MUSCAT, 12 January 2004 — In my previous columns (not published in this newspaper) I have already written how euro is pushing dollar into early retirement and how it would become the world’s future currency. In the two articles I talked about the euro’s amazing march to strength since its launch in the year 2000 and how it has been able to impose itself on world currency markets. The success of the euro then became the hot topic of discussion all over the world.
The euro made its global debut with stable and confident strides and rallied itself to enviable position, day-by-day, month-by-month. Little wonder that today the euro is the undisputed king of world currencies and the most circulated one in the world. It is present in all the European Union countries whose number is set to touch 25 this April. So whoever goes to these countries or deals with them is dealing in the euro. Meanwhile, the dollar remains confined to the US and a few other countries. The same is the case with the Japanese yen. The euro’s past was prosperous, its present bright and future full of hopes, thanks to Europe’s strong and well-established economy. The European industry has proved itself and become choice number one all over the world, lending the euro strength, status and momentum. Comparison between the euro and other competing currencies would show the euro’s competitive edge and its advantages. It is gaining strength every day in the world currency market, whereas the dollar is beating a retreat.
This is a reflection of the collapsing American economy, which is hit hard by many big bankrupt companies and scandals. By contrast, the European economy is a picture of confidence, growing from strength to strength. Many countries on various continents have already dumped the dollar and linked their currencies with the euro, because they have realized that the euro is the king of currencies, for now and for the future — a fact that has been confirmed by world economic experts. Various measures taken by these countries have boosted the euro and forced the dollar to take a back seat. Furthermore, many businessmen and investors have converted their money from the dollar to the euro, for the simple reason that they want to avoid losses they may suffer owing to the nose-diving dollar. Outstanding achievements of the king of currencies is now forcing the countries that have not joined the euro bandwagon to review their stand and take the right step at the right time.
Such a move would provide many gains, especially to oil-exporting countries. Suppose the price of oil climbs to $30 a barrel. In reality, this price gain offers nothing much to the oil producers, because if the same amount were calculated by the euro or other currencies, such as the Japanese yen or Swiss franc, it would come down to $24.
The euro, without doubt, is the king of world currencies. Doubting Thomases may trace its track. It is on the rise every day, and it has all factors for further strength and stability, even as the dollar is collapsing.
