Russian Magazine: City of London Is The Problem
June 19, 2007 (LPAC)--Tatyana Gurova, deputy editor of the influential Russian economics weekly Expert, writes in this week's issue about the difficulties in mobilizing credit to finance industrial activity and other business inside Russia. She casts her article in the framework of the discussion launched by Kremlin deputy chief of staff Valentin Surkov, about "sovereign democracy." Can a national economy really be sovereign, asks Gurova, "if its money market is shaped and regulated chiefly by foreign financial flows?"
The lengthy, carefully argued article includes a sub-section titled "Outplaying London." This passage continues the critical look at Russia's relations with the Britain ruling elite, both British Intelligence and the City of London, that has otherwise been unfolding around the Litvinenko murder case (which Russian sources charge MI6 with staging), in President Putin's recent statements (on the eve of the G8 summit, he called Royal Dutch Shell's 1990s operations in Russia "colonial"), and in specialized publications.
In an online discussion of the article, it has been linked to Lyndon LaRouche's recent interviews and articles about the historical and present role of the Anglo-Dutch financial oligarchy.
Gurova writes: "The West can find no better strategy towards the economically attractive nation of Russia, than to turn it into one big clearing center: we are to take loans, guarantee them with our assets, and repay with interest when they come due. The main player in this is London. It is precisely London--having taken over from New York the status of the world's chief financial center, at the cost of losing [Britain's] own national industry--that is the most interested in raking off grains from the huge Russian economy. It is precisely London, that watches eagerly, as Russia attempts to arrange its complex economic ties with EU member countries. It is precisely London, that launched a fight to the death against the deal between Russia's Severstal and the Arcelor company of Luxembourg. It is precisely London, that stated absolutely unambiguously, out of the mouth of Tony Blair himself, that British businessmen would pull their funds out of Russia, if political relations deteriorated."
People who doubt the scale or importance of British investment in Russia or internationally, Gurova recommends, should listen to what Expert's London correspondent reported, a couple of issues back: "Today about 80% of banking operations are conducted directly or indirectly through London, and it accounts for 70% of the secondary market for securities and 50% of the derivatives market. London is the world's main center for offshore funds management."
In the Expert Online discussion forum, one astute reader wrote in to say, "An excellent article! I especially like the part about the London financial center. London really has become the world's financial capital. As LaRouche says, all of the world's problems are going to come out of the Anglo-Dutch syndicate."