Gold dinar can boost our reserves

NST Feb 22.2009
Gold dinar can boost our reserves

Kuala Lumpur:
Malaysia can increase the value of its national reserves if bank Negara converts its international reserves to the gold dinar from foreign currency.

Malaysia can obtain as much as RM162.6 billion this year if the reserves were in the form of gold dinars following the rise in the rise of gold.

If we follow the current value, one gold dinar is worth RM518 with the lowest value being one dirham (RM5), said Datuk Husam Musa of Kelantan executive councilor at the gold dinar seminar 2009 in University Malaysia yesterday.

The price of one gold dinar this year increased 11.07 percent to RM512.20 compared with RM461.15 last year.

The present global economy was too dependant on the current system and reports show bank negara’s international reservers kept in the form of gold, constituted only 0.4 per cent compared with US dollars last year.

The gold dinar could be an alternative means of settling the economic crisis because of its stable nature.”
UM vice-chancellor Prof Datuk Dr Ghauth Jasmon said the use of the gold dinar needs to be exposed to university students early so that people would be aware that it was an alternative to currency.