Tuesday, August 24, 2010

Kelantan Launches Gold Dinar

Subject: Kelantan Launches Gold Dinar (see below)
From: zahid aziz (zaziz@hotmail.com)
Sent: Saturday, August 21, 2010 6:20:52 AM
To: mcoba google (mcoba-mail@googlegroups.com)

Assalamu "alaikum,
On the above subject I would like to share my conversation with a batchmate.

Zahid
Class of '72, Sulaiman House

http://zahidsay.blogspot.com/

Assalamu 'Alaikum,

There is a lot of literature on this. I will forward some to you. Its quite complicated but there's truth behind it once you understand it. Basically it is money backed by gold vs money not backed by gold. Money backed by gold theres some discipline and no room for injustices by nations. USD was once backed by gold; now no longer so. they created a situation where USD is international currency and therefore have permanent demand for it. So US govt pay international debts by simply printing more and more USD. This is bad news and will explode soon.


Within a country like Malaysia for example paper money and coins is only a small portion of the country's currency. The major form of currency is banks current accounts. How does it work? You have RM1000 you deposit in your current account. The bank retains RM100 as statutory reserve and lends me RM900. I deposit RM900 in my current account with another bank. This bank retain RM90 and lends to Ahmad RM810. Ahmad deposits RM810 in his current account the bank retains RM81 and lends out RM729 to Kassim and so on.

Lets recap who have how much to spend. You have RM1000, I have RM900, Ahmad have RM810 and Kassim have RM729. A total of RM3439 spending power when the original amount you deposited was only RM1000. And this before the chain ends. So you see how money is created out of thin air by banks? Imagine the scale of this thin air money on a nationwide basis.

This is the danger when money is not backed by gold. It can balloon and balloon forever. Now think about the total loan given out in the example above me RM900 Ahmad RM810 and Kassim M729. We owe the banks a total of RM2439 but money available in this mini economy is only RM1000. Some of us must default because there is not enough money to pay the banks. If all us charged our house to the bank you can see based on this inequitable system the bank will soon own at least two houses.

In short, this is a mad system waiting to collapse.

That is why they say it is unIslamic because by default the banks will get richer and richer and the people will lose.

They say money backed by gold or gold dinar will be more justified. I am inclined to believe; it is a foundation we should work on. The alternatve reeks of evil.

Salam Ramadhan,

Zahid

~~~~~

Published: Thursday August 12, 2010 MYT 6:31:00 PM

Kelantan launches gold dinar


KOTA BARU: Kelantan paved the way to become the first state to introduce the gold dinar and silver dirham currency.
Speaking when launching the Syariah currency Thursday, Mentri Besar Datuk Nik Abdul Aziz Nik Mat said the state would strive to expand the use of the gold dinar and silver dirham in all transactions, including paying civil servants' remuneration.
However, there were still many technicalities that had to be addressed by the state government, he told reporters after launching the dinar gold and silver dirham here.
The dinar gold and silver dirham is managed by Kelantan Gold Trade (KGT), a subsidiary of Kelantan Mentri Besar Incorporated (PMBK).
In a symbolic gesture to mark the occasion, Nik Abdul Aziz handed over a gold dinar to PMBK chief executive officer Mustapha Salleh as payment of salaries to PMBK employees for the month.
Nik Abdul Aziz, who is also PMBK chairman, said to date 1,000 traders had agreed to use the gold dinar and the dirham silver currency in their transactions, besides Lembaga Tabung Haji and Bank Islam Malaysia.
"There is no reason why transactions in Syariah currency cannot be practised in the state as it was widely used thousands of years before the fall of the Ottoman Empire," he said, adding that other states were encouraged to use the currency. - Bernama

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

No comments:

Post a Comment