Golden Sovereign Still Main International Coin

Press, Volume XCII, Issue 27794, 20 October 1955, Page 13

Golden Sovereign Still Main International Coin

(Rec. 10 p_m.) LONDON, Oct. 19. Britain’s golden sovereign is still the world’s greatest international coin, even though nobody but the very middle-aged has ever handled one as currency in Britain, says a correspondent in the “Financial Times.”

No sovereigns have been struck at the Royal Mint for general circulation since 1917, although they were struck in Australia until 1931 and in South Africa until 1932. It can be said that its circulation stretches from Hong Kong to Paraguay. but it is in the Near East, along the Red Sea, and particularly in Saudi Arabia, that use of the sovereign is most extensive, the correspondent says. In those areas, traders have known and trusted it for generations. Greece is another country where English gold is common. • During the war considerable quantities ■ of sovereigns were dropped by aircraft to help the guerrillas. Many of these remain there, and it is comparatively common in Greece for agreements to be made under which' rent or other liabilities are to be settled in sovereigns. During the Korean war. American and British airmen carried sovereigns sewn in their clothing as a financial protection in the event of their landing behind enemy lines, he says. There can be no doubt that this English com is acceptable almost anywhere in the world. The number of sovereigns in existence must run into many millions, but it is almost impossible to give even an approximate estimate. Since 1817, when the sovereign was first struck, the total issue of gold coin, including half - sovereigns, from the mint amounted to £1,097.000.000 worth. About £85,000,000 worth have been withdrawn as light, ana £57,000,000 worth of pre-Vietorian gold was demonetised in 1891. It is improbable that much of this still exists. . . But where is the remaining £955.000.000 worth? the correspondent asks The last published figure for gold coin held by T’v'ted Kingdom banks was £50.878.000 worth. Assuming a similar amount is . held in national reserves, there remains nearly £900,000,000 worth unaccounted xor.

Responsible estimates of the quantity of sovereigns still circulating range from £100,000.000 to £300,000,000 worth.