May 2017 Positive Money New Zealand issued a press release seeking clarity from the Reserve Bank on how our money is created.  They still refer to intermediation by the banks, which is not how our banking system works.

5th November 2016 An article in The Guardian newspaper in England argued that abolishing debt-based currency holds the secret to getting our system off its addiction to growth.

5th September 2016 KPMG released a report, commissioned by the Prime Minister of Iceland, titled "Money Issuance" The report looked at money created by the Government.

28 March 2016 Bryan Gould has agreed to be the Patron for Positive Money New Zealand.

Bryan is a respected commentator on economic matters, an author, academic and Companion of the New Zealand Order of Merit.

31 October 2015 A monetary reform group in Switzerland has enough signatures for a referendum on who creates their money supply.

14 October 2015 The Finance Commission of the Dutch parliament discussed monetary reform.

31 March 2015. The Telegraph in London reports on the Icelandic governments plan to have their central bank issue their money supply and calls it a radical plan.

22 November. The British parliament debated money creation last week, for the first time in 170 years. There was cross-party support for a proposal to set up a monetary commission

23 September. A new generation of young people, dubbed ''property orphans'' may be destined to be renters for life.

17 September. The Bank of International Settlements (BIS), the bank used by central banks, confirmed New Zealand houses are among the most "unaffordable" in the world compared to people's incomes.

6 September. Bruce Bisset of Hawkes Bay today reveals the true story behind the so called Rock Star economy.

25th April 2014 "Strip private banks of their power to create money”: says the Financial Times’ chief economics commentator Martin Wolf, who endorses Positive Money’s proposals for reform

15th March 2014 - In a historic move The Bank of England quarterly bulletin explains how money is created. Whenever a bank makes a loan, it creates a deposit in the borrower’s bank account, thereby creating new money. The bank says that this differs from the story found in some economics textbooks.

16th August 2013. The retiring head of the Financial Markets Authority apologised for the mistakes made saying “You were let down”.


Henry Ford“It is well enough that people of the nation do not understand our banking and money system, for if they did, I believe there would be a revolution before tomorrow morning.”

Henry Ford, founder of the Ford Motor Company.

Guaranteed Poverty

Marc Joseph

The debt-based money system manufactures and guarantees poverty. This is a structural effect of private banking that is impossible to avoid. It is a game of winners and losers, with the losers far outnumbering the winners as the statistics on inequality clearly show. Let's examine this aspect of the unfair banking system.

First, let's take a look at the level of the individual borrower, you. You apply at the bank for a loan and if the bank deems you fit to receive one, they change the number in your account and voila! the new unearned money is there. The loan documents will tell you how much interest you will pay over the term of the loan. Let's use a simple example where you borrow $1000 at 5% interest for one year and so the cost of the loan is $50. The bank has created $1000 for you and you have agreed to repay $1050.

Now let's look at the money creation system on a grand scale. Imagine in your country that all the bank lending in one year totals $1000million at 5% interest. That's $1,050million that must be repaid. Do you see it? The banks have only created $1000m, yet $50m more must be repaid. In other words, the extra debt is unfunded, there is no possibility of it being paid.

It's not possible to overstate the brutal effects of this system. The banks are owed far more money than is in existence to pay that debt. Yet humanity struggles daily in a futile rat race, trying to earn enough money to pay back an unearned liability that grows by the second. This is the guarantee of poverty. It's also the guarantee of environmental degradation, with economists and politicians everywhere calling for more economic "growth", an imperative that the planet cannot sustain.

It's time we put a stop to this folly. All over the world, money reformers are working hard to get the word out. We believe it's the most important conversation to have with anyone who is concerned about the state of our planet. Please recommend this blog and the Positive Money website to your friends and contacts. Let's all work to end the financial regime that guarantees poverty and inequality.

Change money, change the world!




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