The Protocols and world revolution

by Sergiei Nilus

We will present plans for the reform of the Goy financial institutions and of their principles, as planned by us, in such a manner that nobody will be frightened. We will demonstrate the need of reform by the disorderly twaddle produced by the financial disorganization of the Goys. We will show that the first reason for this confusion lies in the drafting of rough estimates for the budget, which increases from year to year. This annual budget is with great difficulty made to last during the first half of the year; then a revised budget is demanded and the funds thus allotted are spent in the next three months, after which a supplementary budget is called for and all this is wound up by a liquidation budget. As the budget of the following year is based on the total expenditure of the preceding year, the divergence from the normal reaches fifty per cent annually, so that the annual budget trebles every ten years. Owing to such a procedure, resulting from the carelessness of the Goy governments, their treasuries became empty. The period of loans followed and used up the remainder and brought all the Goy states to bankruptcy.

You can well understand that such a management of financial affairs as we induced the Goys to pursue cannot be adopted by us.

Every loan proves the impotency of the government and its failure to understand its own rights. Loans, like the sword of Damocles, hang above the heads of the rulers, who instead of placing temporary taxes on their subjects, stretch forth their hands and beg the charity of our bankers. Foreign loans are leeches, which can never be removed from the governmental body until they either fall off themselves or the government itself manages to get rid of them. But the Goy governments instead of throwing them off increase their number, so that these governments must inevitably perish through self-inflicted loss of blood.

Indeed, what is a loan, especially a foreign loan, if not a leech? A loan is the issuance of government obligations which involve the liability to pay interest in proportion to the sum borrowed. If the loan pays five per cent, then in twenty years the government has unnecessarily paid in interest an amount equal to the principal sum borrowed. In forty years it has paid twice; in sixty years it has trebled the sum, while the loan still remains an unpaid debt.

From this calculation it is evident that under the system of universal taxation the government takes the last penny from the poor taxpayers in the form of taxes in order to pay interest to foreign capitalists, from whom the money was borrowed, instead of collecting these same pennies for its needs free from all interest.

So long as the loans were domestic, the Goys only shifted the money from the pockets of the poor into those of the rich; but when we bribed the proper persons to make the loans foreign, then national riches poured into our hands and all the Goys began to pay us the tribute of subjects.

The carelessness of the reigning Goys in statemanship, the corruption of their ministers, the ignorance of other officials of financial problems, has forced their countries into debt to our banks to such an extent that they can never pay off their debts. It should be realized, however, that we have gone to great pains in order to bring about such a state of affairs.

Impediments to the circulation of money will not be allowed by us, and therefore there will be no government bonds, except one per cent bonds, so that the payment of interest should not deliver the power of the state to the sucking of leeches. The right of issuing bonds will be exclusively granted to industrial corporations, which will easily pay the interest out of their profits. The government, however, does not derive profit on borrowed money as these corporations do, since the state borrows money for expenditure and not for production.

Industrial bonds will also be bought by the government, which instead of being, as at present, the payer of tribute on loans, will become a sound creditor. Such a measure will prevent stagnation in the circulation of money, as well as indolence and laziness, which were useful to us so long as the Goys remained independent, but are not wanted by us in our government.