Reborn American Giants

As soon as the central bank's policy committee's report was handed in, there was a lot of noise the next day.

Official, unofficial, domestic, and foreign media all criticized the central bank's report.

Jose originally wanted to ignore the noise of these ill-intentioned people, but waves of panic selling in the currency market have spread to the securities market.

By lunch time, the stock price was already falling sharply, and the whole city was echoing with the miserable cries of those small stock traders. This emotion expanded faster than the Independence Palace's worst-case scenario estimates.

The construction and real estate industries have held emergency meetings one after another. The bad fluctuations in the domestic economy have caused various banks in El Salvador to adopt measures to tighten their money: the loans that were originally being negotiated have not been completed, and the funds that have not yet expired have also been received by the bank.

"Dunning Notice"...

It seems that the next step for banks is to raise mortgage rates, and the only question is how much.

It's not actually Jose's fault, of course not.

But in the sudden disaster and misfortune, people have already lost their pure faith and must find someone to vent their anger.

This means that as the owner of the Independence Palace and President of El Salvador, José is naturally at the forefront of the storm and will bear the brunt of the first wave of bullets.

As a political figure, the original accusations against the Independence Palace in the media were insignificant to Jose and he could ignore them.

But later, when the Inter-American Development Bank also issued a statement expressing its attitude, Jose couldn't sit still at all.

The Inter-American Development Bank is the oldest and largest regional and multilateral development bank in the world. It is headquartered in HSD. Its main responsibilities are to pool the strength of its member countries and provide funds and technology for the economic and social development plans of Latin American countries.

Aid. Non-Latin American countries cannot use the bank's funds and can only participate in project bidding organized by the bank.

In essence, the Inter-American Development Bank should be an international assistance financial institution that assists Latin American countries in developing their respective economies and provides them with necessary financial support and assistance.

But in essence, the United States, as the main provider of funds to the Inter-American Development Bank, has essentially controlled this institution and promoted ten macroeconomic policies based on neoliberalism to Latin American countries through it.

This time is no exception. In the statement issued by the Inter-American Development Bank, on the one hand they condemned this "irresponsible" report by the Central Bank of El Salvador, on the other hand they declared that what El Salvador needs now is a more thorough and pure report.

free market economic reform.

The main feature of the capitalist market economy is a completely free market transaction system and financial system.

"...man-made policy intervention can only make things worse, not better."

Later, several international financial institutions, including the International Monetary Fund, the International Bank for Reconstruction and Development, and the Organization of American Cooperation, also made clear their stance.

They claim that the current poor economic situation in El Salvador is not due to a free market economy, but is due to "unintended consequences of poor management."

Therefore, in the face of this situation, what the El Salvador government needs to do is not to blindly increase currency and strengthen financial supervision.

On the contrary, the Independence Palace should now adopt further monetary tightening policies, reduce government agency spending, invest limited funds in the construction of public facilities, and carry out comprehensive privatization reforms to increase government tax revenue.

And in order to attract investment funds from foreign countries, the El Salvador government should also appropriately consider carrying out tax reform, lowering marginal tax rates, expanding the tax base, implementing marketization of tax rates, and adopting a more competitive exchange rate system...

To sum up, the statements of these institutions actually quote the views of "neoliberal economics" expressed by the famous American scholar Noam Chomsky in his book "Neoliberalism and Global Order".

Its purpose is nothing more than to allow the El Salvadoran government to further relax government regulations, open the market, implement trade liberalization, and lift restrictions on foreign investment, so as to facilitate U.S. capital to further control El Salvador's economy.

Several international financial institutions started from the most basic economic point of view that "unconditional expansion of money will lead to inflation" and evaluated the response report of the Central Bank of El Salvador very "objectively". At the same time, they also very "objectively" evaluated it.

"Goodwill" reminds the leaders of the Independence Palace.

If the Salvadoran government needs it, they can provide the Salvadoran government with a much-needed low-interest loan in a short period of time to help the Independence Palace weather this crisis.

Victor didn't know why these financial institutions, which were actually controlled by an American consortium, would make such a statement. What role did Amfilo play in this?

However, it is obvious that Jose is in a dilemma when faced with the voices of these major international financial institutions. He knows that the basis for his ability to control power in El Salvador officially comes from the support of the US government.

Therefore, in the face of disagreements over how to solve the sudden domestic financial crisis and the measures to be taken, President Jose urgently convened a special cabinet meeting attended by some members of the National Assembly belonging to the ruling party in order to "democratize

"Listen to the opinions and suggestions from all parties.

Of course, in addition to the above people, there are also some economic advisers from European and American countries participating in this special cabinet meeting.

No one knows what happened at this meeting, but just one day after the meeting, just yesterday afternoon, the Palace of Independence announced an announcement to reform the Central Bank of El Salvador.

The original policy committee within the central bank was disbanded by the Independence Palace and replaced by a "Special Presidential Advisory Body" that belongs solely to the president and is composed of a large number of economists, financial experts, and policy advisors from European and American countries.

They will formulate plans to deal with the crisis and policies to stimulate the revitalization of El Salvador's domestic economy in the coming period.

Perhaps those who have suffered losses due to this financial crisis will not care what kind of attitude these actions of the Independence Palace represent.

They just want to see that the government is not indifferent when facing the crisis, but actively takes "measures" to deal with it.

It is not that there are no sober people. Just as a Christian Democratic Party member who attended the meeting said in an interview with the media after the meeting, "...there is no doubt that everything that is happening now is a war between external enemies."

, a conspiracy launched against El Salvador using financial means as a weapon.

But sadly, it seems that it is not only our domestic economy that is vulnerable. The psychology of the Salvadoran people is experiencing a more painful crisis compared to the fragile economy.

The combination of self-contempt and envy of life in developed countries such as the United States has caused us to completely lose our initiative and last chance to solve this crisis."

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