens” and the cheerleaders of corrupt bankers and their pals in Europe .We have now got to make a stand and if this means open revolt so be it! Throughout this crises we have taken everything that was thrown at us as we looked on and saw the gangsters who have brought this financial meltdown upon us be rewarded,and the attempt by the collaborators within the Irish government to keep the same old system in place by passing the blame for this catastrophe and the enormous costs on to the shoulders of the ordinary downtrodden citizen whilst the elite within the political system carry on sucking us dry as they feather their own nests whilst preaching the Austerity gospel according St Angela in Berlin.

Arise noble people of Ireland and take back our country from the corrupt financial vulchers and their henchmen who infest the Dail .

Yesterday at the GPO I bore witness to the testimony of an X cocaine addict, he told the assembled 250 demonstrators he was sentenced to 3 years jail for the theft of 400 Euros worth goods whilst under the influence of the drug from a well known retailer, he rightly asked why was he put into jail when bankers have stolen billions from the people of Ireland and they were rewarded with golden handshakes of   up to 600,000 euro pensions.

This is the society our corrupt political system is maintaining and the same old gombeen politicians are also in bed with the gangsters in the Bank .the central bank governor is also a member of the boys club as are the top union bosses and our national airwaves are well under the control of the vastest interests who by hook or by crook will push us into financial slavery. They have already stolen our national independence and we are now paying interest of Euro 1,000,000,000:00 every month on Private held Bank gambling debts that we are not responsible for. This is not our debt and we should have done exactly the same thing Iceland did and arrest the previous government ministers and all directors of the various Bank directors on charges of fraud and corruption and dereliction of duty.

If the Government are now set on allowing the same toxic bankers to steal the homes of the ordinary citizen then we are on course to an all out revolution and I will be in the front line.

Kenny ,Noonan and Gilmore are  guilty of incompetence at best and treason at worst .They have broken every promise in their election manifesto and I blame them for the countless lives lost in the meantime by desperate citizens forced to take their own lives as a result of these leaches who are continuing to collaborate with faceless bondholders and hot money men in the IFSC . The system is rotten and our political system is infested with self enriching leaches out to get as much as they can for themselves.

All thrust has broken down between the people and the Government, Kenny and his band of collaborators are no longer acting in the best interest of the people of Ireland and they should all go or be pushed off the stage!


People of Ireland and fellow citizens come stand up and take back our country!

Thomas O Cléirigh


 Sent in to us to-day by Chris : Thank you Sir!

The Greek media that care run endless stories about starving children, lack of medication, old people dying because they cannot afford heating, and huge cuts in welfare relief. These are all worthy topics for anyone still unclear about the catastrophic social effects of repayment-focused austerity in ClubMed. But if nobody buys in shops, eats in restaurants, sits in cafes or furnishes homes, businesses die in very short order.

In three short years, the banks of the world, the bureaucrats of the EU, and the Central Bank of Mario Draghi have wiped out Stadiou. Like the American South after the Civil War, it is a culture gone with the wind. All that remain are kids shooting up in the darkness of formerly thriving alleyways, and bill posters advertising things nobody has the money to buy.

Behind much of Athens’ attraction as a tourist centre lies another layer of self-sustaining business: the wholesale trade. This above any other is small family business, where honesty, trust and quality are the basis of commerce. It too has been decimated, as both domestic and tourist consumption of goods plummeted after 2010.

see full report in attached PDF doc Here:Coming to every Town in Ireland

Is Bigger Banking Better?

Big banks are good for society, says George Osborne … Big banks are good for Britain and must not be broken up, according to George Osborne, as he argued the country’s largest lenders were beneficial to society. George Osborne told the Commission on Banking Standards: ‘If we aggressively broke up all of our big banks, I am not sure that, as a society, we would benefit form it.’ – UK Telegraph

Dominant Social Theme: Big banks are necessary for the progress of civilization.

Free-Market Analysis: So now the truth comes out. Perhaps “big” banks did not evolve out of marketplace necessity after all. Perhaps they are part of what we call directed history.

We’re led to believe that big banks are part of a larger evolution of commerce. But if there is one thing the Internet Reformation has shown us clearly it is that much of what we assumed was an evolution of reality was actually a procession of regulatory impositions.

In other words, the current financial situation in the West and even worldwide is manufactured by regulations and power brokers. In aggregate we call this group the power elite. We believe it gains most of its clout by controlling the trillions and trillions pumped out by central banks, especial in times of crisis.

This elite does NOT necessarily gain its wealth via interest flowing to the top but by CONTROL of numerous corporate and financial entities that create wealth in NUMEROUS ways.

But large banking establishments are certainly part of the larger control that the elites attempt to exercise over society. Some have suggested that the massive nature of these entities illustrates they are nothing more than bookkeeping establishments, designed to keep track of people’s assets on behalf of the uppermost elites.

full article at source: http://www.thedailybell.com/28338/Is-Bigger-Banking-Better

Let’s Forgive Debt before the Unforgivab​le Happens – Update from David McWilliams

By David Mc Williams

The new chief economist of the Central Bank stated the obvious last week when he said that there would have to be debt forgiveness on many mortgages that simply can’t be paid. Someone who signed a contract in good faith during boom conditions, when income and the price of the house was rising, simply cannot honour that contract if his income has shrunk and the price of the asset has collapsed. Many tens of thousands of Irish people simply do not have the money to pay the mortgage now and certainly won’t have it when the next round of tax increases are signalled at the Budget.

full article at source: http://www.davidmcwilliams.ie/2012/09/06/lets-forgive-debt-before-the-unforgivable-happens


Most of these so called mortgages were in fact flawed at best or improperly sold to the gullible homebuyers in the first place .The Banks dismissed all caution to the wind and it would seem they had the backing of the financial regulators and the Minister of Finance. Our Banks were showered with cheep money from German and French Banks and Bondholders bought the bonds as they were assured that they were buying a “sure bet “. If everything went wallop they had Friends in Place who would work the magic and all their gambling debts would suddenly end up the problem of the hapless gullible citizens and taxpayers of Ireland I.E they get paid no matter what and so a no loss investment for them! The Irish government have an obligation to its citizens to remove this odious burden ,The Current government hasn’t got the balls to take on these Gangsters and fraudsters  at home or in the ECB.

Our people were been blackmailed and forced into paying bondholders gambling debts (see link  https://namawinelake.wordpress.com/2012/07/16/is-ireland-in-line-for-e100bn-refund-after-ecb-changes-stance-on-bondholders/)  Remember “not one red cent more “ was the cry from the liars now in power and the same puppets have betrayed their own promises and so we the people are saddled with self serving lying pampered Bas****s who have no difficulty in taking the last crumbs away the most vulnerable citizens ( The disabled, the poor, the  elderly, even our children’s education , the feature of our country .The saddest fact of all is that not one of the criminals responsible for the financial enslavement of our people has been brought to the courts and not one has come even close to a prison cell. Yet this government has presides over the imprisonment of 2,000 small fines defaulters : (see link http://www.independent.ie/breaking-news/national-news/2000-jailed-for-fines-nonpayment-3186120.html. and over 4000,people homeless .whilst corrupt bankers and developers still enjoy the lottery lifestyles at Irish taxpayers expense!

Regarding the above article all I can say is

“Wishful thinking David” There is not one realist amongst the current government! They are all career politicians and are hell bent is saving their own pensions, perks and above all their own seats in Lenster house! The stupid voters that voted this lot into power will no doubt vote the same codger back in again .We deserve all the crap we are getting from these codgers!

People of Ireland wake up and turf these gangsters out and take back our country from the banker led dictatorship.

Thomás O Cléirigh

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