Negative Campain Against India
The Clock for the general elections of India has already started tricking and is the second fastest-growing nation and the biggest democracy in the world. India as a country has become the hottest battleground for the most powerful forces in the world. And one such powerful force is the man name, George Soros. On the 16th of February 2023, George Soros made a comment about our Prime Minister that sparked a massive controversy in India. While most people might think of Soros to be yet another billionaire philanthropist I want you to have a look at this graph. This is a graph that shows how much the pound actually depreciated against the German Mark in 1992. On this day the UK Market lost over 3 billion pounds and the pound eventually crashed by 20 freaking percent. And this entire crack was initiated by none other than George Soros himself. This is how powerful George Soros is and now he has eyes on India. As citizens of the country, it s very very important for us to understand what exactly is George Soros up to.
Who is The Man Named George Sorow Who Speak Against India Democracy?
To understand the power of George Soros let me take you back to one of the worst crises in the UK. This day is known as black Wednesday. And it is said to be the Darkest Day in the history of the United Kingdom. The entire catastrophe was a result of just one man strategy who was none other than George Soros. The question is how on Earth is it possible that a single billionaire can actually bring down one of the largest economies in the world?
How Powerful Is George Sorow?
The answer to the story lies way back in 1940s Europe. As we know the second world war had shattered the European economies so badly that it took them another 50 years to recover. And after the recovery, these European countries realized that it did not make any economic sense to compete with each other and the fact that they could benefit from cooperation more than from competition. This is the reason why they devised multiple systems of cooperation between themselves.
And one such system of cooperation was something called an exchange rate mechanism agreement moment or the ERM agreement. This corporation system included Belgium, Denmark, France, Germany, Ireland, Italy, and many more European Countries. In this system, each currency was allowed to fluctuate by a maximum of six percent as compared to a central currency rate. In the case of Britain the Bank of England imposed a condition that the pound should not slip below 2.78 German marks or above 3.13 German marks. Now, this might sound a little complex but don’t worry guys is will explain in such a way that even a 15-year-old kid will be able to understand.
As usual, let’s use a story to understand how George Soros played this system to crash the UK market. Let’s say the Pound is trading at 2.95 marks. If you would get 2.95 German marks in return and Nithya is a super sharp investor who thinks that the pound is going to fall drastically so what Nitya did was that she borrowed 1 billion pounds for 30 days from another billionaire Shreya or she could even borrow these billion pounds from a bank and the condition of this transaction is such that after the dinner of 30 to 180 days whichever is decided Nitya has to return 1` billion-pound back to Shreya and in return for this lending Shreya would receive a commission of one to percent. And this transaction would be mediated by a broker who would again receive a commission in order to carry out his trade.
So now Nithya has 1 billion pounds, Now what she was she rapidly started selling British pounds at 2.9 German marks which were just below the currency trading rate of 2.95 German marks. So in total, she sold 1 billion British pounds and got back 2.9 billion German marks and when she sold these 1 billion pounds at a discount the entire Market felt as if there is something terribly wrong with the UK economy. And guess what back then the economy of the UK was actually going through troubles if you look at the graphs the unemployment in the UK was peaking in the early 1990s and even inflation was at a 10-year high in 1993. So if you look at this from a Trader’s perspective do you realize it is the perfect recipe for a crash? Inflation is speaking just like the previous recession unemployment is at a 10-year high and the currency is being offloaded at a steep discount.
So guess what when NIthya offloaded one billion British Pound in the market even other traders who had British Pound started selling and when the snowballing of panic happened the British pound’s value keep crashing down and started going below 2.95 German marks and soon enough it touched 2.8 2.7, 2.6 even 2.4 German Mark and this is when Nithya played her Trump card and she bought back pounds at just 2.4 German marks per pound. So, you see Nithya sold 1 billion pounds and got back 2.9 billion German marks at an exchange rate of 2.9, and now when she sold these 2.9 billion German marks to buy back and she is paying only 2.3 German marks per pound.
So when she sold 2.9 billion German marks she got back 1.2 billion pounds in return so do you realize this is an insane return of 20 % and that too in just 6 months from March to September and now she would return this money to Shreya pay her 2 % and keep the rest 18 % as her profits. This is how our imaginary Trader Nitya made money through Forex shorting and guess what just like Nithya Gergo Soros’s fund sold more than 10 billion dollars in pounds and he made more than one billion dollars in a single day and while George Soros raised a toast to his Newfound fortune the bank of |England has exhausted its Forex in such an extent that estimates say that they ended up buying up to 2 billion pounds per hour and in spite of spending so much money the pound fell by 20 freking percent and not so surprisingly this entire exchange rate mechanism was crapped by Uk and the UKs market lost their reputation at the global level. This is the reason why this day is known as one of the darkest days in UKs market.
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