Shortage

1/- Notes

How Fiji Solved Coin Shortage

FJI, in recent months, has suffered great inconvenience owing to a shortage of silver currency.

At the end of 1940, Fiji’s currency in circulation amounted to £78,435 in coins (silver 2/, 1/- and 6d., and nickel pen nies and half-pennies), and £637.213 in Fiji notes (including notes for £l, 10/and 5/-). This appeared to be ample.

But the establishment of troops in Fiji apparently created a demand for more coins. There was a serious short age early in the year, and the Fiji Gov ernment put in what additional currency it had; but a crisis developed again in May.

Then the banks rationed silver coins, and would allow customers to draw only £2 worth at a time. Nickel pennies ran short, also, and many traders began to use postage stamps in lieu of small change.

In June, the Government, having no alternative, got busy with the printing press: and notes of 1/- and 2/- deno mination were issued through the trad ing banks, along with the old 5/- note.

They are printed on ledger paper, and are legal tender for sums up to £2.

Complaints from Lautoka, in July, indicated that although the Currency Commissioners had issued 90,000 of the new 1/- notes, none of them had reached the sugar districts, and the shortage of silver currency there had reached an acute stage. A premium of 3/-. in the £ was being offered for pennies; silver was also at a premium; and no notes of 5 and 10/- were available.