Island intends monetary reform only the state makes money
"Iceland's government is considering a revolutionary monetary proposal - removing the power of commercial banks to create money and handing it to the central bank" reports The Telegraph.
31 March 2015 Island was first in the world to publish a monetary reform, which is very healthy for the whole society, to take the right to issue money from the private banks and give it only to the state, the Central Bank:
"The report considers various reform proposals and concludes that the Sovereign Money proposal could provide a sound basis for effective reform in Iceland.According to 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 brain behind this reform proposal is Frosti Sigurjonsson, Member of the Parliament of Iceland and Chairman of the Committee for Economic Affairs and Trade. Lets hope and pray that they don't murder him.
"The prime minister of Iceland Sigmundur David Gunnlaugsson, said: "I am very pleased to receive this new report on monetary reform. The findings will be an important contribution to the upcoming discussion, here and elsewhere, on money creation and monetary policy."
Frosti Sigurjonsson MP, author of the report, said: "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. Such an initiative must however rest on further study of the alternatives and a widespread consensus on the urgency for reform."
The full report: Monetary Reform - A better monetary system for Iceland
Frosti Sigurjonsson MP
Tel: +354 8974060