Today, there are approximately 190 different currencies being used in the world. A global currency would bring stability to a very volatile section of the economic market. This article discusses the importance of the formation of a single currency and examines the feasibility of single global currency option.

The World has become a global village where business and trade know no boundaries. The economies of countries are linked to one another through trade, investment and production. But the trade and investment are dented by the cost of foreign exchange transactions and risk associated in dealing with currency market fluctuations. Today, there are approximately 190 different currencies being used in the world. The values of these currencies are measured with respect to other currencies. It always carries a risk of currency fluctuations and the currency crises. These crises had shocked the economies of many countries like Mexico, Argentina, Russia and Thailand in the past. Hence, the need for a single global currency which may be defined as a common currency, managed by a Global Central Bank within a Global Monetary Union. This common currency can be used by people within member countries as legal tender and for international transactions as suggested by Bonpasse Morrison in his paper "The Single Global Currency-consumer cuts for Business".

Global financial instability is a root-cause of financial crises and geopolitical tension. The people of the world want their money to be stable and convenient internationally. The national currencies and global markets simply do not gel with one another. They give rise to currency crises and create ready pretexts for damaging protectionism. The world should be open to an idea of consolidating the currencies by abandoning unwanted currencies in order to globalize safely.

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