Dear Pakistan, are you ready for biggest action of your history?

[khail007]

In Islam there was no concept of paper currency, Jews introduced it thru USA.
Prior to that there was only gold and silver coins, which valued same all over the world, Jews exploited it for their own benefits/interests.

 

[fitpOsitive]

In Islam there was no concept of paper currency, Jews introduced it thru USA.
Prior to that there was only gold and silver coins, which valued same all over the world, Jews exploited it for their own benefits/interests.

It all started in Europe.

 

[Jungibaaz]

Dear Brother,

Thank you for the excellent detailed response. Now could you tell us how do gold & silver reserves fit into the picture, what are its pros and cons?

Best Regards

No problem at all. On gold, silver, and other precious commodities. They are not used at all to value currencies these days. The gold standard was used in the past to tie the value of a country's currency in circulation to an amount it had in gold reserves. That system was phased out, first by Bretton Woods after WWII, and then by 1973 we had the establishing of modern monetary systems and fiat currencies. To give you an idea of how far off we are from linking our currency to gold today, I'll draw for you a quick example. Back then, the amount of currency you could have (money supply) would be determined determined by how much gold you could produce or acquire. It was a deflationary regime at times and it potentially constrained growth. Today, Europe, the UK, the US, and Japan, are all 'printing' trillions of euros, dollars etc worth of currency via a policy called quantitative easing, in order to bolster prices and their economies. So we're very far from that old system.

Primarily today, static currency denomination doesn't matter that much, if my nominal GDP in dollars is let's say USD300bn, it doesn't matter if that's the value with an exchange rate of 1 PKR/USD (so a GDP of PKR300bn), or 155 PKR/USD (or a GDP of PKR46.5tn). I am grossly simplifying here so take what I say with a few heaps of salt. However, the change in value of a currency over time matters for what it does to purchasing power, trade competitiveness, inflation etc. The key for us is to manage the rate so that devaluation doesn't cause too much damage to the pockets of ordinary citizens, and have it not so overvalued that we can't become export competitive, and in between the more stable it is, the more confidence investors have, the more inflation can be expected and managed rather than having ER shocks.

As for gold itself, it's an important commodity, and market prices of gold will impact other assets, and it impacts currencies. But relative value of currencies is not really impacted by gold. For example, the big drops in PKR relative to USD, or recent strengthening, have nothing at all to do with gold, they move for other reasons discussed previously. Current account and trade volumes and interest rates, and other factors are the primary channels of impact on currencies. Of course, if you have a lot of gold that you mine and produce locally, and export, that'll help your currency, but that's a completely separate matter, and when it comes to export value, it wouldn't matter to a currency value if that export came from gold exports, or cars, or cotton.

 

[Death Professor]

I am not criticising the shaik but just to put an additional note that Today's Dinar and Dhiram are also linked with $ so it will not change any thing practically even if we delink our PKR from USD and link it with Dinar or Dirham .... and today's currencies named Dinar and Dirham are not the same Dinar or Dirham from the era of Prophet Muhammad PBUH

other then this I agree with him not all the countries claim complete sovereignty including Russsia and China ....

I think he meant gold and silver coins, that were the dinar and dirham of that time. Modern form of it will be gold and silver backed currency instead of fiat currency.

But yeah for that to happen one needs huge gold and silver reserves. On top of that you need other countries to agree on trading with you in that currency or metals. So, yeah its a pipedream, it could have happened if Gadaffi was given more time, but we all saw how that episode played out, so....

 

[Jungibaaz]

My criticism of Ishaq Dar is well known here.

One of the reason I think he should be brought back, charged for "treason" , prosecuted and given a death penalty.

He is the reason behind most of Pakistan's problems at the moment.
He kept the Rupee stronger than it was, by adopting artificial means , including figures fudging.
The only reason Rupee was firm was due to the interference. Which increased the national debt. Dollar borrowed on high interest rates and kept in the SBP to keep Rupee strong. The loans were in private companies name with sovereign guarantees. Those loans were not even showed in national debt figures.

Imran has done the right thing to adopt free floating system. Which provided Rupees it real value.
Due to the needed adjustment, Pakistan GDP figures have gone down. It doesn't mean that GDP has gone down, but that in Dollar terms it is valued less.
Over time Rupee would firm, which is already happening.
Good trends of Remittances, better export figures coupled with better crops. All very positive trends, which would improve Rupees valuation over time.

This is the way to correct decades of robbing of national resources by the corrupt thugs.

To make matters worse, he has recently been making some absurd comments about the current ER regime we've adopted since his departure. I think he should go down as a highly irresponsible finance minister. Interestingly, I remember when he was appointed I didn't know who this guy was, so I asked what background he had in Economics? I had some discussion with members here where I pointed out that this guy doesn't seem to have any solid background for the job he is about to be given and how disastrous that could end up. I never in a million imagined it would be as bad as it turned out.

 

[crankthatskunk]

Who are biggest FDI source? USA/Europe. You need to make amends with them to attract FDI. By not allowing TLP, Taliban terrorists etc to prosper who will blackmail state to cut ties with West after every few months.

Wrong arguments from every angle.
How much FDI they have brought to Pakistan!!!
How much FDI China is bringing to Pakistan!!
Pakistan is not with TTP , they are killing innocent Pakistanis, Pakistani army is in constant war with them.
Pakistan helped USA and Europe to negotiate with Taliban. The talk were direct, why USA and NATO didn't sort out issues with the Taliban!!

Don't try to put the whole blame on Pakistan. I am a very harsh critic of Pakistani army's generals. Remember what i said, critic of Generals not the Army.

To make matters worse, he has recently been making some absurd comments about the current ER regime we've adopted since his departure. I think he should go down as a highly irresponsible finance minister. Interestingly, I remember when he was appointed I didn't know who this guy was, so I asked what background he had in Economics? I had some discussion with members here where I pointed out that this guy doesn't seem to have any solid background for the job he is about to be given and how disastrous that could end up. I never in a million imagined it would be as bad as it turned out.

I had a Pakistani friend, God bless him, he is a CEO of a company in Canada at the moment.
He was studying CA i.e. Chartered Accountancy in London, i.e. Articles and Exams etc.
He used to say Accountant in Urdu means "Karae ke bhatoo". Ishaq Dar was exactly that highly corrupt criminal. Yes criminal. What he did with the passport of Qazi family, opening bank accounts with fake signatures are criminal acts.
If you make criminal your Finance Minister, you pay the price, period.

 

[batmannow]

Untill PAPAJONES type ppls are the real rulers imposed on Pakistan, it won't stand anywhere politicaly, economicly !socially!
Just because it's been rule for other powers ?
It's looks like its independent but it's been American colony since late 50s ?
To finish that ugly rule, frist step to take is to dissolve all the provinces and then make all bigger districts as provinces and smaller districts make them Thier capitals, it will end decades old divide and rule game and the power of croupt drawing room waderas, jagir Dars , Chodris unholy alliance with papajones and it will bring power to the votes of the ppls then every thing will start setting up itself

 

[EasyNow]

I'm surprised how prevalent these ideas are becoming in Pakistan.

PDF - and Pakistani society - is becoming an echo chamber, where hardly anyone is challenging some of the most absurd theories.

Sheikh needs to present his ideas in front of independent economists who can test his theory. He is delivering one-sided lectures to an audience of laymen - and people are lapping it up.


Pakistan's actual problem is that it is poor. Whether you are poor in USD, Renminbi or gold changes nothing. All these theories blaming Jews, IMF etc will not change that fact either. If you stay poor, forget IMF, you will take loans from Chinese and Russians too. So there's no conspiracy, the poor become indebted to the rich.

Even if Pakistan's currency becomes gold standard. As a 3rd world country, u have limited gold supplies to back your currency. You will have to dilute the gold represented by your currency to micro levels - which means your currency has a low worth. To make your currency valuable you need lots of gold reserves - i.e. again, you can't be poor...

In all scenarios, if you are able to make Pakistan richer and more powerful, your currency will become more reliable. Look at the Japanese yen as an example.

There's no short cut for this, Pakistan needs to improve its economy by spending less and earning more. That's the only way out of slavery.

 

[Mentee]

Anyone dealing in riba/usuary/sorcery or defending such vile act under any excuse is committing blasphemy and Allah swt warning is quite clear about that ! even though his nation has to import every edible/life sustaining item from somehwere else which however is not the case with Pakistan as we dont need to ask imf/nato to provide us with the real wealth e.g any season , minerals (oil and latest tech? we can smuggle from iran and china), live stock ,water, fruit and flavour --- !



the universe is designed to spontaneously activate a set of reactions/repercussions upon every action performed by the creation- ------



its not like if a man commits a sin , Allah swt always takes His time and then gives a direct command to his angels that he be striken with a "thunderbolt" --------.



But in case you economically strangulate the poor by dealing in riba and that poor guy in his ignorance and grief eventually end up slandering Allah swt for his plight then it becomes a personal thing with the Heavens . Remember what The Prophet saww said about the creation being the family of Allah swt? makhlooq Allah swt ka kunmba hai ?



Which is also quite evident from the fact that Allah swt hasn't warned mankind in the scriptures with a DIRECT WAR on any other transgression except riba/usuary commencing right from this life . And when Allah swt wages war at someone no amount of getting aid for eternity ,achieving fancy fiscal stats , personality worshipping of a few , blaming navaz zardar firoun or taking nato/imf as your susutainer/ Rab can redeem your family tribe and nation. The cycle of misery utter frustration and humiliation keeps on getting momentum until we get replaced by another people or the trumpet is blown. And Allah swt knows best!

@Muhammed45 @Verve @fitpOsitive @lastofthepatriots
@Blacklight

Sheikh needs to present his ideas in front of independent economists who can test his theory

Unlike many showoffs this guys has actually studied the "modern " finances for a good period of his life and how a select few are ripping the humanity off .

 

[fitpOsitive]

Anyone dealing in riba/usuary/sorcery or defending such vile act under any excuse is committing blasphemy and Allah swt warning is quite clear about that ! even though his nation has to import every edible/life sustaining item from somehwere else which however is not the case with Pakistan as we dont need to ask imf/nato to provide us with the real wealth e.g any season , minerals (oil and latest tech? we can smuggle from iran and china), live stock ,water, fruit and flavour --- !



the universe is designed to spontaneously activate a set of reactions/repercussions upon every action performed by the creation- ------



its not like if a man commits a sin , Allah swt always takes His time and then gives a direct command to his angels that he be striken with a "thunderbolt" --------.



But in case you economically strangulate the poor by dealing in riba and that poor guy in his ignorance and grief eventually end up slandering Allah swt for his plight then it becomes a personal thing with the Heavens . Remember what The Prophet saww said about the creation being the family of Allah swt? makhlooq Allah swt ka kunmba hai ?



Which is also quite evident from the fact that Allah swt hasn't warned mankind in the scriptures with a DIRECT WAR on any other transgression except riba/usuary commencing right from this life . And when Allah swt wages war at someone no amount of getting aid for eternity ,achieving fancy fiscal stats , personality worshipping of a few , blaming navaz zardar firoun or taking nato/imf as your susutainer/ Rab can redeem your family tribe and nation. The cycle of misery utter frustration and humiliation keeps on getting momentum until we get replaced by another people or the trumpet is blown. And Allah swt knows best!

@Muhammed45 @Verve @fitpOsitive @lastofthepatriots


Unlike many showoffs this guys has actually studied the "modern " finances for a good period of his life and how a select few are ripping the humanity off .

Well tbh, it's all about what you think about things and how you want to impliment it. If people are not willing to let go the injustice then Allah will.. Then people will ask: ay Allah hamsy Kia gunah hoa Tha Aisa.
Yeh gunah hoa Tha hamsy.

 

[Mentee]

Well tbh, it's all about what you think about things and how you want to impliment it. If people are not willing to let go the injustice then Allah will.. Then people will ask: ay Allah hamsy Kia gunah hoa Tha Aisa.
Yeh gunah hoa Tha hamsy.

We fight all the time over fiqah but how conveniently try to change the Sunnah of Allah/direct Commandments even though these and the repercussions for failing to observe these are unequivocal in their mention . I think the gravity of consequences are not getting registered in our "thick" skulls and now we want to liberate Al Aqsa ? Could anyone tell me if by any chance we succeed in doing so what change we'd bring to that holy place ? Soodi State bank of Pakistan replacing soodi state bank of Israel?

 

[fitpOsitive]

We fight all the time over fiqah but how conveniently try to change the Sunnah of Allah/direct Commandments even though these and the repercussions for failing to observe these are unequivocal in their mention . I think the gravity of consequences are not getting registered in our "thick" skulls and now we want to liberate Al Aqsa ? Could anyone tell me if by any chance we succeed in doing so what change we'd bring to that holy place ? Soodi State bank of Pakistan replacing soodi state bank of Israel?

Outclass bhai Jan. What a point. That's the thing. I think the same when someone says that some people are trying for hindutva in India.
So basically, it's about correcting ourselves first, and then try to change others.
Financial institutions of Muslim world definitly need reforms and the liberation from international butchery. A zalim and munafiq can not represent Islam.

 

[Mentee]

Outclass bhai Jan. What a point. That's the thing. I think the same when someone says that some people are trying for hindutva in India.
So basically, it's about correcting ourselves first, and then try to change others.
Financial institutions of Muslim world definitly need reforms and the liberation from international butchery. A zalim and munafiq can not represent Islam.

2:278

O you who have believed, fear Allah and give up what remains of interest, if you should be believers.



2:279

And if you do not, then be informed of a war from Allah and His Messenger. But if you repent, you may have your principal - [thus] you do no wrong, nor are you wronged.




Now do we still find the need to engage in the usual mental gymnastics? These are clear signs for us .

 

[fitpOsitive]

2:278

O you who have believed, fear Allah and give up what remains of interest, if you should be believers.



2:279

And if you do not, then be informed of a war from Allah and His Messenger. But if you repent, you may have your principal - [thus] you do no wrong, nor are you wronged.




Now do we still find the need to engage in the usual mental gymnastics? These are clear signs for us .

Yes. The problem are those guys, who studied economics for 5 to 6 years in universities. These guys always see economy in terms of fdi, gdp, inflation, interest rates, exchange rate etc etc.
Then who can change the system? The ones who have common sense of economy and are determined to do that change.

 

[Mentee]

Yes. The problem are those guys, who studied economics for 5 to 6 years in universities. These guys always see economy in terms of fdi, gdp, inflation, interest rates, exchange rate etc etc.
Then who can change the system? The ones who have common sense of economy and are determined to do that change.

For the delusional idiots of modernity ecnomic well being is manifested through a digit on a computer screen but did they ever value the fruit lying in your refrigerator or the quality of law and order ,technical skills , water , dairy , vegetables and liver stock we consume?

These guys always see economy in terms of fdi, gdp, inflation, interest rates, exchange rate etc etc.

They throw a plethora of buzz words at you making things look complicated like a web , a trait quite common among thugs and charlatans. but , in reality economics is pretty simple