Saturday, November 25, 2017

CENTRAL BANK OF RUSSIAN STATE INSTITUTE OF OR SELF-ORGANIZATION?

CENTRAL BANK OF RUSSIAN STATE INSTITUTE OF OR SELF-ORGANIZATION?

To begin to answer the question: "And what does the central bank of Russia?"

Central Bank controls monetary policy of Russia. In particular, it sets the key interest rate, which directly affects the interest rate at which banks issue loans.
The logic is simple. When the ultra-low rate of 0.25% (in the EU and the United States), a business receives loans at 5-6% per annum, therefore, an active economic activities and the rapid development of business, as the loan is very cheap.
And in Russia, with a key rate of 7.5% (in May 2014), the business gets a loan from the 15 - 17% (depending on the bank), because of which he somehow holds and survives.

You may ask: "Why is not the central bank to cut rates, and does not help the development of the Russian economy?"
The thing is that the Central Bank is not interested in the development of the Russian economy, as an element of Russian foreign control.
You were asked the following question: "Why does the president can not influence the Central Bank?"
The thing is that the Central Bank is an independent institution of the state.
Prove the independence of the Central Bank of the Russian state:
1. RF Constitution, Article 75, paragraph 2:
"2. Protecting and ensuring the stability of the ruble - the main function of the Central Bank of the Russian Federation, which he carries out independent of other public authorities "
clarification
As we can see, right in the Basic Law states that the Central Bank does not not depend on anyone.

This begs the question: "Why is the independence of the Central Bank is written directly into the constitution?" After all, you will not find anything like that in the constitutions of, say European countries.
Adding to this article in the constitution due to the fact that an amendment to the constitution is much more difficult than in an ordinary federal law.
2. Federal Law on the Central Bank of Russia (Bank of Russia), Article 1:
"The functions and powers provided by the Constitution of the Russian Federation and the present Federal Law, the Bank of Russia carries out independently of other federal bodies of state power, bodies of state power of subjects of the Russian Federation and local self-government bodies"
clarification
As you can see, this article duplicates the n. 2 of Article 75 of Russian Constitution.
3. Federal Law on the Central Bank of Russia (Bank of Russia), Article 2:
"The state is not liable for obligations of the Bank of Russia and the Bank of Russia - on the obligations of the state, if they are not assumed such obligations or unless otherwise provided by federal law"

clarification
As you can see, this situation confirms the independence of the Central Bank from the state. Thus, the state can be totally bankrupt when the Central Bank so full of gold and foreign exchange reserves.
4. Federal Law on the Central Bank of Russia (Bank of Russia), Article 22:
"The Bank of Russia has no right to grant loans to the Government of the Russian Federation to finance the federal budget deficit, to buy government securities at their initial placement, except in cases where it provides the federal federal budget.
The Bank of Russia has no right to grant loans to finance the budget deficits of state budget funds, the Russian Federation and local budgets "
clarification
Currently, all European countries are living this way: Let government bonds (in the US - Treasuries, in the EU - eurobonds), and the central banks of these countries, buying a considerable portion of these securities, thus providing a loan to the state.
Therefore, we will never be able to do in the West, where the state ensures a high standard of living and social guarantees in the bulk, by borrowing funds from its own Central Bank (in bulk, because the West does not produce as many goods to ensure the highest level of all segments of the population ).
By the way, the law makes no mention of giving a loan to other states. It is thanks to this loophole, the central bank has invested in American debt (also known as Treasuries) billions of dollars, and do not let the money into the economy through rate cuts and an increase in the availability of credit.

Chairman of the Central Bank of Russia
After all of the above, you ask the question: "Why does the president will not change the head of the Central Bank and at least not to cut rates?"
Federal Law on the Central Bank of Russia (Bank of Russia), Article 5:
"…The State Duma:
appoints and dismisses the President of the Bank of Russia on the proposal of the President of the Russian Federation;
appoint and dismiss the Board of Directors of Russian members of the Bank (hereinafter - the Board) by the Chairman of the Bank of Russia, agreed with the President of the Russian Federation "
From an official document "Organization of the Central Bank":
"The chairman of the Central Bank of the Russian Federation - is assigned to the State Duma for 4 years.
The president submitted no later than 3 months before the expiry of the term of the previous, with the early release - within 2 weeks.
In case of rejection - President within 2 weeks of making a new candidate, and 1 nominee can not make more than 2 times "
It turns out that the president can not appoint the head of the Central Bank of the person who even cut rates without the consent of the Duma.

You will immediately say, "After all, Putin Duma turns as he wants, what he says, then they will"
This is not true. Putin can "promote" in parliament a "manual" laws, which have the greatest public impact.
Confirming an example. Back in 2000, Putin tried to nationalize the Central Bank, but the initiative did not pass the State Duma. None of the parties it did not support (against the nationalization of the Central Bank voted even the Communists, not to mention the other faction in the State Duma).
And Putin himself to write the laws are not allowed. He's the president, not a king.
conclusion
Thus, the above we have given evidence that the Central Bank is not subject to state and artificially impedes the development of the Russian economy.

http://rusnod.ru/news/theme5175.html - Video version of the article

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