Gold dinar - a new tool of globalization?


How to get rid of the addiction?

In Islamic countries there are two possibilities to get rid of dependence on the U.S. dollar. First, the need to accelerate the already high growth rates of Islamic economy, thus increasing domestic consumption and internal trade among IDB member countries. According to the IMF, domestic trade turnover between the two countries in 1998 was only 8.2% of the total exports of IDB member countries. In 1421, in the Islamic calendar (2000-2001). Comparable figure was 15.5%, according to the IDB already. In other words, the consumption of raw materials among IDB member countries is growing. Whether these countries will go to the further development of self-sufficient economic system - hard to say. Must take into account different levels of economic development and quite a few states that do not support such a radical Islamic way of life in the financial sector. Particularly strong contradiction between IDB member countries noticeable when considering the relationship between the former colonies and the western countries, which have never been under colonial rule, and where is now emerging principles of economic policy. Secondly, many sellers of resources can be simply joined together to create something like a trade alliance, and try to control the sale of resources together. The prototype of such an alliance can serve as OPEC. Periodically OPEC countries inflate the price of oil on world markets. But when it comes to resource (commodity) markets in general, the alliance within OPEC is not enough, especially as OPEC - is not 100% Islamic structure. The revision of approaches to pricing of raw materials requires a global solution.

Prime Minister of Malaysia has

Crucial step to reduce external dependence of economies of Islamic countries is the proposal of the Prime Minister and also the Minister of Finance of Malaysia Mahathir Mohamad (Mahathir Mohamad). In March 2002, he proposed to calculate between the Islamic countries to introduce the gold dinar. It does not have to use in the calculation of daily, enough to stock a new international regional currency stored in the central banks of the countries participating in the project.

Western news agencies immediately appreciated such statements as another blow to the U.S. dollar. Simultaneously in the West talking about the outflow of capital in favor of the Islamic countries. It was about the amount of approximately $ 1 trillion. To investigate the issue, we turned to the source, namely the speech Mahathir Mohamad, the two-day conference on Islamic capital markets, which was the reason for the violation of a temporary calm in Western markets. Malaysian Prime Minister said that one of the main reasons that prompted him to make such a statement is the need to address economic crises like the one that shook Indonesia and Malaysia in 1997-1998. He believes that paper money has no intrinsic value of the constant, which makes them a good tool handling and arbitration, as was observed at the last Asian crisis.