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I just watched The illuminati Exposed By Muammar Gaddafi. It's a really good watch (especially for us skeptics), but at one point they said that the reason Muammar al-Gaddafi was overthrown was, not because he was a bad, unpopular or corrupt leader but because he lead Libya to a "golden age" where the Libyan Central Bank offered loans at 0% interest. Apparently, the Illuminati, lead by the Rothschild banking empire, couldn't allow 0% interest loans because that would undermine their primary income (after world domination).

Obviously, we can't prove or disprove the illuminati here, but did the Libyan Central Bank offer loans at 0% interest?

Coomie
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    Do they specify *how* 0% interest loans would undermine modern economies as we know them? – Brendan Long Jan 16 '13 at 04:25
  • @BrendanLong Sorry, the video didn't actually say that. It said the Rothschild Group (sometimes called the illuminati) couldn't allow a bank to offer interest free loans. And the first thing the "rebels" did when they took power was make a new central bank (with loan with interest). – Coomie Jan 16 '13 at 05:05
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    So, did I miss them invading [Switzerland](http://www.ft.com/cms/s/0/b1afca6a-c4d1-11e0-9c4d-00144feabdc0.html#axzz2I8HokTIU) too? – Benjol Jan 16 '13 at 10:23
  • Oups. I guess my 0% loan from Citibank makes me the next Illuminati targe....[carrier signal lost] – user5341 Jan 16 '13 at 14:50
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    You say: `we can't prove or disprove the illuminati here` Really? That's a pretty bold claim. – JasonR Jan 16 '13 at 16:31
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    @Brightblades, you think the illuminati doesn't control Skeptics.stackexchange.com? They're everywhere, they own everything especially the internet! – Coomie Jan 17 '13 at 00:59
  • "but at one point they said that the reason Muammar al-Gaddafi was overthrown was, not because he was a bad, unpopular or corrupt leader but because he lead Libya to a "golden age" where the Libyan Central Bank offered loans at 0% interest." Not true, it says explicitly the main reason was his challenge to the petro dollar, the only reason the US dollar is being propped up. –  Jan 26 '13 at 02:43

1 Answers1

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  1. Libya's entire GDP in 2000s fluctuated between $30B and $100B. (source)

    Libya's Central Bank assets in 2011 were estimated to be $25bn (since then, doubled due to finding another $20 odd billion in assets - source).

    The world banking system that has many trillions of assets. A list of private banks' assets is here, just the biggest ones add up to ~$80 Trillion; major central banks seem to add up to $10 Trillion (source)).

    In order to imagine that the ability to loan out a paltry $50bn at 0% has any measurable effect on said world banking system, one would need some very very very good imagination and not even a rudimentary knowledge of finance.

  2. Japan had a ZIRP (Zero interest-rate policy ) for the better part of 2 decades during "Lost decade" period. Japanese GDP is $4-6Trillion (source).

    I have somehow failed to notice a coalition of Illuminati Bankers invading Japan in the last 20 years. I clearly need better drugs.

Leaving aside the drug induced conspiracy ravings, Libya did, indeed offer loans for house purchasing or construction in Islamic loan's conditions, that is zero interest rate. (source). This is not surprising given that Sharia prohibits usury.

March Ho
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user5341
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    you gravatar suggests this is an Illuminati cover up answer. also you don't mention if Libya actually had said policies – Ryathal Jan 16 '13 at 15:54
  • @Ryathal - added... – user5341 Jan 16 '13 at 17:44
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    The edit has greatly improved the answer, but it isn't clear how the key source for 0% interest knows that (there are a lot of general references provided, but nothing specific.) – Oddthinking Jan 16 '13 at 21:40
  • After reading the zero interest rate source, I have to retract my upvote. The source appears to be poorly sourced, and makes extremely unbelievable claims (see [my question](http://skeptics.stackexchange.com/questions/29967/do-libyan-brides-get-a-usd-90000-dowry-from-the-government)). – March Ho Sep 06 '15 at 01:24
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    I'd add that many nations have 0% interest rates because they're under Sharia law. – PointlessSpike Sep 07 '15 at 08:18
  • @PointlessSpike Sharia compliant banking is a bit more involved than 0% interest rate. After all, no bank can turn a profit from a 0% loan - so, with the potential exception of central banks they will not offer loans on those terms. – Taemyr Sep 08 '15 at 12:02
  • Not *solely* on those terms, no, but they will likely have loans, and they won't have any interest on them. – PointlessSpike Sep 08 '15 at 12:07
  • What they sometimes have is similar to the Medieval method of avoiding charges of usury, holding fees and the like. – Sean Duggan Nov 10 '16 at 17:00