Yet another government has joined the ever-growing list of those stealing their citizens’ super to plug holes in their budgets:
Portugal has raided €5.6bn (£4.8bn) of pension fund assets in a controversial scramble to meet its deficit targets.
The cabinet agreed to transfer the assets from four of Portugal’s biggest banks to the state balance sheet.
The assets will be used to bridge a gap needed to meet the fiscal deficit target of 5.9pc of GDP set by the terms of the country’s €78bn bail-out from around 10pc in 2010.
“This measure is more than sufficient to meet the budget deficit goal in 2011,” said Helder Rosalino, secretary of state for central administration, on Friday.
Portugal said it had informed the EU and IMF and assured them it would be a “one-off”. However the 2010 budget was met by shifting three pension plans from Portugal Telecom on to the public social security system. The liabilities don’t count, yet.
What is particularly noteworthy, is that this blatant theft of Portuguese citizens’ superannuation is being done in order to meet an IMF-imposed deficit reduction target.
Just like Ireland earlier this year, when it too was ‘forced’ to raid its citizens’ super.
Your humble blogger has been documenting the wave of largely unreported super thefts that has been rolling around the world since the GFC began in 2007-08.
And warning that Australia’s politicians are already firmly on track to do the same here as well.
Indeed, the Green-Labor government has already quietly introduced a new policy directing your employer to send your future super payments to the ATO.
A sneaky policy neatly stolen from the Liberal Party.
No need to wonder why both “sides” of Australian politics want to increase the super rate from 9% to 12%.
To glimpse the truth – that government theft-by-stealth of your super is inevitable here too – all you need do is look at our ever-rising debt trajectory …
… note that Wayne’s latest budget update predicts a 57% blowout in net debt this year alone, observe the ‘slow-motion train wreck’ occurring in the global economy as a consequence of massive over-indebtedness in the USA, UK, Europe, and China, and above all, remember that our government is on the hook to bail out our Too Big To Fail ponzi banks.
Just like everyone else.
The list of countries that have already stolen citizens’ super to finance government spending, includes some that won’t surprise you (Argentina, Bolivia, Hungary, Ireland, and more), and others that might shock you (USA, UK, France).
If you have not familiarised yourself with the ever-growing global trend of government theft of citizens’ super, and especially the evidence that the first steps have already begun here too, then I urge you to read some of my many previous articles on this topic:
A very wise man said long ago, that “the borrower is the servant to the lender”.
Thanks to our foolish willingness to accept the Big Lie that debt is a “necessary evil” (it’s not), not just citizens, but entire nations, are now rendered servants to obey.
Slaves to bankers.