Former Federal Reserve Chair Paul Volcker agrees. Billionaire currency speculator George Soros predicts catastrophe. It is only a question of when. Currency fluctuations now constitute the largest single risk of doing business in a foreign country. Businesses are responding by diverting a considerable amount of their time and resources to playing and monitoring foreign exchange markets.
Governments are increasingly powerless to prevent a run on their currencies.
In the last few months, currency speculation staggered the economies of Malaysia, Thailand, the Philippines and Indonesia. It should be stopped. His comments set off shock waves around the world. International bankers like Alan Greenspan chided Mohamad for trying to reverse the tide of history. But many experts, while concerned that Mohamad's style was unduly abrasive, embraced his central message.