Russia Before the Revolution

THE RUSSIAN REVOLUTION took place at a time of remarkable financial stability and progress in the Russian Empire. Russia was the only major power in the world not indebted to central bankers concentrated around the famous Rothschild banks. The Russian government printed the nation’s money, regulated the money supply (unlike the monetary system in America today) and issued low interest loans through commercial banks.

In his book, “A History of Central Banking and the Enslavement of Mankind,” (Black House Publishing, 2014) Stephen Mitford Goodson describes the state of Russia before the Bolshevik uprising:
On June 12, 1860 The State Bank of the Russian Empire was founded with the aim of boosting trade turnovers and the strengthening of the monetary system. Up to 1894 it was an auxiliary institution under the direct control of the Ministry of Finance. In that year it was transformed into being the banker of the bankers and operated as an instrument of government’s policy. It minted and printed the nation’s coins and notes, regulated the money supply and through commercial banks provided industry and commerce with low interest rate loans. Its vast gold reserves, the largest in the world, exceeded the bank note issue by more than 100%, except for the year 1906. By 1914 it had become one of the most influential lending institutions in Europe.
Not unexpectedly Russia had the smallest national debt in the world. The following table reflects the number of rubles of debt per inhabitant.
[From table: France: 288.0; Great Britain: 169.8; Germany 135.6; Russia, 58.7]
By 1914 83% of the interest and amortization of the national debt, of which less than 2% was held abroad, was funded by the profits of the Russian State Railways. In 1916 the total length of the main lines was 100,817 verst or kilometers. Russian commercial and canal tonnage of 11,130,000 in 1910 exceeded British merchant tonnage of 10,750,000. (more…)



