Economist Dr. Sami Assa describes the global economic system as an "imposed reality", and spoke in an interview with Al-Jazeera Net about the prospects for this system and the dangers of the collapse of Arab currencies, and the repercussions of the Russian-Ukrainian war on the region, and will the world witness a more just economic system?
Dr. Assa is an international economist, a German of Syrian origin. He obtained a PhD from the University of Berlin (Faculty of Politics and Economics) in 1965. He left his job and devoted himself to self-employment in 1967. He established the “Arab-German Liaison Office” in Munich, and has 30 authors. published, Al Jazeera Net visited him at his home in Munich, Germany, and had the following interview with him:
What is the state of the global economy and its prospects?
The global economy is in a major impasse created by the major powers with their own hands, and when we talk about the prospects of the global economy, we quickly discover that we are facing global financial institutions that are constantly in contact with the pulse of the global economy, and that the managers of those institutions are influential in determining the quantities of dollars, euros, yen and Chinese yuan that are printed.
These manage money transfers around the world, determine the amounts of cash to be printed, and supervise the manufacturing and marketing sectors.
They want to ascend the position of sovereignty over the world through their control over the economy and money. The more the boards of directors of institutions continue to dominate the world’s stock exchanges, the countries in need of loans submit to their desires and conditions.
And if we monitor the policy of granting loans by the World Bank, we will discover that it is the small, middle and rich countries of the world that deposit their money in First World banks in return for cheap, low interest. They then collect deposits of small and middle countries, then grant loans to third world countries, seize the profits and impose their conditions on poor countries.
Assa left the job and devoted himself to self-employment (Al-Jazeera)
Is money and wealth being stolen through money centers and the stock market?
I can say yes, as the managers of global institutions take the liquidity of poor countries on unfair terms, and lend it to other needy people on impossible terms.
The real profits are monopolized by the directors and presidents of banks, and loans are granted to those who do not deserve them, so the opportunities for reform are lost in the third world countries, so it is in the interest of these people to spread chaos and corruption and fuel wars so that those sitting in the chairs of management benefit, and thus they devote their economic, scientific and military capabilities to achieve the goal of sovereignty, so what happens is a described theft of wealth Third World countries.
As for stock markets, they are nothing but a front for those financial centers that we talked about, and I will give you an example, if the decision makers in several international stock exchanges agree to buy every dollar offered around the world within the next 6 hours for 15.1 euros and to sell any dollar for 16. 1 euro?
Is there anyone who will sell his dollar for 14.1 euros?
Does this not lead to stabilization of the dollar exchange rate?
Doesn't this mean that manipulating the prices of currencies and stock exchange shares is within the reach of a number of high-ranking financial institutions?
Are we not aware that manipulation of stock exchange prices is something that happened and will happen, and that the losers are the deposit owners who cannot avoid the artificial price fluctuations?
Does this mean manipulation of dollar prices as well as important resources such as oil and gas?
We must point out here that dollar printing operations are not decided by the United States government, but rather by the Federal Reserve System, which is an independent and sovereign institution that manages depositors’ funds, and its independence means that it is not constitutionally subject to the ratification of the head of state or any other executive authority in the state.
It is true that the entire institution is subject to congressional control because the constitution granted the country’s president the authority to mint money and set values, but Congress has entrusted this dangerous task since 1913 to the Federal Reserve (the US central bank), meaning that the US government is not the decision-maker in this particular matter.
As for printing dollars, stacks of white paper are placed in printing machines, and a white plate enters and comes out dollars of different denominations. With this white paper, whose value does not exceed 10 cents, and with these dollars of dubious value, the developed world buys goods, raw materials, and services. As for the value of wealth, it is sufficient. To ask one question, are the prices of goods equal to a dollar bill?
What is the danger of this on the Arab currencies?
The Arab countries must be aware of the magnitude of the danger in the decline of their currencies, and more importantly, will the Arab currencies remain relatively stable when the first world dispenses with oil and gas?
What commodities are available to the Arabs to buy their various imports at their prices?
Who has interest in currency war?
Could the Russian-Ukrainian war lead to radical changes in the global financial system?
The global financial system is an imposed reality and protected by major powers, who do not allow its collapse, but these events have serious repercussions on the world, including the Arab region, and if we look at the repercussions of the Russian-Ukrainian war, we will find that arms factories and dealers are the winners first, and after the war, those who will rebuild will benefit. What was destroyed by the war, legitimate questions will lead to the fact that whoever controls the transnational companies is the winner, and that there are forces that renew their economy through wars and conflicts.
What about the race to raise interest rates and inflation?
One of the means of unlawful monopolization of the wealth of the third world is the unjust interference in interest pricing, especially when the stock exchange media office claims that supply and demand determine the rise or fall of share prices. If a fire breaks out in a cement factory, we find that the company’s share price rises or falls within days or hours of The news spread, but this quick response to the fire could not be consistent with the reality of matters, as the rise in the price of the factory’s shares did not spread quickly in parallel with the news of the fire.
The shareholders are not in one place, so they hear the news of the fire, and they increase the price of the share at once, and this prompts us to say that the mechanism of the share price increase does not take place as a result of the news reaching hundreds, thousands, or millions of shareholder, but rather because of a quick meeting of officials in the board of directors who take a decision It contains the appropriate decisions and determines the course of action.
What is the most appropriate alternative to building a global economy based on justice?
The global financial system is a brutal system that is based - as we mentioned - on stealing the wealth of peoples and imposing specific currencies, as well as striking the currencies of the Third World. to great disasters.
The countries of the world must participate in setting up a monetary and financial system that achieves the aspirations of the people, and there are successful economic systems, but they were not allowed to work in light of the system of economic globalization and domination, including the Islamic economy that is based on justice and preventing monopoly, and prohibits interest, and refuses to accumulate money and sets standards Accurate distribution of wealth as well as the percentages of different zakat.