During the morning meeting, the Ministry of Foreign Affairs and the Ministry of Foreign Trade gave the agenda for the day, on the issue of the unified currency to be used after the formation of the World Financial and Trade Organization.

The whole morning will be spent solving this problem, and this problem is also a problem that everyone is concerned about.

If the empire had to set aside a certain amount of gold from each member state as a risk reserve for issuing a joint currency, some small countries might have to face some big trouble.

The fluctuations in the currency exchange rate of small countries in the foreign exchange market are very common, and it can be said that this is a very normal phenomenon, and there are two reasons for this.

First, if the country's currency is issued based on the country's credit, any economic decision, or even a change in a stock, may drive the currency's performance in the foreign exchange market.

The country is small, the system is not perfect, the economic structure is single, once the dominant position in the economic field of the enterprise has some operational problems, it may be just a business failure, such as the failure to complete the expected profit plan, it can drive the entire country's economy to have huge fluctuations, and then affect the performance of the currency in the foreign exchange market.

And the credit monetary system often appears in the big countries, small countries are difficult to see, if you have to ask why, it can only be said that small countries in the national credit, as well as international issues have been interfered too much, do not have the ability to resist risks, so it is not too appropriate for smaller countries to adopt the credit system.

Even the slightest diplomatic dynamic in a neighboring country may cause the people and the capital markets of the world to reassess the beliefs of this small country, and even some diplomatic problems that are not directed at this small country may cause a chain reaction.

The constantly fluctuating exchange rate is definitely not a good thing for a country's financial economy, and disputes and problems are prone to arise in international settlements, so small countries are often more inclined to issue currencies based on precious metals, such as gold as a risk reserve, according to a certain proportion.

In the second case, the issuance of currency is based on precious metal reserves, and the exchange rate of the currency is determined indirectly by specifying how much currency can be exchanged for an ounce of precious metal with strict and accurate figures, which seems to be an easy thing to do.

Money itself has no value, it is just a special commodity, used in circulation on a small scale, but when it is related to gold, it becomes different.

Precious metals such as gold are hard currencies all over the world, so nailing the price of gold to exchange rate comparison can reduce the sharp fluctuations caused by financial problems.

However, this is not necessarily the case, for example, a large country suddenly starts selling gold for some reason, which will cause the price of gold to fall rapidly.

Another example is the discovery of a huge gold mine in a certain place, even if the mine is abroad, the world gold price has plummeted, and even the small countries with a very good development momentum have suffered serious losses in foreign trade due to the collapse of the gold price.

However, the situation is obviously much better than the first one, and it is not every day that the world discovers gold mines that are huge enough to affect the world.

Even if it is discovered, it may not be mined, and the effect of buried gold in the ground will not be immediately reflected in the financial market until it is turned into a golden brick and sent to the bank.

But if this time the Shining Star Empire needs everyone to take out a part of the gold reserves in proportion, it will really suffer for these small countries.

A good thing has turned out to be a bad thing, and a reduction in gold reserves means a decrease in the potential value of the currency, which in turn affects export trade.

This is like having 100 grams of gold at home and issuing 100 yuan as a risk reserve, and now someone has taken 50 grams of gold, which also means that only half of the gold used to resist risk is left, so the actual value of the 100 yuan that has been issued is only half.

One dollar can only be equal to 50 cents in the past, and there is no doubt that this is definitely a huge shock to the economy of the whole country, and the money in people's pockets is suddenly worthless, and there may be civil strife or even civil war in some places.

Most of the morning session was devoted to discussing whether there was a need for a joint currency and how it would change to member countries.

Don't look at the fact that these participants are either national leaders and rulers, or high-level representatives of the state, when it comes to such a critical moment, they all ruthlessly disagree with their own opinions according to other people's heads.

In fact, there are not no countries in favor of issuing a joint currency among these countries, and of course these people have their own intentions.

The princes of the Colt Empire approved the issuance of a joint currency in order to solve the problems of the domestic financial structure.

They were in a period of transition between feudal and modern society, and the Great Pharaoh wanted to ensure that his power was not threatened, and push the Colt Empire to quickly complete the institutional transformation and keep up with the pace of the international power, the Shining Star Empire.

But this is certainly not something that can be said in a sentence or two, in the Colt Empire, people in many regions still use gold coins as an important currency for circulation, and they are not interested in the paper money issued by the royal family.

This led to the failure of paper money from the beginning of its issuance, which was very bad, and it was inconvenient for the royal family to control the domestic financial order, so that in a rather feudal country, the status of merchants was about to catch up with the aristocracy, which was simply an international joke.

If the establishment and issuance of a joint currency can be promoted, according to the IFTO and international settlement, the merchants in the Colt empire must use the joint currency for international trade settlement.

Then the question arises, how to obtain the joint currency?

Of course, you have to use paper money to obtain, so how to get paper money, it's very simple, exchange gold coins!

This can quickly gather a large amount of gold from the people, and at the same time, the power to issue currency controlled by the royal family can bring more voice to the royal family in the financial field, which is of great help to the Colt royal family to consolidate its power position.

Most of the other countries that support the issuance of a joint currency have their own ideas and consider them from the standpoint of their own interests.

As for those who do not advocate the issuance of joint currencies, they are basically small countries that do not have the ability to resist the risks of international financial trade, and some people even think that the issuance of joint currencies is very likely to be a conspiracy of the empire.

Once their domestic gold reserves are insufficient, the national currency is likely to be gradually eliminated by the United Currency, which will eventually become not only the international settlement currency, but also the main currency in circulation in their country.

In case the Shining Star Empire planned something even more terrifying, it could have done so to directly destroy their financial order, destroy their economic construction, and plunder the wealth of their country.

After arguing all morning, no result came out, and finally, when it was about to take a lunch break, the Minister of Foreign Affairs of the Reich made a proposal.

"In view of the fact that everyone's opinions cannot be completely unified at present, we can propose another relatively mild way, using the Imperial Star Dollar as the international settlement currency, which can be discussed during the lunch break, and we will continue to discuss this issue in the afternoon......"