As thousands of $40 hot dog eaters in Davos, Switzerland discuss how they should deal with the rise of global populist movements, one central banker shockingly has thrown up his hands in surrender and appears ready to face the inevitability of an EU breakup.
On Jan. 20, European Central Bank chief Mario Draghi wrote in a letter to two parliamentarians in Italy that it was alright to leave the European Union, as long as they settled up their debts with the central bank.
The ironic thing is, nearly all sovereign debt held by EU countries, especially those in Southern Europe or within the PIIGS coalition, could very easily be designated as onerous debt, and not subject to lawful collection by the ECB. And this is exactly what Iceland claimed when they defaulted on their EU debts and went their own way back in 2009.
Additionally, it is also extremely interesting in how Mario Draghi all of a sudden is willing to give up on the fight to force nations to remain within the EU, since he spent years engaged via the Troika in subjugating these same countries with austerity and forced sales of assets.
More and more, analysts and even politicians are coming to realize that the Euro and EU’s days are numbered, and that their gravy train of wealth confiscation is quickly coming to an end as the people rise up to demand satisfaction for the sins of their governments. And if ECB head Mario Draghi is willing to throw away one of his biggest negotiating chips in a desperate attempt to get nations on the cusp of leaving the EU to pay their suffocating debts to him before they exit, then even the elites know the writing is on the wall, and the floodgates should soon open wide for a full blown exit from the Union.