12/11/08

85% of the ALBA bank will belong to Venezuelan government

por Larry Correo electrónico  195 palabras

Economy and Finance Minister, Alí Rodríguez Araque, stated on tuesday that the new ALBA bank will have 85% of its initial US$ 1 billion in capital subscribed by the Venezuelan government. The bank's capital could be increased in the future to US$ 2 billion. This means, the Venezuelan government will have to put US$ 850 million to fund the initial bank operations.

First of all, what is the ALBA bank? The ALBA (for Bolivarian Alternative for the Americas, in Spanish) bank is the new pet project of our president Hugo Chávez. This, "anti-capitalist bank" is his way to compete with the IMF and the World Bank. But this is clearly a no-win proposition for the Venezuelan people, at least from the economics point of view.

The partner countries, such as Bolivia, Cuba and Nicaragua, will put only 25% of the bank's capital and of course, will get most of the funding. They will be net receivers of capital, while Venezuela will be a net payer.

The only people benefiting from this new wealth squandering scheme in Venezuela will be Hugo Chávez and his cronies, who are obsessed with spreading their "bolivarian" revolution to the rest of America.

Dirección para referencias de este mensaje

URL para Referencias (pinche con el botón derecho y copie la dirección del enlace)

1 comentario

Comentario De: Kira [Visitante]
KiraThe vast majority of the people in Venezuela will benefit if ALL the banks in Venezuela is nationalized, like the people in China benefit from the fact that virtually all Chinese banks are state-owned.

You can't trust individuals who just want to make a profit to own such important key sectors of the economy as banks.
30.12.08 @ 22:29:46 -0430 VET
powered by b2evolution free blog software

Recent Posts

From Liberal Venezolano

Licencia de Creative Commons
Esta obra está bajo una licencia de Creative Commons
Valid XHTML 1.0!