Hyperinflation Erupts in Belarus As Russian Ruble Crisis Begins to Spread

[BarryDonegan]

http://benswann.com/hyperinflation-e...ins-to-spread/

Following the Russian ruble's collapse under the pressure of US sanctions and plunging oil prices, neighboring Belarus, which relies on Russia's economy, has slipped into a financial panic, with authorities setting currency controls and cracking down on media outlets in a last-ditch effort to stave off hyperinflation and bank runs.

[willwash]

All this chaos might drive gold down, ironically enough, as markets flock to the "security" of the US Dollar.

[CaptUSA]

This is going to have some pretty profound long-term consequences. When the world recognizes the power of a reserve currency in such stark terms, you had better believe there will be an international push to counter.

[Natural Citizen]

...you had better believe there will be an international push to counter.

Yep. Watch Germany especially. They're playing along at the moment but I think it's ultimately just to separate themselves from NATO. A couple of other giants are rumbling too.

Actuall, there are a couple of really informative threads around here with regard to what some of these nations are doing to kind of reset the terms of controversy in the the long term. But, at the moment, playing along is the diplomatic thing to do. And our leadership isd blind to the longterm. Everything is so knee jerk and short term vision for most of them.

Of course, China is helping Russia out now and then Russia did just pay off a $9 bn debt so they aren't hurting like we think they are.

BRICS are scrambling under the radar. Best to pay attention.

[Zippyjuan]

Belarus imposed a 30% fee on currency exchanges. http://eng.belta.by/all_news/economi...s_i_78317.html

Enterprises will not have to pay the fee when purchasing foreign currency to pay for oil, petroleum (associated) gas, other liquid and gaseous hydrocarbons, natural gas, and electricity. Even with the 30% fee, Belarusian importers will have higher trade margins than similar businesses in Russia or Ukraine where the level of devaluation reached 180% and 200% respectively. The Prime Minister assumed that "the prices for some imported goods might go up." But he drew attention to the fact that Belarus produces similar goods of high quality, at affordable prices and in sufficient quantities.

Mikhail Myasnikovich also spoke about the measures taken by the Government and the National Bank to protect the ruble deposits of people. The interest rates on constantly available and two-way current liquidity support transactions were increased to 50% per annum. This measure will result in the proportional increase in the interest rates on deposits in the national currency. All major banks introduced fixed-term guaranteed savings deposits with the mechanism for adjusting the ruble savings to the fluctuations in the exchange rate of the Belarusian ruble. "Citizens can open such deposits and have a high rate of return unlike those who traded the Belarusian rubles, put them in the pockets and incurred damages in this regard. But that is their choice, "said the Prime Minister.

Any citizen can buy and sell currency without restrictions. "People have the right to choose. If they want to change their rubles for dollars, they can freely do it but they will have to pay the 30% exchange fee. We do not have that many dollars to satisfy the demand in full,” said Mikhail Myasnikovich.

[HOLLYWOOD]

Ruble Crisis or Recovery?

[DFF]

Hyperinflation wouldn't be possible under a Gold standard.

Belarus and Russia should back their currencies with Gold.

Depreciation problems would instantly disappear.

[LibForestPaul]

Hyperinflation wouldn't be possible under a Gold standard.

Belarus and Russia should back their currencies with Gold.

Depreciation problems would instantly disappear.

I would think CFR would start counterfeiting the Ruble.

[osan]

http://benswann.com/hyperinflation-e...ins-to-spread/

Following the Russian ruble's collapse under the pressure of US sanctions and plunging oil prices, neighboring Belarus, which relies on Russia's economy, has slipped into a financial panic, with authorities setting currency controls and cracking down on media outlets in a last-ditch effort to stave off hyperinflation and bank runs.

I wonder whether that faint odor I detect is that of the USA advising their Saudi colleagues to keep the oil flowing for precisely this effect. The Saudis gain the added benefit of perhaps breaking the shale-oil producers in the deal.

[osan]

All this chaos might drive gold down, ironically enough, as markets flock to the "security" of the US Dollar.

Your sarcasm may or may not have basis, depending on what Theire real intentions are for the dollar, which is still a powerful weapon. The age of electronic currency has changed the game fundamentally, I suspect. This, however, may never be known for certain. The ability to create and destroy currency with a few keystrokes or lines of code appears to me to be a quantum alteration in macroeconomic "management". Only time will tell... maybe.

That all aside, one must wonder how the Russians might respond if their currency fails and they decide the USA is behind it. Would they roll tanks across Europe? Perhaps not into France, but they might decide that reforming the former Soviet Bloc is a nifty and practical idea. If they do, then the ball falls into the West's court. Before you know it, we could all be glowing in the dark... those of us who remain, that is.

[FindLiberty]

WTF,

It sounds like an act of war when someone orchestrates an economic attack.

Psychopaths must have a "glow in the dark" holiday death wish...
Who wants another "warm" SHTF holiday greeting like December 07, 1941?

What if Krampus is only too happy to oblige?

No thanks!

[anaconda]

Could this give Bitcoin a bump?

[osan]

Could this give Bitcoin a bump?

Good grief.

[PRB]

All this chaos might drive gold down, ironically enough, as markets flock to the "security" of the US Dollar.

all the more reason why hyperinflationists are full of $#@!.

[Demigod]

Your sarcasm may or may not have basis, depending on what Theire real intentions are for the dollar, which is still a powerful weapon. The age of electronic currency has changed the game fundamentally, I suspect. This, however, may never be known for certain. The ability to create and destroy currency with a few keystrokes or lines of code appears to me to be a quantum alteration in macroeconomic "management". Only time will tell... maybe.

That all aside, one must wonder how the Russians might respond if their currency fails and they decide the USA is behind it. Would they roll tanks across Europe? Perhaps not into France, but they might decide that reforming the former Soviet Bloc is a nifty and practical idea. If they do, then the ball falls into the West's court. Before you know it, we could all be glowing in the dark... those of us who remain, that is.

They neither have the manpower,money,allies nor propaganda to occupy any part of Eastern Europe.What the Russians want is a union with Belarus,Kazakhstan and Ukraine + some Trojan horses inside the EU.

And I really don't understand why the Russians,Ukrainians and the rest of none-EU eastern Europe deals with dollars at all when most of their trading is with the EU in euros.