Close X Cookies are necessary for the proper functioning of By continuing your navigation on our website, you are accepting the use of cookies.
To learn more about cookies ...
In the same category

CBC: Canada To Adopt the Cyprus Model of Depositor 'Bail-In' In Case of Bank Failure

IMG Auteur
Published : April 04th, 2013
421 words - Reading time : 1 - 1 minutes
( 1 vote, 4/5 )
Print article
  Article Comments Comment this article Rating All Articles  
Our Newsletter...
Category : Crisis Watch

The smugness of the Canadian politicians is reminiscent of the Bank of New Zealand. 

Perhaps that is what the political do when they are making plans for a gathering storm and they wish for everyone to remain on the beach in the meanwhile.

I could be wrong, but in my judgement nothing in the global banking system is safe if the massive derivative bubble collapses. 

It will not only take down the private banks, but quite a few sovereign countries as well.

I am of the opinion that in the States there will not be the same sort of 'bail in' but a 'print in' in which the Fed will supply as much money as is required, taking value from all who hold Dollars including foreign holders.  So in that sense, the US is 'safe.'  It is all the holders of dollars around the world who are not.

You may wish to take some protective measures if you have not done so already.   When the times comes, there will be no time.

Ottawa weighing plans for bank failures
By Neil MacDonald
April 3, 2013

Buried deep in last month's federal budget is an ambiguously worded section that has roiled parts of the financial world but has so far been largely ignored by the mainstream media.

It boils down to this: Ottawa is contemplating the possibility of a Canadian bank failure — and the same sort of pitiless prescription that was just imposed in Cyprus.

Meaning no bailout by taxpayers, but rather a "bail-in" that would force the bank's creditors to absorb the staggering losses that such an event would inevitably entail.

If that sounds sobering, it should. While officials in Ottawa are playing down the possibility of a raid on the bank accounts of ordinary Canadians, they chose not to include that guarantee in the budget language.

Canadians tend to believe their banks are safer and more backstopped than elsewhere in the world. The federal government enthusiastically promotes the notion, and loves to take credit for it.

It may well be true, even if Canada's six-bank oligopoly isn't terribly competitive, at least in comparison to the far more diverse American banking universe.

But in the ever-more insecure world that has unfolded since the financial meltdown of 2008, it is also increasingly clear that nothing is safe anymore, not even blue-chip bank stocks and bonds or even, in the case of the Cyprus bail-in, private bank accounts.

And now, Canada is making a bail-in official government policy, too...

Read the rest here.

Data and Statistics for these countries : Canada | Cyprus | New Zealand | All
Gold and Silver Prices for these countries : Canada | Cyprus | New Zealand | All
<< Previous article
Rate : Average :4 (1 vote)
>> Next article
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
Latest Comments
06 OctS W.
Good Call. I am saying the same on nearly all his articles. To wit, he has been and remains totally wrong about the PM's for years.
05 Octovertheedge1
"To wit, the “sixth sigma” similarity of Tuesday, Wednesday and Thursday’s silver and “Dow Jones Propaganda Average” charts." When you tro...
Not Enough Gold To Pay All Holde...
03 OctDirk
Have a look at this
Another Case of Market Manipulat...
02 OctDirk
I have studied manipulation by central banks and cannot find any strong evidence that there is manipulation.
Gold and Silver Update
29 Sepjustatrader
Hi Florian, good analysis. But don't you think have a stop at 1120 would be detrimental to the longer term upside bias? It is a great level of supp...
Congress and the Fed Refuse to L...
29 Sepsonora691
Great idea!! Audit the Fed, and while we're at it, let's get someone to audit the gold vaults in Fort Knox and at the Federal Reserve's gold storag...
In Defense of Gold
29 Sepsonora69-1
In 1933, President Roosevelt outlawed the ownership or possession of monetary gold by any US individual, partnership, association or corp...
29 Sepsonora69
In 1933, President Roosevelt outlawed the ownership or possession of monetary gold by any US individual, partnership, association or corp...
Most commented articlesFavoritesMore...
World PM Newsflow
Mining Company News
Azimut Expl.(Gems-Pl-Ag)AZM.V
Azimut acquires Duquet Property, Nunavik
CA$ 0.10+0.00%Trend Power :
Corporate news
Section H Drilling 135 m South of Heberto Gold Discovery Hits Gold-Bearing Heberto Style Zones
CA$ 0.08-16.67%Trend Power :
Corporate news
Teryl Res.(Ag-Au-Gems)TRC.V
CA$ 0.02+0.00%Trend Power :
Corporate news
Northern Superior Resources(Gems-Ur)SUP.V
Northern Superior Reports Additional New Showing, Grizzly Property, West-Central Quebec
CA$ 0.03+0.00%Trend Power :
Corporate news
Integra Gold(Gems-Ag-Au)ICG.V
Integra Gold Announces Discovery of New Gold Bearing Zones at Lamaque South and Discloses Significant Drilling Results from No. 6 Vein including 22.64 g/t over 2.59 meters*
CA$ 0.30+3.51%Trend Power :
Corporate news
Teck Announces Silver Streaming Agreement with Franco-Nevada
US$ 6.70+12.61%Trend Power :
Corporate news
6:02 am Teck Resources enters long-term streaming agreement with Franco-Nevada Corporation (FNV) linked to production at the Antamina mine; FNV to make a $610
US$ 6.70+12.61%Trend Power :
Exploration and drilling
Vale do Rio(Coal-Cu-Fe)RIO
Rio Tinto’s Aluminum Production: Is There an Upside?
US$ 37.93+7.09%Trend Power :
Corporate news
Gold Road ResourcesGOR.AX
2015 Annual Report
AU$ 0.44+0.00%Trend Power :
Corporate news
2015 Sustainability Report
AU$ 6.10+1.84%Trend Power :
Corporate news
Comments closed