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I predict a riot

There is a great deal of anger and disquiet bubbling away worldwide thanks to this crisis created by the financial system.  I note however, that there seems to be a distinct lack of news coverage on these widespread protests and, in some cases, riots.

The start point of such a conversation has to be Iceland, where the Prime Minister's car was surrounded during daily protests outside the government buildings:

This is from January 21st, just before the government was replaced wholesale.

Displacing a government doesn't solve the issues, but it does make folks feel better which is why there's also a lot happening around Europe.

In particular Eastern Europe, with riots in Latvia:


Source: Reuters

as well as in Lithuania and Bulgaria, with a lot more predicted. 

In fact, Eastern Europe has a growing range of issues, with shares of banks with major exposure in Eastern Europe – such as Raiffeissen, Erste, Uncredit and Societe Generale – tumbling in recent weeks.

This is because of growing political instability in some of these countries, particularly Latvia, Ukraine and Georgia, triggered by the global economic crisis and made worse by deep internal problems, such as corruption.

It has also been made worse by a battle between the European Union and Russia over the allegiance of these countries and where their interests lie. 

Which would you choose, as even the Russians are staging anti-government protests that turn into trouble:

Whilst in Europe, there are protests and battles everywhere from Greece to France, Spain to Ireland; and the UK will not miss out, as the police fear a 'summer of rage'.  This rage may well spill over at the G20 Summit in April, with organisations clearly trying to create a co-ordinated plan of action.

I am not saying there will be trouble on April 2nd, but I do believe that a large crowd of people protesting can easily spill over into rage and violence … not always, but with the current anger boiling beneath the surface of most societies, don't be surprised if this happens.

Equally, I am not saying that Europe is falling apart, but it is being truly strained.

Outside the EU it's just as concerning as even the usually mild and sedate Japanese are having mild rumblings as the country sinks into 'despair'.

Most suprisingly of all the Canadians, who have the safest economy of all, are protesting as "a growing online community of Canadians who feel disenfranchised by
social turmoil, economic instability, and 21st-century uncertainty (are) beginning to speak out."

The only question is why the Americans aren't actively protesting or, more importantly, will they?

About Chris M Skinner

Chris M Skinner

Chris Skinner is best known as an independent commentator on the financial markets through his blog, the Finanser.com, as author of the bestselling book Digital Bank, and Chair of the European networking forum the Financial Services Club. He has been voted one of the most influential people in banking by The Financial Brand (as well as one of the best blogs), a FinTech Titan (Next Bank), one of the Fintech Leaders you need to follow (City AM, Deluxe and Jax Finance), as well as one of the Top 40 most influential people in financial technology by the Wall Street Journal’s Financial News. To learn more click here…

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  • Hal

    Great round up of events around the globe. It does surprise me that we don’t see this reported more in the main stream media.
    It does scare me some. I can see it easily occurring here in the USA. This morning there was a new article about a service that one of the local cities was doing to assist folk with housing problems. The line was some 2,500 people long. And tempers were flaring but not out of control. Not yet anyway.
    And now today, while I watch the stock market diving on the idea of bank nationalization I can’t help but wonder what’s going to take place. The government is looking confused as just last week they said they weren’t going to nationalize and yet that’s looking like the case with Citigroup.
    I think the best thing is to starting saving and paying off debt. Looks like big investors are thinking savings long term too as the sell off of stocks continue. Looking at the ExactPrice widget ( http://www.learcapital.com/exactprice )it looks like their putting some of that money in gold and silver as they continue to rise, retesting last year’s highs.
    The next couple of years are going to interesting no matter what happens.