The implementation of Gulf Dinar among the GCC member countries and its possible impacts
AbstractThe paper analyses the issues surrounding the planned implementation of the Gulf Dinar among the six members of the Gulf Cooperation Council (GCC) – the United Arab Emirates, the State of Bahrain, the Kingdom of Saudi Arabia, the Sultanate of Oman, the State of Qatar and the state of Kuwait. The paper will begin with laying down the foundation of attempting to draw any similarities and differences in terms of each country’s economic fundamentals. It will then assess the grand idea for a monetary union by looking at the pros and cons, intra-regional trade, labour and capital movement and the political will of all six GCC countries. Updated issues that may have hampered the introduction of the Gulf Dinar will then be analysed by looking at the economic convergence criteria and its implications. Comparison with the European Monetary Union will be made throughout the paper, where necessary. The paper ends will then come out with a number of suggestions that may improve the implementation of the Gulf Dinar. Lastly, the paper will discuss the political implications of the implementation of the Gulf Dinar as the sole currency for the Gulf countries.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 28245.
Date of creation: 19 Jan 2011
Date of revision:
Gulf Dinar; GCC; Khaleej Dinar; Monetary Union; European Union;
Find related papers by JEL classification:
- F0 - International Economics - - General
- F2 - International Economics - - International Factor Movements and International Business
- F1 - International Economics - - Trade
- E6 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook
- E4 - Macroeconomics and Monetary Economics - - Money and Interest Rates
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-01-30 (All new papers)
- NEP-ARA-2011-01-30 (MENA - Middle East & North Africa)
- NEP-MON-2011-01-30 (Monetary Economics)
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