SILVER COINS

Evening Post, Volume CXV, Issue 132, 7 June 1933, Page 9

SILVER COINS

SHIPMENT TO NEW ZEALAND

AUSTRALIAN SUPPLY

(From "The Post's" Representative.) SYDNEY, June 1. Considerable interest was aroused in the proposal that Australia should send a shipment of silver coins/to New Zealand, for it was feared in some quarters that this would seriously deplete the coin in circulation in the Commonwealth. However, there are no grounds for fears in that connection as Australia has all the coin it needs. The amount of silver coins on issue to the public at present is: Florins, £3,904,000; shillings, ' £1,837,300; sixpences, £861,500; threepences, £823,300.^ In addition tho value of copper coinage in circulation comprises £333,163 worth? of pennies, and £117,985 worth oi halfpennies. The total coinage in circulation is thus £7,877,648. This is ample for pTesent requirements, and the only period at *which there is an increase is Christmas. Even then the increase is largely confined to copper coins.. The (Join to be shipjped by the Commonwealth Bank through the' Treasury will be worth £50,000, and will hardly be missed by Australia. New Zealand jhas always used English coins only ; and it is of interest to note that tho Australian •shilling contains 92J per cent, of silver, and the English only 50 per cent,, but each coin is merely a token, and cannot be regarded as "real money." The silver value of the Australian shilling is about 2}d, and that of the English shilling even less, yet the purchasing power of the English shilling is about Is 3d by comparison with the Australian shilling. When the rate of exchange was at par in New Zealand and Great Britain, and varied from 25 to 30 per cent, in Australia, enterprising Australians got together all the English coinage they could find and disposed of it in New Zealand at a premium. English coinage, which was the ordinary currency in New Zealand, was brought back to Australia and a further prd*fit of 25 per cent, or- more was made upon it. " It is not considered in Australia that tho ban placed on the export of silver coins by •New Zealand has been very effective, and it is not surprising to authorities here that New Zealand should have run short of coins. The arrangements by New Zealand for a special coinage similar to Australia's should overcome tho present difficulties.