During the 19th century, many nations adopted
the gold standard, where each unit of currency
represented a set weight of gold. This allowed
banknotes to be exchanged for gold and
ensured fixed exchange rates between
countries based on the gold content of their
currencies. Countries adopted the gold
standard deliberately, valuing gold for its
stability and to support easier trade with other
gold-standard nations. While most economies
followed this system, some, like China and
India, used a silver standard instead. However,
their currencies weakened significantly over
time as silver lost value compared to gold.

Dr. Mufti Abdur-Rahman Mangera: