Debt Terrorism: A Global Crime That Goes Unpunished

Date:

Over 81 per cent of the world debt is owed by the countries which are considered prosperous and powerful. — Representational image

The only way forward is to accept that all the current financial models have failed. We have to find one that is based on justice. A system is acceptable in which the flow of wealth is from the Rich to the Poor, and not the other way round

OMER ASAD SHAIK | Caravan Daily

A CRIME that brings most misery and worst hardships to the world is Debt Terrorism – and this is not defined as a crime in any country or any court of law. Sadly, the truth is that almost every prosperous person either directly or indirectly is involved, engaged or promoting this heinous crime.

One may be a doctor, a banker, a professional in an MNC or running his own business or working as a journalist for a media conglomerate. Each one works diligently to strengthen a financial system that has gone wrong big time. Hardly anyone survives today without taking a loan, getting involved in the mortgage or paying or taking interest money. Yes, the biggest evil of today’s world is the word ‘debt,’ and this is nothing short of ‘terrorism.’ Today, world debt stands at 69.3 trillion dollars, which has tripled in the last 20 years. As per latest figures released by the IMF, the total debt to the total world GDP ratio is 82 per cent, the highest total in human history.

Moreover, whenever the word ‘debt’ is used, the reader subconsciously thinks of the developing world or the underdeveloped world, which usually borrows money on interest; and then struggles to pay this interest while it never will be in a position to repay the borrowed capital. And the capital keeps on increasing due to new loans.

Fact is, over 81 per cent of the world debt is owed by the countries which are considered prosperous and powerful. The USA leads the list with 31 per cent of the world debt, followed by Japan, China, Italy, France, UK, Germany, and India. A few rich countries owe more than their entire GDP. Japan is the leader, her debt at 237 per cent of the GDP, followed by the US at 104 per cent. India is not far behind, her debt to GDP ratio put at 68 per cent.

———————————————————————————————–

A crime that brings most misery and worst hardships to the world is Debt Terrorism – and this is not defined as a crime in any country or any court of law. Sadly, the truth is that almost every prosperous person either directly or indirectly is involved, engaged or promoting this heinous crime.

———————————————————————————————-

South America and Africa, among the most impoverished land masses, owe just 1.9 per cent and 1.8 per cent of the world debt respectively. And their Debt to GDP ratio is 56.9 per cent and 37 per cent respectively. Over 90 per cent of world debt is concentrated in the Asia Pacific, North America, and Europe. Advanced economies hold three-fourth of the world debt while developing countries hold the remaining one-fourth.

The total debt to the total world GDP ratio is 82 per cent, the highest total in human history, according to IMF.

The numbers are mind-blowing. When the rich countries are themselves in the worst form of debt, then who has the money and who is lending money and what do the lenders demand in return? The richest in the world are borrowing more to live a life of luxury, while the developing countries borrow to survive. The corruption in the developing countries does not allow the money to reach those for whom the money was borrowed. It is usually siphoned off by the corrupt elite and political leaders of the developing countries, who transfer it unlawfully back to the countries from whom they borrowed it in the first place.

So the capital which was given to the poor on a high interest rate has been brought back to the lenders’ market with no benefit to the poor; while the poor would end up paying from his sweat and blood just the interest. If this is not terrorism, what is it?

With all the marvelous scientific development during the last 100 years, today, man is dreaming of colonizing Mars. The rich are dreaming of Space tourism. Every day, new five star hotels and dream tourism destinations are being inaugurated. While the vast majority of the world population is fighting a battle for their survival each day, note also the following facts:

  • 815 million people regularly go to bed hungry according to a report from UN food agencies. One out of ten people around the world experience chronic hunger.
  • Over 200 million children under age five do not get primary healthcare leading to 10 million deaths annually.
  • Around 830 women die each day during delivery or pregnancy-related complication that can be avoided with proper medical care.

The list of sufferings is too long to be covered in a single article.

Military build-up

With so many sufferings around the world, however, few countries justify spending billions on arms. The world’s top five countries spend over 60 per cent of total expenditure of 1.8 trillion dollars on arms. India is the fourth in the list below the USA, China, and Saudi Arabia, but it spends more than what France, Russia, and UK are spending on this count.

The statement that Debt Terrorism is not the cause but the effect of a system that runs and survives on the exploitation of the have-nots may surprise many. But. it is a fact that one needs the courage to face it. The main drivers of this phenomenon are “self-indulgence” and “greed.” Living beyond one’s means is the norm of the world. Comfort and luxury have become the purpose of one’s life; and to achieve this, no price is big enough.

Debt Terrorism cannot be eradicated by the existing tools, processes, and policies, but instead it will get worse with time. A Just system does exist, but who will, and how will it be implemented?

The fine line between ethical and unethical practice has been erased and replaced by lawful and unlawful definition; and, world is where the law is made by the rich for the rich and of the rich. Finally, it boils down to just a straightforward statement, “Might is Right.”

The world of today, politically, economically, and socially, is neither equipped nor geared to accept the fact that Debt Terrorism cannot be eradicated by the existing tools, processes, and policies, but instead it will get worse with time. Injustice has almost reached a stage of unsustainability, and it will soon lead to a world disorder, which may lead to a disaster of catastrophic magnitude which the world has not seen before.

A Just system does exist, but who will, and how will it be implemented?

The only way forward is to accept that all the current financial models have failed. We have to find one that is based on justice. A system is acceptable in which the flow of wealth is from the Rich to the Poor, and not the other way round; and at the same time, a system that rewards hard-work and respects individual ownership and promotes entrepreneurship. Where giving and sharing are referred to as the “Best of the Deeds,” and it is a way of life in which none can ever achieve righteousness until he spends from what he loves the most.

————————————————————————————————

The world of today, politically, economically, and socially, is neither equipped nor geared to accept the fact that Debt Terrorism cannot be eradicated by the existing tools, processes, and policies, but instead it will get worse with time. Injustice has almost reached a stage of unsustainability, and it will soon lead to a world disorder, which may lead to a disaster of catastrophic magnitude which the world has not seen before.

———————————————————————————————–

However, when the people who were made the custodians of this divine system have themselves become corrupt, ineffective and act as a hurdle in its implementation, the situation gets far more worse. It is as if we have the medicine to fight the infection that is destroying the mankind, but the doctor himself is infected and is unfit to carry out this treatment. And the finance model in itself will not bring about a relief unless the people who have the responsibility has the traits needed to implement and run it.

Debt terrorism is a bomb ready to explode; and still, we have a small window to avert it. The responsibility is not just with the world leaders but also, and more so, with those who have the solution and chose not to act.

________________________________________________________

Omer Asad Shaik is an independent commentator with interest in faith, history and world politics. He is based in Milwaukee, USA. He can be reached at [email protected]

theclarionindia
theclarionindiahttps://clarionindia.net
Clarion India - News, Views and Insights about Indian Muslims, Dalits, Minorities, Women and Other Marginalised and Dispossessed Communities.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

Subscribe

spot_imgspot_img

Popular

More like this
Related

Delhi HC Dismisses PIL Seeking Arvind Kejriwal’s Removal as CM

NEW DELHI - The Delhi High Court on Thursday...

Telangana: BJP MLA T Raja Placed under House Arrest amid Communal Tension

HYDERABAD - Police placed BJP MLA Raja Singh under...

Rising Cases of Missing Persons Alarm Authorities in Karnataka

Police records reveal a disturbing increase in missing persons,...