The Nilar: A Pan-African Gold Currency
African countries emerged as “independent” nation-states in a context of a debt-based fiat money system, the fiat dollar standard. Independent is in quotation marks because Africa’s countries’ independence is nominal. That is said with due respect and gratitude to all brave men and women who fought, bled, and died to end (direct) colonialism. Still, Africa remains under indirect colonization. One of the most crippling, and certainly the most shackling, forms of subjugation Africa is under is monetary colonialism.
In “Africa’s Way Out of Monetary Colonialism,” the author explains why and how fiat money damages African economies and lives and points out that a common African gold currency, a long-held vision that many Africans still hold, is a way to effectively achieve monetary and thus economic independence. That being so, this article presents the nilar, a pan-African gold currency.
Why the Name Nilar?
Nothing is more symbolically and historically pan-African than the Nile River. The Nile is Africa’s and the world’s longest river. Its drainage basin includes a whopping eleven countries: the Democratic Republic of the Congo, Tanzania, Uganda, Rwanda, Burundi, Kenya, Ethiopia, Eritrea, South Sudan, Sudan, and lastly, Egypt, where the Nile crosses to reach the Mediterranean Sea.
The Nile is also the world’s most historical and culturally significant river. The Nile valley is home to some of the earliest and most remarkable civilizations. In short, the Nile River is the most iconic, mythical, and emblematic river in human history. A river that, for thousands of years, symbolizes life, development, and prosperity. Similarly, if implemented, the nilar would create a new life of stability and development for an economically unified Africa.
How to Implement the Nilar
The Central African Republic has established bitcoin as a legal tender, and Zimbabwe, an unstable and inflationary economy, has finally made the sound decision to introduce gold coins to solve the persistent problem of rampant inflation. These are little but nonetheless significant steps forward in the right direction. Moreover, they could be signs that Africa may have had enough of fiat money colonialism and the hardships it creates.
Also, a multipolar world is inevitable and may be approaching. Africa should not remain underdeveloped and dominated in that world. The nilar is the key. For this to happen, however, a shift in economic thinking is necessary. Here is why: Postcolonial African societies have lived under oppressive and un-African economic concepts (e.g., fiat money, central bank, socialist and other statist economic systems) which, evidently, failed to deliver economic prosperity and social harmony. So, the ongoing crises is opportunity for rebirth. African societies should restart afresh based on Africa’s economic heritage.
Ruinous (and foreign) statist models must be abandoned if African societies are to be fre
Article from Mises Wire