SILVER SHORTAGE.

Auckland Star, Volume LXIV, Issue 99, 29 April 1933, Page 11

SILVER SHORTAGE.

BANKS CONCERNED.

HALF-CROWNS AT PREMIUM.

REQUESTS TO CUSTOMERS.

(By Telegraph.—Special to "Star.")

WELLINGTON, this day.

The Dominion is running into a serious shortage of silver coinage, and banks are becoming concerned over the difficulty of providing for customers' legitimate needs. Unless the position is promptly relieved by the Government, which is responsible for coinage supply, retail traders are likely to become handicapped in the near future.

Wellington banks have commenced to ask customers :,f they can do with less silver than demanded. One bank has issued general instructions for all branches not to pay out any half-crowns, as these coins have been a favourite medium for illegal export, so as to secure the 25 per cent advantage on English exchange.

A certain amount of Australian coinage is circulating, but the Government is disinclined to take supplies from this source, while further purchases of English silver coins involve 25 per cent loss on exchange.

It is a singular fact that sixpenny and threepenny pieces are still plentiful, but a high banking authority is responsible for the statement that banks are running short of silver coinage and that as a consequence the Dominion is drifting into a difficult position.