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Friday, December 19, 2014

American, billionaire and philanthropist George Soros may be head of Ukrainian National Bank.

There are several reports about billionaire American business tycoon and philanthropist, George Soros, possibly being the next head of the Ukrainian National Bank (NBU).

Ukrainian president, Petro Poroshenko, seems to like appointing foreigners to top cabinet posts and gives them immediate Ukrainian citizenship: US-born Natalie Jaresko became finance minister, Lithuania's Aivaras Abromavicius economy minister and Aleksandre Kvitashvili - from Georgia - health minister. Hours before the vote in the parliament that installed them, all three were granted Ukrainian citizenship by President Petro Poroshenko. Jaresko was former president and CEO of Western NIS Enterprise Fund(WNISEF) a project funded by the U.S. Agency for International Development (USAID).


 The APA reports that Ukraine’s Channel 112 reported the information about the Soros candidacy derived from sources in Verkhovna Rada and people close to Petro Poroshenko. Soros is not the only foreigner among candidates for the head of the Bank with the former head of the International Monetary Fund(IMF) Dominique Strauss-Kahn also said to be in the running. There are also representatives of the US Federal Reserve system among the five candidates.

 The Ukraine would not be unique in having a foreigner as head of their central bank. The United Kingdom has Mark Carney, a Canadian, as the governor of the Bank of England. Carney was formerly governor of the Bank of Canada and before that he worked for years for Goldman Sachs in several countries. Nationality becomes less of a factor than being able to serve North American and European global capital.

 The current head of the NBU is Valeria Gontareva who was appointed just back in June. She apparently has just recently submitted a letter of resignation after a report from the Parliamentary Committee on Finance and Banking asked for an urgent report on the status of the Ukrainian monetary system as well as asking Poroshenko to dismiss Gontareva.

 Soros has been active in financing NGO's throughout now independent countries that used to be part of the Soviet bloc and he helped promote the Rose revolution in Georgia. He has also promoted the work of anti-government NGO's in the Ukraine: Ercis Kurtulus, head of the Social Transparency Movement Association (TSHD) in Turkey, said in an interview that "Soros carried out his will in Ukraine and Georgia by using these NGOs .." Whoever heads up the NBU will have a tough job trying to stabilize the hryvnia, the Ukrainian currency. As with the Russian ruble, the hryvnia has had a huge fall in value. Back on November 11, Bloomberg reported: The currency dropped 6.2 percent to an all-time-low 15.84 per dollar by 3:30 p.m. in Kiev, down 18 percent since the central bank loosened its management of the exchange rate a week ago. The Ukrainian Equities Index slid 6.4 percent, the most among 93 global gauges tracked by Bloomberg. The yield on the sovereign’s benchmark Eurobonds approached record highs.

The Bank co-ordinates its activity with the government through a council of 15 members. The president Petroshenko is a member of the council. The Ukraine will be a government by the billionaires for the billionaires, should Soros head the NBU. Poroshenko, the chocolate king, is also a billionaire along with Soros and is one of the Ukrainian oligarchs.

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