The Muslim world is economically self-sufficient due to it's vastness and with a common currency could have worlds largest economy

[Titanium100]

With a NEW CURRENCY it will only mean a new opportunity because geographically they cover everything they need and is within their borders.

This map is just an illustration and the smaller dots outside of the main border is not counted as within the mainland. This map is made up of 44 muslim majority sovereign countries with Approx 1.9 Billion population

While doing also some research on the past I found out that the most wealthy nations were Malaysia, Somalia, Indonesia and India and specifically ibn Battuta mentions this in his recorded tales of his legendary journey and there is also another Chinese source on this matter the legendary admiral Zheng He with his fleet visited Mogadishu and they had trade ties with the Mogadishu sultanate they imported alot of goods. The reason these nations were wealthy was due to strategic locations. Most of the worlds gold was concentrated in the Muslim world and prominent non-muslim nations had ties with them. Example Venice became famous in the 15-17 centuries due to the muslims banning trade to other cities in Europe due to agreement with the traders in Venice so other cities had to come to Venice to pick up their goods due to this Venice became the wealthiest city in Europe and the center of literature in Europe.

Technically this is spanning 4 continents if you include Indonesia into Oceania because it is partially Oceania. Europe, Africa, Asia and Oceania which means everything of resources needed is within the borders. They could technically survive trading within their own world exclusively if need be but humanity first which means they will also trade with others this will never change to give back to humanity.

With a NEW Currency the muslim world would be self-sufficient internally and countries such as Malaysia, Indonesia, Somalia and Burnei would regain their prominence as the main feeders because in ancient days they had the responsibility of constantly supplying the other muslim world nations. Since we are now in the current era the gulf-state would provide petro and venture into technology where as Turkey would also continue technology developement where countries as Pakistan would be granted the rights to sell different food items constantly, Minerals and other permanent deals while everything circulating within the Muslim world where permanent trade ties could be formed within the currency flow zone.

The New Currency can either be paper or gold backed but perferably paper since gold can't sustain so many people as the main currency. This Currency could be more expensive then petro-dollar and probably would become the world's main currency by default. The Asian countries would have to do trading with someone hence the muslim world is closests geographically it would be the more ideal choice and the European states will follow suit.

There is still alot of wealth currently in the muslim world but just divided into sections such as the 6 gulf state Saudi Arabia, Qatar, UAE, Oman, Kuwait Bahrain, Malaysia, Indonesia, Turkey, kazakhstan and Brunei. With a New Currency and in house permanent trade ties this would change everything overnight and would also be beneficial to the other neighbouring nations and the rest of the world

 

[cloud4000]

Just look at state of the Muslim world today and tell me if a Muslim EU is even possible. Which country is willing to sacrifice its sovereignty for this venture? Who is going to be the Germany of this group? And who will be its Greece?

 

[Cherub786]

Isn't that the logo of Zaitoon FM in your profile pic?

 

[Titanium100]

Just look at state of the Muslim world today and tell me if a Muslim EU is even possible. Which country is willing to sacrifice its sovereignty for this venture? Who is going to be the Germany of this group? And who will be its Greece?

Money is the greatest motivator in human history. If it's good for every man's pocket they will consider it positively

Isn't that the logo of Zaitoon FM in your profile pic?

I guess it was and I didn't even know it. I searched Zaitoon FM and just found out about it. I chose that Z because I liked the design

Introducing this kinda of currency would benefit everyone involved and there would be no losers but just winners. Any participant would walk away with a smile on his face and even for these who pursue different political agenda's as long as they are within the zone this would improve their livelihoods. There would be no military ties just economical zone. Each person would become on average 20 times richer..

 

[Titanium100]

Dr M welcomes proposal to have unified currency for Muslim nations

KUALA LUMPUR: Tun Dr Mahathir Mohamad has welcomed the proposal to use a unified cryptocurrency for the Muslim world.

The Prime Minister said that he had suggested the idea of a unified currency for Muslim nations a long time ago but could not implement it due to sanctions by super powers.


"We can't always use US dollars, as its use will make us too dependent on the United States which can impose sanctions against us and will affect our economic growth.

"This is the first time we are hearing this idea (use of cryptocurrency) coming from Iran and Turkey.


"If we don't have US dollars, we can use our own currency or we can create a common currency," he told reporters after the roundtable session of the Kuala Lumpur Summit 2019 on Thursday (Dec 19).

Without naming the super powers, Dr Mahathir said that his ideas to introduce such currency had been thwarted a few times.


"Actually, if we look at the United States, they are already bankrupt, because they have debt worth trillion of dollars and have yet to pay it.

"However, we still think that their currency is strong," said Dr Mahathir.

Iranian President Hassan Rouhani had earlier suggested that Muslim countries can cooperate closer in terms of banking and economy including the use of cryptocurrency under a unified currency.

The Iranian President had shared some of Turkish President Recep Tayyip Erdogan's views, particularly on using national currency instead of the US dollar for trade among Muslim countries.

“With new blockchain technology, we would be able to introduce a unified cryptocurrency to Muslim states with the cooperation of our central banks.

“In the past, Dr Mahathir had wanted to introduce the Islamic dinar. With such technology underway, we can set up a new currency for the Muslim world. The benefit of cryptocurrency is that it can cut through bureaucratic and market fluctuations, ” said Hassan in his speech.

He added that utilising cryptocurrency or unified currency for trade among Muslim nations can allow these countries to further independence, from over-reliance on the US dollar.

Some 450 delegates comprising leaders, intellectuals, politicians and non-governmental organisations from 56 countries are attending the four-day summit

amid criticism from the Organisation of Islamic Conference (OIC) for undermining the Saudi-based global body representing Muslim nations and organisations.

The idea for the Islamic dinar was first mooted by Dr Mahathir after the 1997 Asian financial crisis.

Meanwhile, Erdogan said such conferences are not only important for discussing issues faced by the Islamic community, but to find solutions to such issues.

Some areas, he added, that Muslim countries can look into to broaden partnerships include banking, finance, technology and education.

He mooted some suggestions for ramping up collaboration between Muslim countries, such as increasing academic exchanges between students and conducting bilateral trade in their own currencies instead of relying on foreign currencies.

Islamic finance, he added, should be prioritised and expanded as there is great potential in such financial systems.

The Muslim world needs to get off the currency roller coaster


The Organisation of Islamic Cooperation (OIC) has 57 member countries. The top 10 by GDP account for almost 73% of the OIC’s total GDP. Thus, the overall economic well-being of the Muslim world is dependent on the performance of these 10 countries.

Examining the performance of their currencies over the last 10 years for an indication of the relative well-being of the Muslim world paints a rather sombre picture. Two of the 10 countries, Saudi Arabia and the UAE, have their currencies pegged to the US dollar.

A peg effectively renders impossible independent domestic monetary policy. With their exports being little else but oil, a USD-denominated commodity, exchange rate competitiveness is immaterial, thus the hard peg.

Examining the performance of the remaining eight countries’ currencies shows a common feature. All eight have depreciated substantially against the dollar compared with 10 years ago. The Turkish lira is down by about 390%; the Iranian riyal, 300%; Egyptian pound, 176%; Nigerian naira, 147%; Pakistani rupee, 93%; Indonesian rupiah, 67%; Malaysian ringgit, 35%; and Bangladesh taka, 22%.

The depreciation of a currency automatically erodes a nation’s terms of trade. It has to produce and export much more to purchase the same level of imports. In the longer term, imported inflation, capital flight and a host of other ills can plague the nation. That all eight countries have suffered substantial depreciation points to a systemic problem within the Muslim world.

Two of them, Turkey and Indonesia, should really be doing much better. Both have tremendous natural resources, low labour costs, well-diversified economies, and, in Turkey’s case, a well-developed industrial sector.

Furthermore, political leadership is strong in both countries and has undertaken serious reforms, particularly in fighting corruption. Yet, both their currencies have not only depreciated sharply over the last 10 years but also experienced episodes of high volatility.

Perception and other extraneous factors, rather than economic fundamentals, may be at work here. The question that arises is why, despite their underlying economic strengths, have these countries suffered disproportionate setbacks to their currencies?

The answer, perhaps, lies in the way they have funded growth. Both countries have been plagued by the twin deficits — current account and fiscal deficits. The need to fund these shortfalls adds more debt and reduces policy flexibility.

A feedback loop from foreign-sourced debt financing of development to the budget and current account deficits, arising from the need to service such debt — resulting in currency depreciation, imported inflation, interest rate hikes, a slowdown and more borrowing — entraps these nations within a vicious circle. A history of currency volatility and crises only makes foreign exchange markets hypersensitive to even the smallest policy change.

What is surprising is the continued use of the same policies and the inertia of policymakers to try alternatives, especially with the financing alternatives available in Islamic finance.

The risk-sharing contract, Mudarabah, can be modified to be an effective alternative to debt. Being terminal and with minimal ownership dilution, it provides funding benefits without the disadvantages of debt. As a profit/loss sharing contract, the absence of leverage means that when used to fund infrastructure projects, it imposes no fixed obligations. This provides an automatic stabiliser to government fiscal balances, especially during downturns.

Fixed debt-servicing requirements, even during downturns, cause capital outflows that accentuate current account deficits, thereby putting more pressure on a country’s currency. A large depreciation of the currency would result in sharply higher debt obligation to domestic entities that have sourced debt overseas.

If some of these entities were banks, a banking crisis could ensue. To prevent a meltdown, the central bank has to intervene in foreign exchange markets — either through purchase of the home currency, thereby eroding reserves, or sharply raising interest rates, potentially throwing the economy into a recession.

When debt accumulation is substantial within the economy, the latter option of raising interest rates is not even feasible. Debt simply reduces the policy options available and forces governments into a corner.

The result, as is the case in these countries, is a never-ending roller coaster of currency devaluation, economic restructuring, new debt-funded growth and balance-of-payment problems yet again. The risk-sharing alternatives of Islamic finance can offer these countries a way out.

The Muslim world needs to get off the currency roller coaster

The Organisation of Islamic Cooperation (OIC) has 57 member countries. The top 10 by GDP account for almost 73% of the OIC’s total GDP. Thus, the overall economic well-being of the Muslim world is dependent on the performance of these 10 countries. Examining the performance of their currencies...

iais.org.my

 

[Indos]

With a NEW CURRENCY it will only mean a new opportunity because geographically they cover everything they need and is within their borders.

This map is just an illustration and the smaller dots outside of the main border is not counted as within the mainland. This map is made up of 44 muslim majority sovereign countries with Approx 1.9 Billion population

While doing also some research on the past I found out that the most wealthy nations were Malaysia, Somalia, Indonesia and India and specifically ibn Battuta mentions this in his recorded tales of his legendary journey and there is also another Chinese source on this matter the legendary admiral Zheng He with his fleet visited Mogadishu and they had trade ties with the Mogadishu sultanate they imported alot of goods. The reason these nations were wealthy was due to strategic locations. Most of the worlds gold was concentrated in the Muslim world and prominent non-muslim nations had ties with them. Example Venice became famous in the 15-17 centuries due to the muslims banning trade to other cities in Europe due to agreement with the traders in Venice so other cities had to come to Venice to pick up their goods due to this Venice became the wealthiest city in Europe and the center of literature in Europe.

Technically this is spanning 4 continents if you include Indonesia into Oceania because it is partially Oceania. Europe, Africa, Asia and Oceania which means everything of resources needed is within the borders. They could technically survive trading within their own world exclusively if need be but humanity first which means they will also trade with others this will never change to give back to humanity.

With a NEW Currency the muslim world would be self-sufficient internally and countries such as Malaysia, Indonesia, Somalia and Burnei would regain their prominence as the main feeders because in ancient days they had the responsibility of constantly supplying the other muslim world nations. Since we are now in the current era the gulf-state would provide petro and venture into technology where as Turkey would also continue technology developement where countries as Pakistan would be granted the rights to sell different food items constantly, Minerals and other permanent deals while everything circulating within the Muslim world where permanent trade ties could be formed within the currency flow zone.

The New Currency can either be paper or gold backed but perferably paper since gold can't sustain so many people as the main currency. This Currency could be more expensive then petro-dollar and probably would become the world's main currency by default. The Asian countries would have to do trading with someone hence the muslim world is closests geographically it would be the more ideal choice and the European states will follow suit.

There is still alot of wealth currently in the muslim world but just divided into sections such as the 6 gulf state Saudi Arabia, Qatar, UAE, Oman, Kuwait Bahrain, Malaysia, Indonesia, Turkey, kazakhstan and Brunei. With a New Currency and in house permanent trade ties this would change everything overnight and would also be beneficial to the other neighbouring nations and the rest of the world

Nice writing, but it needs further research on the impact on the economy. Any way stronger currency is not good for trade purposes.

There is some mistake though that I found on the map, it doesnt include Papua despite it is part of Indonesia

 

[Tom-tom]

With a NEW CURRENCY it will only mean a new opportunity because geographically they cover everything they need and is within their borders.

This map is just an illustration and the smaller dots outside of the main border is not counted as within the mainland. This map is made up of 44 muslim majority sovereign countries with Approx 1.9 Billion population

While doing also some research on the past I found out that the most wealthy nations were Malaysia, Somalia, Indonesia and India and specifically ibn Battuta mentions this in his recorded tales of his legendary journey and there is also another Chinese source on this matter the legendary admiral Zheng He with his fleet visited Mogadishu and they had trade ties with the Mogadishu sultanate they imported alot of goods. The reason these nations were wealthy was due to strategic locations. Most of the worlds gold was concentrated in the Muslim world and prominent non-muslim nations had ties with them. Example Venice became famous in the 15-17 centuries due to the muslims banning trade to other cities in Europe due to agreement with the traders in Venice so other cities had to come to Venice to pick up their goods due to this Venice became the wealthiest city in Europe and the center of literature in Europe.

Technically this is spanning 4 continents if you include Indonesia into Oceania because it is partially Oceania. Europe, Africa, Asia and Oceania which means everything of resources needed is within the borders. They could technically survive trading within their own world exclusively if need be but humanity first which means they will also trade with others this will never change to give back to humanity.

With a NEW Currency the muslim world would be self-sufficient internally and countries such as Malaysia, Indonesia, Somalia and Burnei would regain their prominence as the main feeders because in ancient days they had the responsibility of constantly supplying the other muslim world nations. Since we are now in the current era the gulf-state would provide petro and venture into technology where as Turkey would also continue technology developement where countries as Pakistan would be granted the rights to sell different food items constantly, Minerals and other permanent deals while everything circulating within the Muslim world where permanent trade ties could be formed within the currency flow zone.

The New Currency can either be paper or gold backed but perferably paper since gold can't sustain so many people as the main currency. This Currency could be more expensive then petro-dollar and probably would become the world's main currency by default. The Asian countries would have to do trading with someone hence the muslim world is closests geographically it would be the more ideal choice and the European states will follow suit.

There is still alot of wealth currently in the muslim world but just divided into sections such as the 6 gulf state Saudi Arabia, Qatar, UAE, Oman, Kuwait Bahrain, Malaysia, Indonesia, Turkey, kazakhstan and Brunei. With a New Currency and in house permanent trade ties this would change everything overnight and would also be beneficial to the other neighbouring nations and the rest of the world

U missed out the bengal sultanate, which was the wealthiest in the world for around 400 yrs. Until the brits arrived.

 

[Qutb-ud-din Aybak]

Just look at state of the Muslim world today and tell me if a Muslim EU is even possible. Which country is willing to sacrifice its sovereignty for this venture? Who is going to be the Germany of this group? And who will be its Greece?

We lack in technology and food security.our combine armies can't defeat Israel because of lack of modern technology.

 

[Indos]

We lack in technology and food security.our combine armies can't defeat Israel because of lack of modern technology.

Join force of Muslim powers can easily defeat Israel. Different story with US + France backing.

 

[Titanium100]

We lack in technology and food security.our combine armies can't defeat Israel because of lack of modern technology.

Only the Warring sides in Syria if they unite today can overcome Israel despite being thru a decade long war forget the rest. Israel doesn't have qualitative military edge contrary to what some may believe. This has been the case since the 80s and 90s they lost the qualitative edge long time ago and the way war is fought has changed alot. The only reason Israel stands is due to the US and them being the 52th state but without that it can't defend itself alone. Your technically not taking on Israel but the US and that is awhole different ball game and that is what most don't realize they think Israel is there by itself but hiding behind them is around almost 1-billion strong.

Everything you see today will remain status quo and the same with Israel until WW3 and that is long shoot away perhaps decades from now and same goes to the normal borders you see today all of them including Taiwan won't change hands until that time ww3 but post that everything could change with new borders and countries born

 

[Tom-tom]

Nice writing, but it needs further research on the impact on the economy. Any way stronger currency is not good for trade purposes.

Argentina was the wealthiest country in the world between I think the 50s to 70s due to its natural resources, wealthier than the u.s.

Argentina was not creating new wealth nor innovating so it dropped down the list.

Real wealth comes from created wealth that's innovated, along with that soft power is inherited for the country.

If Argentina refined its resources and innovated them to finished products then it may have been higher up on the wealth list today.

A lot of Muslims countries have problems with innovation and creating value added goods.

 

[PakFactor]

We lack in technology and food security.our combine armies can't defeat Israel because of lack of modern technology.

If the top 10 economies are oil and real estate flipping that will make up 70% of the blocks GDP then, no, this will not work, sorry. Their has to be a vibrant economy and cross border migration like US and EU.

 

[Titanium100]

Nice writing, but it needs further research on the impact on the economy. Any way stronger currency is not good for trade purposes.

There is some mistake though that I found on the map, it doesnt include Papua despite it is part of Indonesia

The Map is not entirely precise it has that part yellow but as fading yellow. There is also a dotted spot inside China which is incorrect addition.

A strong currency will have an impact

 

[Indos]

The Map is not entirely precise it has that part yellow but as fading yellow. There is also a dotted spot inside China which is incorrect addition.

A strong currency will have an impact

Yup the Muslim region inside China should be very large since it is Xin Jiang province

 

[Titanium100]

Yup the Muslim region inside China should be very large since it is Xin Jiang province

I meant the awkward dot inside the han-area