SOVEREIGNS IN INDIA.

King Country Chronicle, Volume VIII, Issue 662, 22 April 1914, Page 2

SOVEREIGNS IN INDIA.

Some interesting information in regard to the circulation of sovereigns in India was given recently in the report of the Controller-General for the year 1912-18. That question is of great moment to the world at large, owing to the influence exercised on the international money market, by the Indian demand for gold. The total absorption of sovereigns in India during 1912-13 was £10,245,000 as compared with £7,600,000 in 1911-12. Of this amount the Punjab took £3,372,000, Bombay £1,658,000, and the balance was pretty evenly divided between Madras and the United provinces. Special inquiries were made so as to arrive at the causa of this demand for gold, and it was found that the use made of the sovereign varies considerably in various provinces. The trading somrrunity are well aware of the intrinsic value of the sovereign, and even though they might not be able to get rid of one readily in local transactions they would probably accept it if required in the course of business. That coin, too, ia entering more into the ceremonial life, for pre3ents at weddings, and it is coming into increasing use for remittances. In the purchase of crops there is strong evidence that the sovereign is preferred to the rupee, and a buyer offering gold has an advantage over one tendering silver. It must not be thought that every sovereign which remains in India is hoarded or melted down, although no doubt soms of the gold displaces silver in the hoards. A very large number of sovereigns now circulate ia India, and form an increasing proportion of the caah in hand amongst traders and private peraone. The withdrawal of this coin, states the Controller, would undoubtedly be viewed with disfavour by many towhom currency controversies are unknown, who yet realise that the sovereign is superior to any other coin. It may be mentioned that the yellow sovereign marked on the reverse with a large Australia are in such special demand in the bazaars for ornaments that they are actually at a premium.