Introduction english.docx
2
Introduction Currency instability is one of the main contributors to depress global economic crisis. It can be seen starting at the time of global economic recession in 1933 (The Great Depression), the Mexican peso crisis in 1995, the depreciation of the currency crisis in Asian countries in 1997-1998, the Russian ruble crisis in 1998 until the latest global economic crisis in 2008. This economic crisis occurred because of the instability of the fiat currency system adopted in the world economy. Therefore, the emergence of a string of proposals to reuse the gold dinar as currency in the world monetary system (Yaacob, 2012). The first Islamic gold dinar was introduced at the time of Imam Malik bin Marwan in 660 and used until the fall of the Ottoman Turkish government in 1924 (Salmy Edawati Yaacob, 2011). According to (Endre Stiansen, 1999) gold dinar is the currency that comes from Rome and silver dirham currency derived from Persian. This currency consisted of gold and silver coins that were issued and used in the territory of the Byzantine Empire and Sasanian Empire. The widespread use of gold dinar up to Arab land and use at the time of the Prophet Muhammad , age Caliphs Rashidin and times thereafter until the Ottoman era . Dinar name taken from the name of the Roman gold currency ‘denarius’, the Arabs called it 'dinar'. Islamic gold dinar is a round gold coin weighs 4.25 grams using 917 and 24 karat gold. Type and weight is referred to as the scales of legislation that have been agreed
-
Upload
fierdzz-xieera -
Category
Documents
-
view
214 -
download
2
Transcript of Introduction english.docx
IntroductionCurrency instability is one of the main contributors to depress global economic crisis. It can be seen starting at the time of global economic recession in 1933 (The Great Depression), the Mexican peso crisis in 1995, the depreciation of the currency crisis in Asian countries in 1997-1998, the Russian ruble crisis in 1998 until the latest global economic crisis in 2008. This economic crisis occurred because of the instability of the fiat currency system adopted in the world economy. Therefore, the emergence of a string of proposals to reuse the gold dinar as currency in the world monetary system (Yaacob, 2012).The first Islamic gold dinar was introduced at the time of Imam Malik bin Marwan in 660 and used until the fall of the Ottoman Turkish government in 1924 (Salmy Edawati Yaacob, 2011). According to (Endre Stiansen, 1999) gold dinar is the currency that comes from Rome and silver dirham currency derived from Persian. This currency consisted of gold and silver coins that were issued and used in the territory of the Byzantine Empire and Sasanian Empire. The widespread use of gold dinar up to Arab land and use at the time of the Prophet Muhammad , age Caliphs Rashidin and times thereafter until the Ottoman era . Dinar name taken from the name of the Roman gold currency denarius, the Arabs called it 'dinar'. Islamic gold dinar is a round gold coin weighs 4.25 grams using 917 and 24 karat gold. Type and weight is referred to as the scales of legislation that have been agreed by the jurists at the time. Therefore, the gold dinar as currency linked Muslims to this day. However, the use of gold dinar was ended in 1924 after the collapse of the Ottoman (Yaacob, 2012). The first modern gold dinar was minted and launched on 7 November 2001 by the Islamic Mint affiliated with Thomas Cook Rostamani Exchange Company and Dubai Islamic Bank in the United Arab Emirates (UAE). There are five gold dinar factories there in the world which are in Dubai, Spain, South Africa, UAE and Indonesia (Salmy Edawati Yaacob M. A.-A., 2011). Therefore, it cannot be denied that the use of gold dinar has begun to receive attention in the present. In addition, this study will inform the application of the gold dinar as an instrument in the Islamic financial system, the advantages of using the gold dinar and the challenges faced in implementing instrument gold dinar in the modern economic system.
