ALBA And Its One Currency By Jolly Green

ALBA

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By Jolly Green

Venezuelan President Nicolas Maduro and other leaders arrive in Cuba to attend the Summit of the Bolivarian Alliance of the Peoples of Our America (ALBA).

The Alba was created 14 years ago on December 14, 2004, by the deceased presidents of Venezuela, Hugo Chavez, and of Cuba, Fidel Castro, describing it as an alternative to the Free Trade Area for the Americas (FTAA).

December 12, 2018, before the opening, the Cuban head of State received the participants of the meeting, at the venue of the Protocol Hall Cubanacan of Havana.

Attending the meeting are the Secretary-General of the integration bloc, Bolivian David Choquehuanca, presidents of Venezuela, Nicolas Maduro, of Bolivia, Evo Morales and Nicaragua, Daniel Ortega, as well as Prime Ministers of Dominica, Roosevelt Skerrit, and St. Vincent and the Grenadines, Ralph Gonsalves.

Several dignitaries, among them Cuba’s President, Miguel Diaz-Canel and Venezuelan President, Nicolas Maduro, who has highlighted on social networks the importance of consolidating unity and the regional integration to defend independence and sovereignty of the peoples.

To comply with that objective, they also highlighted the pertinence of strengthening the ALBA-TCP, which appeared as the alternative to the Area of Free Trade of the Americas (AFTA), a neoliberal proposal of the United States that pretended to break the sovereignty of Latin American and Caribbean nations.

The usual anti-US rhetoric prevailed at the meeting and ALBA, which on Thursday is marking the 13th anniversary of its founding, “needs an additional push,” Rodriguez said at the inauguration of the organization’s 16th Political Council.

He said this year had been one of changes in the international arena, including a “growing onslaught of US imperialism” in Latin America and the Caribbean, an “escalation” of aggression [by the US] against Venezuela and “growing threats to peace and security.”

In Thursday’s session, ALBA members reviewed global political issues such as the “campaign against Venezuela,” a reference to harsh sanctions imposed earlier this year by the United States, the Cuban Foreign Ministry’s director-general for Latin America and the Caribbean, Eugenio Martinez, told reporters.

US President Donald Trump in August signed an executive order that bars dealings in new debt and equity issued by the Venezuelan government and that nation’s state oil company, PDVSA.

The US Treasury Department said the measures were “carefully calibrated to deny (President Nicolas Maduro’s) dictatorship a critical source of financing to maintain its illegitimate rule, protect the United States financial system from complicity in Venezuela’s corruption and the impoverishment of the Venezuelan people, and allow for humanitarian assistance,” the statement said.

Because the re-election of Maduro was considered illegal and rigged, like the US, the European Union and Canada also have imposed their sanctions on Venezuela.

At the conference Maduro presented his old re-modeled plan to try and damage the dollar, called on all the ALBA members to follow Venezuela’s lead and adopt the Petro cryptocurrency and dump the dollar.

https://videos.telesurenglish.net/video/755423/president-maduro-proposes-petro-as-albas-currency/

Of course, most of the hemispheres intelligencia realize that Maduro invented the Petro cryptocurrency because Venezuela was rapidly being prohibited in dealing in dollars because of ever squeezing US sanctions.

The conference all agreed that their respective countries would adopt the Petro cryptocurrencies, but not one of the leaders have relayed to their citizens of this critical shift, an action which will more than annoy the US.

How that will affect the East Caribbean Dollar Union EC$, which is the currency of some of the Caribbean members, is not yet fully understood. The EC$ is tied in value to the US$, if it is realigned to be set against the Petro cryptocurrency it could quite well become valueless in a brief time after adoption. Unless of course those countries like Saint Vincent and the Grenadines opt out of the ‘Petro’ which would be a sensible thing to do.

Problem is there are not any sensible leaders among the ALBA membership, otherwise they would have not taken their countries into the membership in the first place. Also they are all obliged to provide solidarity to each other, it is one of ALBA’s terms of membership.

Six of the states using the EC$ are independent states: Antigua and Barbuda, Dominica, Grenada, Saint Kitts, and Nevis, Saint Lucia, and Saint Vincent and the Grenadines. The other two are British overseas territories: Anguilla and Montserrat. These states are all members of the Eastern Caribbean Currency Union.

Antigua and Barbuda, Dominica, Grenada, Saint Lucia, and Saint Vincent and the Grenadines, are all members of the East Caribbean Dollar monetary alliance. They all owe their citizens an explanation regarding the adoption of such a far-reaching decision.

The petro, or petromoneda, launched in February 2018, is a crypto-currency invented and developed by the government of Venezuela. As of August 2018, it did not appear to function as a currency. Announced in December 2017, it is supposed to be backed by the country’s oil and mineral reserves and is intended to supplement Venezuela’s plummeting bolívar-Fuerte-currency, as a means of circumventing U.S. sanctions and accessing international financing. On August 20, 2018, the bolívar Soberano was introduced, with the government stating it would be linked to the petro value.

The problem is that the country’s oil and mineral reserves are already in hock to Russia and China, which makes the Petro little more than useless and valueless. Cuba has bled Venezuela dry, and now agrees with the adoption of the petro.

In 2017, a month after Venezuelan president Nicholas Maduro announced the creation of the Petro, a state-backed cryptocurrency that would supposedly bring the country out of six-figure hyperinflation, the only place the Petro seemed to exist was in the media.

Now it will take on a new status if adopted by all the ALBA members, who may just be adopting Venezuela’s one million percent inflation, ALBA wide.

Jolly Green

2 Comments

  1. Although Venezuela is a failed state. it is all true that the US is trying to destroy the country. The cryptocurrency is a good attempt to protect Venezuela from the US aggression. What scares the US the most is that this cryptocurrency is backed by oil, not by “thin air” like the US Dollar or even (to a large extent) Bitcoin. With more wealth and potential than any country on earth, Venezuela should be a wealthy and powerful nation, but instead, because of it’s terrible system it is a basket case. The author says the vote was rigged. Venezuela is said by international observers to have the best voting system on earth, and the USA is the easiest country to rig elections. So, in that respect the author is certainly wrong. It is however possible that Maduro used Building supplies, immigrants from Africa, and redistricting and other tactics to influence the election in Venezuela as they do in SVG. The worst thing about it is that the people are the big losers, in Venezuela as in SVG. Any influencing or cheating on elections should be seen as a more serious offense than it is. Look at SVG, the building materials, etc… and how long it has taken to get the petitions to be heard, for an example of corruptions in the voting process.

  2. Well my dear Jolly Green Just what is it with these South American and Caribbean scammers and confidence tricksters, forever blowing their hot air, proving themselves to be nothing other than a collection of gross charlatans and grubby over bloated windbags?

    For years the epicentre for their pomposity, useless posturing and swagger was Havana with Fidel Castro being their overt leader before Chavez burst onto the stage with his own blustering bravado, only to die leaving his stashed millions. Moreover, now that both he and Castro have been dragged off to their well-appointed allotted place below, successor Maduro have switched the centre of gravity back to Havana.

    Indeed, we all know of that phrase and idiom that says that birds of a feather will always flock together and so it is here, as these political scammers’ confidence tricksters conference together seeking to avoid the American financial Sanctions but will the floating and use of a crypto-currency help them to avoid the United States global reach, in containing them? One doubts it.

    Some here in St Vincent and the Grenadines are quite aware of the democratic deficit that is being experienced by us, as a result of this “traditional ruling Plantation family” holding our nation to hostage, as they try and fuse their brand of pseudo-Marxism ideology, with their now rampant crony Capitalism into a workable doctrine. Crony-Capitalism coupled with gross nepotism and pseudo-Marxism are a heady mix and a sure way to mass poverty and failure.

    Sadly however poor education standards by the our mass here, electoral skulduggery and the destruction of all civic institutions have resulted in a family power concentration in St Vincent and the Grenadines, where parliament has become nothing but a rubber stamp for the family’s interest.

    Indeed Jolly Green as you have said that “The usual anti-US rhetoric prevailed” at the conference, which was surely to be expected, yet these Caribbean charlatans are not ashamed to take the American Aid in all of its forms, in order to prop up their cash starved economies and failing institutions but would always spew out their anti-American rhetoric for a gullible mass to digest.

    Rightly the “US President Donald Trump in August signed an executive order that bars dealings in new debt and equity issued by the Venezuelan government and that nation’s state oil company, PDVSA.” And that singular act alone would no doubt cause much problems for the likes of the Ralph Gonsalves regime too.

    Moreover, just how laughable is this call by Maduro if as you said that “At the conference Maduro presented his old re-modeled plan to try and damage the dollar, called on all the ALBA members to follow Venezuela’s lead and adopt the Petro cryptocurrency and dump the dollar”? It reminds me of the fly on the elephants back!

    Noting there what you said that “The conference all agreed that their respective countries would adopt the Petro cryptocurrencies,..” and that “not one of the leaders have relayed to their citizens of this critical shift,..”

    Such behaviour would not at all be surprising for Ralph Gonsalves. It’s just family plantation business as usual in the case of St Vincent and the Grenadines, so why would the Gonsalves family inform their plebs of their intended action, the plantation is yet alive and well here in St Vincent and the Grenadines.

    Yet it sure would be most interesting to see how these charlatans, particular Ralph Gonsalves implement their plan of escaping and avoiding the American restrictions, that are sure quite far reaching in their reach and scope. And how indeed would this use of a crypto-currency square with the E.C.C.B’s rules together with its dealing with the American and the E.U’s Central Banks. Is this yet to be an example of more rhetoric and hot air from this bunch?

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