Xeng Central News
Is the Euro Dead?
The name sake of this article is the exact same question which has been floating around within the European Economic Commission as well as the Council of Europe and even here at home in Xeng amongst the Federal Diet and the Central Standing Committee and the Federal Reserve Bank. Xeng as far back as 30 years ever since the One Xeng Party took charge of the rings of power has had the Huibi pegged to the Euro as a means of valuation; ever since the disaster of the floating Huibi which was one of te leading factors leading to the economic crash of the Second Republic.
The Issue has raised the question on how the Huibi should be valued in the future. This issue has raised some contention between Secretary of FinanceAnjei Zhou and Governor of the Federal Reserve BankTaoyen Gwong. Finance Secretary Anjei Zhou said she would rather see the Xeng currency be re-instated to floating currency due to the fact that the county’s economy is now in a far stronger position than it was under the previous democratic reigime and should not be determined by the fluctuations of one currency alone.
Federal Reserve Bank Governor Taoyeng Gwong however wants the Huibi to be more stable and controlled by pegging the currency to non-eurozone based economies, which will b stabilised on the basis on the fluctuation of 4 or so currencies based on other nations fluctuations which he says will stabilise and even outfurther trade and financial imbalances and be less dependant on reserve transactions and open market operations of Xeng’s monetary authority.
Chairman Dai Yeong Tzeng and General Secretary Jeng Yi-Zhing have said that they will host a meeting between the two government heads next week to determine the best strategy to stabilise the currency post Euro. Trade Secretary Lei Feng has however said that we shouldn’t jump the gun as it were. She says that the Euro is unlikely to fade away completely, but will weaken if more Eurozone members keep leaving and adopting their own national currency.
She is said to be working with Madame Miyan Shen Li, Xeng’s representative within the European Council to bring up the matter within the European Economic Commissioner Suzan Beech or whoever it might be within the next fews weeks to set up a meeting with non-eurozone members of the EUto scope out any potential future exchange reate mechanisms.