China and Russia Creating Alternate Banking System

• 04/16/2017 • 60 Comments

It may have arrived with little fanfare, but Russia’s SWIFT alternative has, more or less, arrived.

Speaking in no uncertain terms at a meeting with Russian President Vladimir Putin late last month, Elvira Nabiullina, the Governor of Russia’s central bank, stated: “We have finished working on our own payment system, and if something happens, all operations in SWIFT format will work inside the country. We have created an alternative.”

Now maybe this story taken by itself is no big news. But let’s look at it the context of recent events:

Russia just created its first ever representative office of the Bank of Russia abroad…in Beijing. This move brings Russia one step closer to issuing its own sovereign yuan-denominated bonds.

Meanwhile the Industrial and Commercial Bank of China is now officially acting as a renminbi clearing bank in Russia, which expands local settlement business in direct yuan-ruble trade and follows Russia’s 2015 inclusion of the renminbi on its official reserve currency list.

Are you starting to see the bigger picture? Again, no one of these stories is a silver bullet, but they’re all related and they all point in the same direction: China and Russia are preparing for the inevitable(?) split with the US-dominated, dollar-denominated, SWIFT-networked global(ist) financial architecture.

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Comments (60)

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  1. Ukdavec says:
    04/16/2017 at 7:29 am

    Good article – probably the most compelling underlying explanation for the escalations taking place in Syria, Afghanistan and North Korea.

  2. PeaceFroggs says:
    04/16/2017 at 9:40 am

    This is why sanctions don’t work. In fact, I’d argue that sanctions or the risk of future imposed sanctions are precisely what led Russia to create the Mir payment system.

    Another stupid move done by the self proclaimed leaders of the “free” world, ie the US, was when Nixon decided to decouple the US dollar from gold conversion in 1971. An international economic coup d’etat when you think about it. (First it was Kennedy then it was Bretton Woods)

    The international system (Bretton Woods System), had worked rather well since its implementation at the end of WW2 (1944) up until 1971, which the USSR was a signatory BTW. (remember the Soviet Union was on our side during WW2)

    The Nixon shock (1971) and the creation of the petrol dollar basically created the conditions which allowed the US to out-print the Soviet Union money wise, which eventually led to the collapse of the USSR, the end of the cold war *cough *cough, the reunification of Germany in 1990, which one could argue these were all good things, however…

    …since the 90’s, we’ve had nothing but wars. Gulf War I, September 11th, Afghanistan, quickly followed by Gulf war II, Libya, Syria, and now Trump is threatening North Korea (China by proxy)…and interestingly enough, all these countries are countries that had threatened to leave or simply rejected the international system.

    I’m thinking, WW3 is either on the horizon, or that (China and Russia) along with (the US and NATO) are just playing the good cop – bad cop routine in order to consolidate the smaller (none VETO power) nations that reject the current international system.

    • PeaceFroggs says:
      04/16/2017 at 9:52 am

      Correction, my bad. I thought the Soviet Union had signed on and had ratified the Bretton Woods agreement by wars end, but they had not.

      According to Wikipedia…Soviet representatives attended the conference but later declined to ratify the final agreements, charging that the institutions they had created were “branches of Wall Street.”

      So I guess the cold war was real, meaning if cool’er heads don’t prevail we may be fighting WW3 soon, hopefully not with nukes, rather with financial institutions. Maybe that’s why Trump wants to deregulate the banks again.

      • herrqlys says:
        04/16/2017 at 5:24 pm

        I must preface with the comment that Wikipedia is akin to tainted meat, in that all parts aren’t necessarily rotten, but it’s becoming more widely known that Wikipedia is (surprise, surprise) CIA-funded, particularly in the seed capital. The Agency’s tentacles, apparently, must be in *all* media to successfully disseminate propaganda and shape the public mindset. This personal viewpoint is why I don’t use Google’s search engine, either.

        Anyway, moving along… the idea that the Soviets “…later declined to ratify the final agreements, charging that the institutions they had created were branches of Wall Street.” suggests that Stalin wasn’t just another pretty face (and in fact FDR commented that Stalin was highly intelligent).

        Undoubtedly the Soviet civil and military bureaucracies of the day were very well attuned to, and informed about, the Anglo-American system. I think that’s just as true today in the Russian Federation. This knowledge doesn’t exempt you from abuse, but it does give you a chance to contemplate strategies for performing a pirouette or two to avoid full contact.

        Others that understood the Anglo-American system, and received abuse as well, were Fidel Castro’s Cuba, Patrice Lumumba’s Congo, and Hugo Chavez’s Venezuela. There are others, of course, including China.

        A recent personal find, that provided much-needed background on the continuing deplorable situations in the Congo, can be found in a very illuminating article:

        https://www.theguardian.com/global-development/poverty-matters/2011/jan/17/patrice-lumumba-50th-anniversary-assassination

        For instance, I never knew that “…it was during the [Belgian] colonial period that the US acquired a strategic stake in the enormous natural wealth of the Congo, following its use of the uranium from Congolese mines to manufacture the first atomic weapons, the Hiroshima and Nagasaki bombs.”

        The rabbit hole is incredibly deep, and filled with all sorts of surprises.

        • PeaceFroggs says:
          04/16/2017 at 11:49 pm

          Interesting article herrqlys. Patrice Lumumba was assassinated just 3 days before JFK’s inauguration in 1961. Hmmm?!

          In 1961, everyone assumed Nixon was going to become the 35th President of the United States, including sitting President Dwight D. Eisenhower. Obviously Eisenhower must have also assumed his VP, R.Nixon, was going to win the election, however when JFK through a monkey wrench and spoiled their scheme when he managed to steal Illinois and won the election, they had to speed things up, presumingly because they knew JFK would not have green lighted this assassination. So, instead of leaving it to chance, they decided to rush it just 3 days before JFK’s inauguration. Timing is everything.

    • arnieus says:
      04/17/2017 at 12:59 am

      We should stop calling it the “free world”. The countries “free” of the gangster banking dollar system are the real free world. Not only that but millions of immigrants think it means free, as in here take it.

  3. Andre says:
    04/16/2017 at 4:47 pm

    I was going to comment on the article matter but then I opened the “Satisfying Hot Knife Video” and lost myself for 30 minutes just listening to that burning hot sound! Damn you James! 😉

  4. HomeRemedySupply says:
    04/17/2017 at 2:28 am

    I really enjoyed “Get to Know James Evan Pilato”. There was a nice high-wavelength aura to that discourse.

  5. Hsaive says:
    04/17/2017 at 2:50 am

    Pilato took my name in vain…….No…it wasn’t Christ.

  6. Pablo de Boer says:
    04/17/2017 at 4:18 am

    Putin is big buddies with war criminal H. Kissinger according to RT.

    Putin meets ‘old friend’ Kissinger visiting Russia
    https://www.rt.com/news/331194-putin-meets-friend-kissinger/

    • Pablo de Boer says:
      04/17/2017 at 4:21 am

      Vlad even talked with Henry about:

      Henry Kissinger came to Moscow to discuss new financial system with Putin –
      See more at: http://www.pravdareport.com/society/stories/12-02-2016/133329-kissinger_putin-0/#sthash.CiGKs0oL.dpuf

      • Pablo de Boer says:
        04/17/2017 at 4:39 am

        Henry Kissinger on Russia & Politics !
        https://www.youtube.com/watch?v=3sarRhzWTaQ

      • PeaceFroggs says:
        04/17/2017 at 8:50 am

        -Henry Kissinger came to Moscow to discuss new financial system with Putin-

        It’s articles like these that make me question if the cold war was mostly theater.

        I mean, chronologically speaking, the Soviets were on our side during WW2 right, and Hitler was the bad guy supposedly. Then, during wars end, operation paper clip secretly brought Nazi scientists over to America, including Wernher Von Braun, Mr Apollo moon rocket man himself.

        (side note) I believe the moon missions were faked (a la Stanley Kubrick). So if the moon landings were indeed faked, then why would the Soviets go along with it, especially during the height of the cold war, Cuban missile crisis, JFK assassination, Von Braun and all? It just doesn’t make sense.

        But then, like I mentioned before, we have the Bretton Woods Agreement, which I thought initially the Soviets were signatories, but in fact weren’t, which contrary to the fake moon missions supports the cold war. Furthermore, we have Kissinger and the 1971 Nixon shock, which also supports the cold war thesis.

        So who is Henry Kissinger? Was he for or against the cold war? Does he support a future multi polar world which includes Russia’s Mir payment system, BRICS and China’s entry to the SDR’s, or does he support Nixon’s and the neocon’s Monolithic New Wold Order?

        (Wikipedia)- Kissinger played a prominent role in United States foreign policy between 1969 and 1977. During this period, he pioneered the policy of détente with the Soviet Union, orchestrated the opening of relations with the People’s Republic of China, and negotiated the Paris Peace Accords, ending American involvement in the Vietnam War.

        This may sound counter-intuitive, but it seems like Kissinger, the war criminal, might actually be a peacemaker. I know, I know, try not to laugh to hard now, hear me out.

        Even though Kissinger was part of Nixon’s administration, he basically did what Kennedy wanted to do when JFK first became President in 1961. Which was to scale down US involvement in Vietnam, and rapprochement with the Soviet Union.

        In other words, Kissinger cleaned up the mess the neocons had created after they assassinated Kennedy in 1963, which was to ramp up the Vietnam war and continue the cold war with Russia and China. Kissinger basically undid all that.

        There’s was even speculation that Kissinger was “deepthroat” during Nixon’s Watergate scandal. Kinda makes sense to me now, I mean just listen to the guy voice when he speaks.

        To tie it all back to the Kennedy’s, not that long ago we had the death of JFK Jr in 1999, and Bush naming Kissinger to the 9/11 commission.

        Knowing that 9/11 was planned years before Sept 11th 2001, I’m starting to think they had JFK Jr killed in that plane crash in fear he’d be an 9/11 truth’er, or worst yet, that he’d one day become President and he’d out the people who were really behind his dad’s assassination.

        I got to say, only Tom Clancy could have written a story line like this.

    • HomeRemedySupply says:
      04/17/2017 at 4:57 am

      BBC’s reporter John Simpson “assumptive” type question to Putin.
      “You’ve got a big problem with the currency of Russia…” and then goes on how Russia should kiss ass to the western countries’ dictates.
      https://www.youtube.com/watch?v=ET8ukRY-nro

  7. Ragnar says:
    04/17/2017 at 11:58 am

    Wow, I wish our ATMs would spit out $100’s! Please hack our ATMs!

    I always hear how good competition is. Yet many of the capatalism institutions don’t seem to like competitors. Go figure!

  8. Ukdavec says:
    04/17/2017 at 3:48 pm

    Libor secret recording scandal – link to BBC Panorama documentary – well worth watching – while it is available.

    https://www.youtube.com/watch?v=tUpXhOC9ubQ

  9. Pablo de Boer says:
    04/17/2017 at 5:18 pm

    And señor James C. already informed us in 2015 which key role China have in the creation of the NWO

    CHINA: THE KEY TO THE NEW WORLD ORDER — James Corbett
    https://www.youtube.com/watch?v=tLlDVpPhROU

  10. herrqlys says:
    04/17/2017 at 5:42 pm

    As much as a country may want to be nationalistic and independent, there is always the thorny problem of having a positive balance of trade with the rest of the world, and obtaining enough foreign currency to finance the import deals.

    The logical result is compromise.

    Then there are the strategic considerations of keeping in meaningful touch with even your most perfidious adversaries. We hear things like “keep your friends close, and your enemies closer” and “the enemy of my enemy is my friend”.

    To take Russia’s case, for example, the country is still working its way out of the nightmare of the 1990’s when the country was broken and looted by the West. As long as Russia needs to cultivate foreign capital to supplement its own for major gas and oil projects, mining projects, and transportation infrastructure, they must hold their nose and do business.

  11. HomeRemedySupply says:
    04/18/2017 at 12:02 am

    I really learn a lot reading some of Corbett’s articles. This article and its twin sister ( https://www.corbettreport.com/chinas-swift-alternative-and-the-engineered-death-of-the-dollar/ ) are enlightening.

    $
    On top of that, “making money” (becoming more prosperous) always interests me. And Corbett’s links give some cool ideas here.
    https://www.corbettreport.com/dear-government-deliver-us-from-freedom/

  12. Jason Carswell says:
    04/18/2017 at 9:39 am

    Wasuremono = a forgotten thing.

    Playa gift = a random found thing (that is not trash or natural) that clearly has lost it’s former owner.

    During the winter the playa is wet and in the summer the playa is a desert. In Spanish I think it means beach. You know what gift means. At Burning Man, whether in a dust storm, drunken stupor, or dance session, people lose things all the time.

    Usage is generally limited among Burners who may use it even if they are not actually in the desert.

  13. Ukdavec says:
    04/19/2017 at 3:13 pm

    Article on the demonitisation activities taking place in India.

    Author homes in on the technology but overlooks the privacy aspects IMHO.

    Still a worth while read – coming to the rest of the world soon? I hope not.

    http://www.mauldineconomics.com/outsidethebox/raoul-pal-paying-attention

  14. Ukdavec says:
    04/21/2017 at 5:39 am

    Article on the seemingly forgotten campaign in Ukraine

    http://www.strategic-culture.org/news/2017/04/19/ukraine-verge-disaster-benefits-no-one.html

    • mkey says:
      04/22/2017 at 2:42 am

      That was a great story for full two months, which basically meets the average attention span of your typical TV news consumer. Ukraine, Ukraine, pro Russian separatist, Ukraine, Ukraine, pro Russian Separatists, Ukraine, Ukraine …

      War On Terror Fear Campaign (montage)
      https://www.youtube.com/watch?v=XsqPeqhKJ7Q

      A lie told once remains a lie but a lie told a thousand times becomes the truth

  15. generalbottlewasher says:
    04/21/2017 at 2:24 pm

    Damn James,I for one moment got lost in the beauty of the symmetry of your writing. Poetry of prose glows with an inter beauty that like an iridium flare blinds our eye of the ugly black truth that hides its meaning. Wham! Holy mother of pearl Jesus fuching H Christ you have done it again. I didn’t get any good news this week, on the poster front nor from J.E.P…well there was a lot of spraying in the skies over Joklahoma . Thanks James for the truth ,however black, it is better then the alternative universe, faked, engineered lies I was living. P.S. come on Pilato send it forward! Execlent feedback people! A little windy but your heart was in the right place , even the DOD troll,good attempt corpsman.

  16. generalbottlewasher says:
    04/23/2017 at 3:07 am

    Thanks,However pinnen more accurately. Like I said this articulating of the ” fixed banking nexis” represents accurately the reality of our enslavement. We are and as James delicately and beautifully pinned it down'(read last two(2) paragraphs of article)’we are screwed! On a side note no offense intended my few Canadian friends always use a sheep metaphor for when it’s bad. Why is that? I have never been told so deeply pleasingly how not free Americans are. We are total zombies. Is this the ( your) point James? We steeple in Joklahoma are just kept in a complete state of anxiety and can’t wake up. Access to news is spoon feed crap. Education can’t get funded so we dumd down the next generation by 4 day a week public schools while taking tax money and funding the private parochial system. It goes on and on and on. Every topic James and Pilato have come up with can be found in Joklahoma. Hell they test pillar cutting ordnance here. We are screwed down tight. People here know nothing of the banking system. Maybe Pilato was right about small minds, forgive the people comment.

    • generalbottlewasher says:
      04/23/2017 at 4:06 pm

      H.R.S. thank you. Did you mention a recipe for detoxing in the comment section somewhere? It sounds good,do you think it will clean out the nano-alluminm or fluoride build up in the body?

      • mkey says:
        04/23/2017 at 6:33 pm

        https://www.corbettreport.com/interview-1270-new-world-next-week-with-james-evan-pilato/#comment-38100

      • HomeRemedySupply says:
        04/23/2017 at 10:19 pm

        generalbottlewasher,
        mkey has the link for a simple detox. A person can feel good afterwards.
        Lots of sweat and sauna are the ultimate for good detox because chemicals are embedded within tissues, but a person needs to rinse off often so as not to re-absorb the pollutants through the skin (the body’s largest organ). Note also that toxins can recirculate and be re-deposited within tissues again. A person could combine other modalities to sweating, such as IV therapies.

        Here is a paragraph regarding Cilantro and Sexual Disease along with IV Therapies which is on the website of the last link. https://www.corbettreport.com/fit-for-thee-not-for-me-nwo-edition/comment-page-1/#comment-37999

        So, cilantro and greens will help rid oneself of aluminum and metals. However, mineral supplements, especially magnesium, facilitate the removal of metals and fluoride. Remember, often when detaching toxins from areas of the body, another nutrient (mineral) needs to replace the void. Magnesium covers a lot of ground. A person can not overdose on magnesium, because they will just get diarrhea as the body eliminates excess. A person can overdose on calcium. (pdf link)
        http://naturalvitality.com/wp-content/uploads/Calm-MERCH-Trifold-0002nc1.pdf

        During the process of building this website on FLUORIDE, combined with my science background, I learned a lot on fluoride chemical mechanisms and the body. http://www.dogsagainstfluoridation.com/

        Unfortunately, around 50% of the ingested fluoride accumulates within the body. It tends to attach to areas where there is calcium, such as bones, teeth, pineal gland, and some organs. A person can lower the fluoride absorption when one is drinking fluoridated water if they have food in their stomach, especially calcium type foods.
        EXAMPLE of Toxic Fluoride Emergency Treatment – http://emedicine.medscape.com/article/814774-treatment and http://emedicine.medscape.com/article/814774-overview

        Fortunately, the body continuously destroys and rebuilds bone and organs. This rebuilding process is a game changer. So, by having a superb diet a person can naturally eliminate the bulk of many harmful toxins. Good nutrients replacing the toxins during “rebuild”.

        • generalbottlewasher says:
          04/25/2017 at 4:33 pm

          Homey, Mkey & de Boar thank you all. Great wealth of knowledge I will put it to very needed good use. Really much appreciated. What a rich and thoughtful community around Corbett town. It’s working James in ways you have imagined.

  17. Pablo de Boer says:
    04/26/2017 at 4:29 am

    Is this the first major attempt in the dollar’s demolition as the global currency and to be replaced by the NWO-currency as is predicted by the Rothshild & Rockefeller!!!!

    Kremlin advisor reveals ‘cure for US aggression’
    http://tass.com/politics/942643

  18. Pablo de Boer says:
    04/26/2017 at 5:34 am

    In a recent report, the International Monetary Fund raised the issue of abolishing cash. The document did not contain any instructions regarding the matter, but recommended establishing economic incentives to cut the use of cash in various operations.

    Pravda.Ru turned to chairman of the State Duma Committee for the Financial Market, Anatoly Aksakov, in an attempt to find out whether it can be possible to refuse from the use of cash completely.

    “The IMF has prepared a working paper about the move to abolish cash. The document does not recommend eliminating cash completely. However, an increasing amount of governments around the world insist on measures that should be taken to refuse from the use of cash under the pretext of the struggle against terrorism. How do you think Russia should approach the issue? Is Russia ready to bid farewell to cash?”

    “I believe that it is not practical to solve this issue administratively, but one should stimulate this process. This is beneficial to the state, because it reduces costs for the production of cash, its transportation and disposal. This is beneficial to banks, because they will have more funds on their clients’ accounts, so banks will be able to use these funds to give credits to economy and the population. To crown it all, it is beneficial to people. After all, non-cash payments are more convenient.
    http://www.pravdareport.com/business/finance/13-04-2017/137495-abandon_cash-0/

    • Pablo de Boer says:
      04/26/2017 at 9:33 pm

      The Economist 1988:

      GET READY FOR A WORLD CURRENCY (2018!!!!)

      https://socioecohistory.files.wordpress.com/2014/07/theeconomist-phoenix_get_ready_for_world_currency_by_2018.jpg

      • HomeRemedySupply says:
        04/26/2017 at 10:20 pm

        Good graphic of “The Economist”.

        • Pablo de Boer says:
          04/27/2017 at 12:33 am

          Hola aloha HMR,

          This is the article written in the Economist

          — One world, one money–

          A global currency is not a new idea, but it may soon get a new lease of life
          http://www.economist.com/node/166471

          • Pablo de Boer says:
            04/27/2017 at 1:05 am

            The Global Banksters and their BIS (Bank for International Settlements) used their front office the IMF (International Monetary Fund) to create the SDR (Special Drawing Rights).

            The SDR is an international reserve asset, created by the IMF in 1969 to supplement its member countries’ official reserves. As of March 2016, 204.1 billion SDRs (equivalent to about $285 billion) had been created and allocated to members. SDRs can be exchanged for freely usable currencies. The value of the SDR is based on a basket of five major currencies—the US dollar, the euro, the Chinese renminbi (RMB), the Japanese yen, and the British pound sterling.
            http://www.imf.org/external/np/exr/facts/sdr.htm

            • Pablo de Boer says:
              04/27/2017 at 1:06 am

              The Bank for International Settlements (BIS) announced in 2013 that the Special Drawing Right (SDR) would replace the gold franc as the Bank’s unit of account as from 1 April 2003. This decision was made today at an Extraordinary General Meeting of member central banks of the BIS. The Bank also decided to take steps towards modernizing its financial accounting and reporting practices.
              http://www.bis.org/press/p030311d.htm

              • Pablo de Boer says:
                04/27/2017 at 1:07 am

                And the BIS is the head bank of most central Banks and not only the Board of Governors of the Federal Reserve System (United States), but also the Central Bank of the Russian Federation and People’s Bank of China are members.
                http://www.bis.org/about/member_cb.htm

              • Pablo de Boer says:
                04/27/2017 at 1:17 am

                And the BIS is allowed and granted to work outside the Swiss law.

                Agreement
                between the Swiss Federal Council
                and the Bank for International Settlements
                to determine the Bank’s legal status
                in Switzerland

                Article 3

                Inviolability

                1. The buildings or parts of buildings and surrounding land
                which, whoever may be the owner thereof, are used for the
                purposes of the Bank shall be inviolable. No agent of the
                Swiss public authorities may enter therein without the express
                Headquarters Agreement with Switzerland 37
                consent of the Bank. Only the President, the General
                Manager of the Bank, or their duly authorised representative shall be competent to waive such inviolability.

                2. The archives of the Bank and, in general, all documents
                and any data media belonging to the Bank or in its
                possession, shall be inviolable at all times and in all places.

                3. The Bank shall exercise supervision of and police power over its premises.
                https://www.bis.org/about/headquart-en.pdf

              • Pablo de Boer says:
                04/27/2017 at 1:23 am

                And read also Article 4 / Immunity from jurisdiction and execution. Or Article 7 Tax exemptions

  19. Pablo de Boer says:
    05/19/2017 at 5:39 am

    Russia Reemerges As China’s Top Crude Supplier

    Even a layman with no specific interest in international affairs could observe that the Russo-Chinese relationship has reached new heights in the last few years. Cooperation in the energy sphere is of particular importance to both regional powers – and although gas projects are still to come online by the end of this decade, trade and joint projects in oil have broken new ground. Chinese companies now have a minority stake in numerous producing upstream projects, like Verkhnechonskoye and Taas-Yuryakh, as well as in several ambitious up-and-coming endeavors, such as Yamal LNG and Sakhalin-3. Oil exports from Russia to China have experienced a seventeen-fold increase in the last 15 years and now account for almost a quarter of Russia’s exports. Yet, there is still room to expand this strategic link.
    http://oilprice.com/Energy/Energy-General/Russia-Reemerges-As-Chinas-Top-Crude-Supplier.html

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