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New Currency, Embassy Raid & more!

Good Afternoon - A recent report by Moody's found that the average American household would need to spend an extra $445 each month to buy the same things they did a year ago.

Global Insights

New currency backed by gold

In response to ongoing economic instability, Zimbabwe has launched a new currency called Zimbabwe Gold (ZiG) as part of efforts to address pressing financial issues. Despite the introduction of a local currency in 2019, most transactions in the country are still conducted in foreign currencies. This reliance has led to significant inflation, reminiscent of the hyperinflation experienced under former leader Robert Mugabe.

Governor John Mushayavanhu announced the introduction of ZiG, backed by gold and foreign reserves, in an attempt to stabilize the economy. ZiG will circulate alongside existing currencies, with banks mandated to convert old balances to ZiG. New banknotes, ranging from one to 200 ZiG, have been introduced to alleviate the shortage of physical currency.

While the announcement of ZiG offers hope for economic stability, critics have raised concerns regarding its long-term sustainability. Past experiences of currency mismanagement have left many skeptical about the effectiveness of monetary reforms. Despite reassurances from President Mnangagwa and inspections of reserves, questions remain about the adequacy of reserves to support ZiG and shield it from global market volatility. However, time will tell, currencys backed by gold historically have performed well.

The success of ZiG depends on the government's ability to implement sound economic policies and rebuild trust in the financial system. Zimbabwe must also address other economic challenges such as drought and global uncertainty while fostering confidence in its new currency. While ZiG represents a significant step towards addressing economic woes, its long-term success remains uncertain, underscoring the need for prudent fiscal management and sustained efforts to restore economic stability.

Mexican embassy raided

Ecuadorian authorities arrested former Vice President Jorge Glas at the Mexican Embassy in Quito, where he sought political asylum. The move occurred amid heightened political persecution against Glas, prompting Mexico to grant him asylum earlier that day. This action has sparked controversy for violating Mexican sovereignty and international law.

Following the incident, Mexican President Andrés Manuel López Obrador announced the suspension of diplomatic relations with Ecuador, labeling the arrest as authoritarian and a breach of international norms. Roberto Canseco, head of the Mexican consular section in Quito, expressed concern over the raid and the safety of Glas. But what else would you expect from a leader who just had his embassy raided?

Glas, a key figure in Rafael Correa's administration, has faced corruption charges, which he maintains are politically motivated. His presence at the embassy has escalated tensions between Ecuador and Mexico, leading to the recent events.

In response, progressive groups in Ecuador have denounced the Ecuadorian government's actions, labeling them as fascist and an affront to international law. Former President Correa has criticized the violation of diplomatic norms and expressed support for Mexico.

Mexico has vowed to pursue legal action against Ecuador, signaling a united front in defense of its sovereignty. The incident underscores the delicate balance between diplomatic relations and domestic politics, highlighting the need for adherence to international norms and respect for asylum seekers' rights.

Trending

Real estate tycoon sentenced to death

A Vietnamese court has handed down a death sentence to a property tycoon for her alleged role in a $12.5 billion financial fraud case, which is reportedly the largest in the country's history.

Truong My Lan, the chair of major developer Van Thinh Phat, was found guilty of embezzlement, bribery, and violations of banking rules after a trial in Ho Chi Minh City, according to state media. Her legal team now has 15 days to appeal the verdict.

Ukraine passes new military bill

Ukraine has passed a bill to overhaul its military draft system.

The new measures aim to increase troop numbers by requiring eligible men to update their draft details with authorities, boosting compensation for volunteers, and allowing individuals with certain convictions to serve. The bill doesn't specify an upper limit for military service during wartime. Lawmakers had to remove some of the harshest penalties for draft evasion due to public backlash.

Family members of deployed soldiers staged protests near the parliament in Kyiv on Thursday.

El Salvador

El Salvador's President Nayib Bukele recently announced a plan to boost the country's economy by offering 5,000 "free passports" to highly skilled international workers.

According to a statement on the social media platform X, professionals like scientists, engineers, doctors, artists, and philosophers will be granted "full citizen status," including voting rights.

To make relocation easier, El Salvador will waive taxes and tariffs on "moving families and assets," such as equipment, software, and intellectual property.

History & Culture - Socrates

Socrates, born around 470 BCE in Athens, Greece, and passing away in 399 BCE in the same city, was an ancient Greek philosopher whose life, character, and ideas profoundly influenced Classical antiquity and Western philosophy.

In his native Athens, Socrates was both widely recognized and controversial, often ridiculed in the plays of comic dramatists such as Aristophanes' "The Clouds" (produced in 423 BCE). Though Socrates left no written works of his own, he is depicted engaging in philosophical dialogues in compositions by his admirers, notably Plato and Xenophon. These portrayals depict him as a man of profound insight, integrity, self-mastery, and persuasive argumentation.

Socrates' life gained even greater significance due to its tragic end. At the age of 70, he was tried for impiety and sentenced to death by poisoning, likely by hemlock, by a jury of his fellow citizens. Plato's "Apology of Socrates" presents Socrates' defense speech at his trial, advocating for the examined life and critiquing Athenian democracy, becoming a seminal text in Western thought.

Following Socrates' death, his followers preserved his memory through writings that depicted him engaged in philosophical conversations, known as "Socratic discourses." While many of these writings are lost, Plato and Xenophon's accounts remain, though scholars debate their historical accuracy. These dialogues provide insight into Socrates' questioning method, his responses, and his philosophical outlook.

Fast Facts

• It’s a myth that you only use 10 percent of your brain. You use all of it.

• In the last 20 years, the number of people living in extreme poverty worldwide has almost been cut in half.

• In Ancient Asia, death by Elephants was a popular form of execution

The gulf between competence and incompetence amplifies the more competence is needed.

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