THE COINAGE

Evening Post, Volume CXVI, Issue 113, 9 November 1933, Page 12

THE COINAGE

NEW ZEALAND'S OWN

HOUSE PASSES BILL

PROFIT OF £200,000

The minimum profit to New Zealand as a result of the issue of its own coinago will be £200,000, according to the revised 'figures placed before the House of Representatives last night by the Minister of Finance (the Et. Hon. J; G. Coates).

It was explained by the Minister that the freight charges wore about half what ho had previously . mentioned, with the result that tho profit the Dominion would derive was much greater than the £180,000 he had indicated the previous evening. Actually the profit might be in excess of £200,000, because that figure reprerepresented the minimum on a total estimated coinage of a face value of £2,000,000. The statement of the Minister was made during the Committee stages of the Coinage Bill, which was welcomed by Mr. A. J. Stallworthy (Independent, Eden) as emphasising the national character of New Zealand's currency. It was satisfactory to note, he said, that the coins were issued under the authority-of the King and Parliament, (rhieh was some acknowledgement of the rights of Parliament. it was a pity tho Minister had not gone to the uttermost lengths and decided to have the coins actually minted in New Zealand: The process was not difficult and it would provide employment for Dominion artisans. In addition the profit to New Zealand would be represented by £1,000,000, according to reliable estimates. A PAPER CURRENCY. In the opinion of the Leader of the Opposition (Mr. M. J. Savage) the day had arrived for the abandonment of a currency that contained a commodity value. The tail end of it, so to speak, should be placed on the samo basis as the big issues of trade and commerce were brought • into relationship with each other. The great exchange of industry and commerce was conducted through book entries, but when it came to paying the relief workers 22s Gd a week it was a case of • loading them up with half-crowns. The relief worker would fare just as well if ho were paid in paper representing £5 than in half-crowns representing £1 2s 6d. He could not understand the need for a metallic form of currency. The Minister said it was evident Mr. Savage had had no experience of the countries where, paper was used for' small change. The silver coin was much more convenient. Mr. A. S. Bichards (Labour, Boskill): It makes more noise. Mr. J. O'Brien (Labour, Westland): It has a fluctuating value. Mr. Coates: We.will admit that. He indicated that the Dominion , would reap a rich reward under the arrangement made with the Eoyal Mint and outlined tho figures given above. In reply to a suggestion by Mr. E. T. Tirikateno (Independent,. Southern Maori) that the tatooed Maori figures or characters should be used in the designs for the coins, the Minister said that, while he believed there should be indigenous designs, it was not desirable to have all Maori characters. They should be designs.that represented New Zealand and1 lie hoped to have ono Maori design. Mr. Tiriltateue: That is all I ask. The Minister: We have that well in mind. In answer to the representations that the coins should be minted in New Zealand, Mr. Coates said that one factor was the difficulty of mixing the alloys. Mr. O'Brien: They are not metallurgists if they cannot get the alloys right. ' '•■'.•' The Minister said he had had advice from the Deputy Master of the Australian Mint that the first coinage should be entrusted to the Boyal Mint, where the facilities for design and execution were unequalled. RETIREMENT OF COINS. Mr. C.« A. Wilkinson (Independent, Egmont) said he could not understand, with respect to the retirement of British silver coins, why Great Britain did not afford the same facilities to New Zealand as it, had to other colonial possessions. Captain H. M. Bushworth (Country Party, Bay of Islands) asked whether Australian silver, which the Bill did not coyer, would still remain legal tender in New Zealand. The Minister: It will not be possible to allow the'present coinage to remain hero forever. Mr. Stallworthy emphasised that as the Bill stood, if the Government allowed Australian coinage to remain in circulation in New Zealand, it would be conniving at an offence. He urged that the point be cleared up. The Minister said that Australian coinage would retain its exchange value and he did not anticipate any trouble. When it was all collected, it would no longer be legal tender and would then have only its exchange value.

The remaining clauses were passed without discussion and the Bill was given its third reading and passed without further comment.