A Brief History of Gold

The rate of gold in Pakistan for today is as follows: 57,700 per 10 grams, and Rs 67,300 per Tola.

Dating back as far as 600 BC, gold has been used as money and to preserve wealth. Today, mints produce gold bars and bullion coins for dealers to sell to buyers. The first coins with gold were struck in Asia Minor.

However, gold was used during the period of Grecian history before and during the time of Homer’s life. During the thirteenth and fourteenth centuries, European nations starting minting gold coins rather than their earlier preference of using silver for coinage.

The gold standard for money was used throughout the years of industrial economies in the nineteenth century. Gold certificates and bills were added to this circulating stock of money based on the value of gold. After World War II, the gold standard was replaced by convertible currencies with fixed exchange rates based on the Bretton Woods system.

Starting in 1971, the USA refused to redeem its dollars in gold because excessive government debt and money printing had caused the gold price per ounce in the free market to rise way above the fixed redemption price of gold. Since the dollar was backed by gold up to that point and had gained the status as the most important reserve currency, most other countries around the world had already abandoned their own gold standards and instead pegged their currencies to the dollar.

The financial turmoil and debt problems in recent years have reinvigorated the debate about returning to a gold standard, particularly as gold prices have risen sharply