By Daisy Luther
Hot on the heels of the Deutsche Bank debacle comes the next nail in Germany’s economic coffin.
Germany’s second largest bank, Commerzbank is planning to cut almost 10,000 jobs over and will stop paying dividends to shareholders. These actions will take place over the next 4 years.
When the news broke about Deutsche Bank collapsing, the German government said it will not assist the ailing bank – however, some have reported that the situation appears so dire that they may have softened.
According to Die Zeit, the German financial sector is in talks with the government to have a rescue plan in place to head off a total collapse of the bank. However, Deutsche Bank and the German Finance Ministry have denied that the government would be prepared to hold a 25% stake in the bank to prop it up.
“This report is false. The federal government is preparing no rescue plans. There is no reason for such speculation. The bank has said that clearly.” A member of the Finance Ministry said yesterday. (source)
Concerns are rising due to the size of the fine imposed by the U.S. Treasury.
Deutsche Bank is Germany’s biggest lender and is facing a $14bn (£10.8bn; €12.5bn) bill for improper selling of mortgage-backed bonds before the financial crisis of 2008. Many experts don’t feel that they would have to pay the whole fine but say that it is within the rights of the Treasury to insist the fine is paid. If this happens, there is little doubt that would lead to the total collapse of the bank in its current form.
Germany is in turmoil.
A few short weeks ago, the German government recommended that its citizens prepare for a national emergency by stockpiling food, water, and cash. Was an impending economic collapse the reason why?
This is a nation that isn’t used to having to deal with such things and their hard-line stance during the Greek financial crisis has put them in a position whereby they will look hypocritical if they step in to help a German financial institution when they basically turned their back on Greece. A “bank holiday” left the Greeks with no access to money, and their financial collapse resulted in tens of thousands of Greeks being unable to feed their kids and a skyrocketing suicide rate.
Merkel’s open door policy for migrants has also caused some deep divisions with massive gains amongst the far-right who have pledged to cut immigration.
The country has been besieged by sexual assaults and a rise in violence over the last few months and one has to ask how long the ‘strongman’ of Europe can keep traveling on its present course.
Of course, astute observers knew something was amiss when Germany announced it was looking at the possibility of re-introducing the draft and had advised German citizens to stock up on food, water, and cash in case the country faced a national emergency.
Europe is teetering on the brink and, although we are thousands of miles away, we must take note of what happens there. Trade and economy are inextricably linked in this age of global connectedness and the ripples are felt around the world when a major economy hits its crisis point.
Daisy Luther is a freelance writer and editor. Her website, where this article first appeared, offers information on healthy prepping, including premium nutritional choices, general wellness and non-tech solutions. You can follow Daisy on Facebook and Twitter, and you can email her at [email protected]
The festering boil is finally being lanced …sort of….as always…just like the game being played by the US Federal Reserve……lest we forget that this is all Babylonian $$$ Majik via a usurious & mendaciously fabricated /debt & interest machination of ‘Snakes & Ladders’ financial chicanery, juxtaposed besides a ‘serious’ game of Monopoly with a bloated ‘Financial-product’ in the form of a Grand Illusion of imaginary ‘Derivatives’ is swinging like the ‘Sword of Damocles’ over the financial future pensions of the 99%…where the 0.01% ‘gangsta-banksta’s’ never go to jail… only the peasants do… for the ‘crime’ of stealing a metaphorical ‘loaf of bread’ to feed their families.
If you had read George Soro’s leaked emails you would know that this was all planned a long time ago. Actually the plan to destroy Germany goes back at least to 1952 and the founder of the European Union’s letter describing the systematic destruction of all European economies, especially Germany.
They have to destroy Germany because it is strong enough to oppose the continued European integration. Fortunately they have Merkel, the daughter of Stasi (East German Secret Police) agents to destroy the country. Why do you think she has done everything she can to bring Germany to its knees? That’s her job.
Another point: The article sounds like a set up to get the public to accept Bail Outs (or Bail Ins) of these 2 mega banks. Weren’t the same basic arguments used in Greece, Spain, Italy, Ireland, Cyprus et al to justify Bail Ins/ Out? Same old scam!!
How did it work in THOSE cases? The BANK’S debts became everyone’s debts and the banks became the merciless creditors, economically destroying those countries to make sure they got paid!
Ge-EXIT. The sooner all of the world banks collapse the better. They have stolen the wealth of the world and create debt and death out of thin air.
Cut off the head of the beast and there will be a thousand years of peace and prosperity.
END the FED – Ron Paul and me.
The problem is the Banksters and their puppet government wont let any other bank start up to replace the failing ones. The Banksters want to bring in the New order of the world. Where freedom is a crime, and have no money, just credits each week if you obey their luciferian dribble.
– and the banksters in control are constituents of which religion ?