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Monetary reform proposed for Iceland

Fuseworks Media
Fuseworks Media

DSC leader Stephnie de Ruyter today hailed the report ‘Monetary Reform - a better monetary system for Iceland’ as a being triumph of good sense over corporate finance greed.

Ms de Ruyter praised Iceland’s Prime Minister, Sigmundur David Gunnlaugsson, for commissioning the report which considers a range of reform options and proposes a Sovereign Money system as a practical alternative to the current system.

Under the Sovereign Money proposal, "the state owned Central Bank would become the only creator of money in the economy. Furthermore, the power to allocate money would be separated from the power to create new money. The Central Bank would handle creation of money while Parliament would vote on how new money is allocated. The proposal aims to reduce the risk and instability of the monetary system, reduce debts substantially and direct the income from creating money to the state instead of commercial banks."

The report’s author, Frosti Sigurjonsson, is a Member of the Parliament of Iceland and Chairman of the Committee for Economic Affairs and Trade. He states that "Iceland, being a sovereign state with an independent currency, is free to abandon the present unstable fractional reserves system and implement a better monetary system."

Ms de Ruyter noted that the Sovereign Money proposal is identical to Democrats for Social Credit Party policy, and echoes the Party’s calls for a democratic 21st century monetary system.

"It’s exciting that Iceland is seriously examining this proposal: it's exactly what the DSC stands for. We maintain that such a fundamental reform of the financial system would deliver real prosperity, democracy, and independence for any nation with the courage to change" she said.

Read the full report here:

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