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be received without limit in payment of taxes up to a certain date. The result was most satisfactory. In a short time Turkish copper disappeared. But the action taken by the Government was not a day too soon. By the imprudent action of the Treasury at Constantinople, copper piastres which, on the withdrawal of caïmé in March 1879, had risen at Constantinople to 134 to the T.£, rapidly fell, until they reached 600, and in the month of August large quantities were smuggled into Cyprus, and were sold to the people at the rate of 480 to the 1. sterling. As, however, the English copper had already been introduced, and the Government no longer accepted the Turkish piastre, the financial disaster that would have fallen on the people was avoided, and after a few vain attempts to induce the Government to receive the smuggled copper it was re-exported.
English Silver.
As regards the silver, besides the export of “metal- liques," the measure had been taken of locking up English silver in the Treasury, in order to reduce the amount in circulation, until it rose again to the standard value of gold. At the same time the shilling was tariffed in the Government Treasuries at 9 piastres, and the sovereign at 180. Before this measure was taken the sovereign was worth about 176 copper piastres, whilst 20 shillings would only fetch 170; but now the 20 shil- lings rose to 180, whilst the sovereign had only a slight premium of from 1 to 2 piastres. It is difficult to pre- vent a slight premium on gold in the Levant, owing to the great demand for it in the different countries at different seasons of the year; but the premium on gold here is now less than it has ever been before, and the fluctuation is extremely small. All Government pay- ments were ordered to be made in gold, and 6,0007. worth of silver accumulated in the Treasury was ex- ported to England, and gold introduced in its place.
Exports and Imports of Bullion.
The exports and imports of bullion during the year 1879 have been carefully watched, and the result is that there has been, since 1st January 1879, a net impor- tation of gold, 32,8327.; and a net exportation of silver, 24,8261. Of the excess of silver thus exported, there was, in English silver, 9,6917.; in Turkish silver, 15,1351.
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As regards English silver there was introduced into the island in July 1878, 67,100%, of which 60,4327, was put in circulation and the remaining 6,6687. returned to the British Treasury. Of the 60,4321. put in circulation, there has been exported as follows :--
(1.) In 1878, owing to the depreciation of English silver that I have above alluded to
(2.) In 1979 as above mentioned
Total -
leaving 44,9417. in Cyprus.
£
5,800
9,691
15,491
English Silver now in Circulation. Export of Turkish Coins. Rupees.
As far as I have been able to learn, this is still in excess of the requirements of the island, but it cannot be made certain until the Turkish silver and "metal- lique" coinage shall have been entirely expelled. Their export continues to take place. Rupoes were largely imported at one time, and found favour with the people, being valued at 1s. 8d. They are not now received in Government treasuries, and no imports have taken place since May. It is hoped that they will soon disappear.
Present State of Currency.
Within a year, then, of the British occupation the currency of Cyprus was placed on a footing nearly equal to that of Great Britain. There is a larger amount of gold in circulation in the island than has ever been known before, and although we are liable to suffer perio dically from the large demands made for sovereigns in Egypt, yet we have been able to prevent gold leaving the country owing to our having the issue of silver and copper entirely in our own control. I say entirely be- cause, although the Turkish silver medjidié is still cur- ront in Cyprus, the Government has purposely tariffed it at so low a rate that it is rapidly leaving the island, and in a very short time it may be anticipated that the currency of Cyprus will consist entirely of English pounds, shillings and piastres, the two latter maintain- ing their standard value without difficulty.
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