An Idea Can.....

Luxembourg…..

A small country in western Europe, I doubt very few might have even heard of it. It’s strangely the richest country in the world w.r.t. per capita income(I know many people will open Google and search for richest country). What made it so rich, great history, no. Then what, good land, great scenery, any European country has it. Large amount of money from tourism( why not Singapore then, small country so many tourists).

I didn’t believe when I was told that just a well executed Idea makes an country the richest in the world. But now I do. Now, coming back to it, what was the Idea? Luxembourg government decided to use banking sector as a source of income for the country. For non EU(European union ) countries, the money deposited in the banks is tax free. And your account is not operated by name, but is operated by a secret code number and your signature. None of your identity is disclosed except for European people and for locals, tax is directly deducted from their account, account data going to respective governments. But for others, don’t worry, hide in as much money you can and no-one will ever know.

It’s great place to hide money for people saving from heavy taxes, to hide money obtained through corruption. Or money that’s just supposed to be hidden. Many terrorist accounts are assumed to be operated here. Every major world bank has an office here, and most operate accounts through codes. You forget your code and money is gone. Luxembourg offshore banks number around 220 today and their balance sheets total in excess of EUR 600 billion - which makes the country Europe’s second largest banking giant after the UK.

Some of you might have heard that 6 months ago there was a news that Luxembourg government is ready to give the details of Indians investing in these banks, but it didn’t go any further. Many of the politicians are believed to have secretly deposited their money. That’s why the government is not acting upon it.

The Indian angle looks ugly, but their country has prospered a lot due to this. Such huge investments have led to great economy and the people living a very high standard of living. An Idea well executed is all it takes.

Las Vegas

A little known city in the state of Nevada, USA. One of the poorest state in the country. Lack of proper transportation routes, barren lands all over, no great history, no state of the art facilities like other American cities. Infact there wasn’t even a city here around 150 years ago. It was just a transit place for long distant tourists.

The city people believed money is never gonna come their way. USA may get richer, but Vegas, still poorer. Here too, it was just an idea which changed the map, the image and economy of the city. Yes, we all know the Idea. The Las Vegas Casino.

The casino city is so different a city today. Looks like any other top American cities. The rates of rooms at weekends are 4 times the rate on Monday. Almost every big hotel here has a casino. People will always keep trying on their luck, and this city will always make money from them. Who was to say, the barren lands of Nevada would one day become one of the busiest economic centre of the states. The entire state has benefited in terms of good transport, good roads due to this city.

Moral: Don’t say we have nothing, because people have made so much out of nothing.

Watching “What happens in Vegas” reminded me of this story. Nice Movie.