The Italian government is going ahead with new laws to take control of the country’s central bank. The executive authority in Rome is pushing for public ownership over the country’s gold reserves.
The two anti-establishment parties that actually govern the country, 5-Star Movement and the North League proposed two bills that have evoked across the national debate over the nation’s long-standing money related and financial framework. One draft law may, supposedly, oblige the national bank’s proprietors to pitch their shares to the Italian Treasury at the 1930 year prices, while the second law is set to proclaim Italian citizens to be the owners of the Italian Central Bank.
The leader of the opposition party “the Brothers of Italy”, Giorgia Meloni said as cited by the Wall Street Journal:
“The gold belongs to the Italians, not to the bankers. We are ready to battle everywhere in Italy and to bring Italians to the streets if necessary,”
The ruling coalition, 5-Star Movement and the League constantly blamed the way the county’s monetary system is governed causing considerable losses to retail investors with the ongoing ruin of many financial institutions in Italy.
As indicated by government authorities, the Central Bank of Italia neglected to keep up the necessary supervision of the nation’s banking system amid the most recent economic crisis that put the whole Eurozone monetary system in danger.
Matteo Salvini, Italy’s Prime Minister and Minister of Interior in, in a recent interview, said:
“If you are here with your current account in the red, it’s because the people who were supposed to control things didn’t do so,”
The Bank of Italy gold reserver amount to 2,534 metric tons which at the today rates is worth $102 billion. Actually, the reserves are ruled the Italian Bank with full autonomy from the legislative or executive institutions.
In a proposal about the VAT increase, the Italian government proposed selling a portion of the country’s gold in order to avoid raising the actual VAT as planned for 2020. The Prime Minister, Salvini gave a positive evaluation of the arrangement, calling it an interesting idea.
On the other side, the President of Italy Sergio Mattarella doesn’t share the same opinions with the new bill proposals. According to him, the government should not interfere with the work of independent institutions like the Bank of Italy, which can’t take directions from governments.
Looking at the supporters of the new bill with the government coalition supporting it and other parties making at least 60% of legislators, the new law has all the odds of pass the voting. With regards to nationalizing the national bank, 5 Star Movements supports completely the idea while the North League is as yet undecided, leaving the bill with only nearly 40% votes.
But what is really happening with our monetary system?
Is this an awakening from a long lethargy and trying to take the control from the banking system that ruled the people’s lives for a long time and give it to the people, or just a move from “populists” to fund their cause?
The real weapon will be taken from the Bankers when people realize their fraud. Bitcoin is helping to get things to move faster and educating people about how monetary systems work. We need more decentralized monetary systems that have better governance. Taking the power from the central bank and giving that power to the government does not resolve the decentralization thing. However, everything is to be seen if things will get better for the Italians with the new system.