Zimbabwe Seeks Gold Standard, Says U.S. Dollar’s Days are Numbered
Zimbabwe’s central bank chief, Dr. Gideon Gono, urged that the nation return to a gold standard and said that the U.S. dollar’s days as the world’s reserve currency are numbered.
Dr. Gono’s comments came in an interview with state media, according to New Zimbabwe.
Other noteworthy items from Zimbabwe’s head central banker included:
“There is a need for us to begin thinking seriously and urgently about introducing a Gold-backed Zimbabwe currency which will not only stable but internationally acceptable.”
“We need to re-think our gold-mining strategy, our gold-liberalisation and marketing strategies as a country. The world needs to and will most certainly move to a gold standard and Zimbabwe must lead the way.”
“Gono said the inflationary effects of United States’ deficit financing of its budget was likely to impact other countries to leading to a resistance of the green back as a base currency,” according to New Zimbabwe.
“The events of the 2008 Global Financial Crisis demand a new approach to self reliance and a stable mineral-backed currency and to me, Gold has proven over the years that it is a stable and most desired precious metal.”
“Zimbabwe is sitting on trillions worth of gold-reserves and it is time we start thinking outside the box, for our survival and prosperity.”
The fact that these comments are coming from a country that recently suffered from hyperinflation and had introduced a Z$100 trillion bill indicate the extent to which nations around the world are losing faith in fiat currencies. Furthermore, it illustrates the severely damaging consequences of the economic policies of the United States, particularly on nations that do not have the luxury of a printing press, as the U.S. does courtesy of the Federal Reserve.