Author Topic: Curaçao and Sint Maarten: New currency area  (Read 11842 times)

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Offline eurocoin

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Re: Curaçao and Sint Maarten: New currency area
« Reply #30 on: December 28, 2015, 12:54:28 PM »
They are indeed beautiful, but are there any such coins? Will there be any such coins? What is the current status of this project?

These coins will indeed be issued, I have recently called the  Central Bank of Curaçao and Sint Maarten. The currency manager at the office in Curaçao said that the project has been put "on hold". When I asked the currency manager at the office in Sint Maarten if the project has been put on hold, she denied that and said it is an ongoing project. Anyway this currency will come for sure, we only don't know when  :(

Utrecht mint will not mint them unless it foresees a good demand of sets to be sold to the collectors.
Utrecht mint is running in to an operational loss this year.

To me your message doesn't make sense Pabitrah. Utrecht Mint will for sure mint these coins, they don't care all too much if they will sell many sets. These sets are only a small source of income. They of course get much more money for minting the circulating coins. I also don't see a link between the financial situation of Royal Dutch Mint and these coins not being issued.
« Last Edit: December 28, 2015, 01:06:43 PM by Niels »

Offline <k>

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Re: Curaçao and Sint Maarten: New currency area
« Reply #31 on: December 28, 2015, 03:09:22 PM »
Thank you, Niels. But we could have a long wait, then.

Offline Pabitra

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Re: Curaçao and Sint Maarten: New currency area
« Reply #32 on: December 28, 2015, 03:09:42 PM »
Economies of scale means that the issuing authority must place a demand of quantity which will be enough to recover the fixed costs else they have to recover from sale of sets.
That is the reasons that small nations like Monaco, Andorra are unable to issue coins every year.

Offline Figleaf

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Re: Curaçao and Sint Maarten: New currency area
« Reply #33 on: December 28, 2015, 04:22:44 PM »
That's theory, Pabitra. Practice is always more complicated. The Utrecht mint makes circulation coins and gets paid for them. I presume the payments (barely) cover cost. This makes sense, because the government is sole owner of the mint and it gets all the profits anyway. Utrecht mints for foreign governments and that's where theory holds: in principle, they must make a profit. They might mint loss leaders to get a new client to place more orders, but that would be the exception that confirms the rule. They also make homegrown pseudo-coins and coin sets. This is where the big margins are, but also the small turnovers.

The former Netherlands Antilles are a special case. The Netherlands has assumed responsibility for them as the last vestiges of its former colonial empire. They must have circulation coins, so those coins will be minted. If necessary, the Dutch government can subsidise coinage, e.g. by assuming responsibility for all or part of the fixed cost. There is a budget for suchlike subsidies. The object of the exercise cannot be stealing business, as no commercial mint would want a loss-making order, but rather to enable the economies of the islands to function normally.

That said, the order must come from the island's governments. They must agree first. That's not simple, even if there is free money at stake for the islands. That is because those local governments are squabbling continuously, most of the time over nothing. In other words, if a civil servant who ought to know says that the project is deferred, you may safely assume that the local governments are still in disagreement and Utrecht will do nothing.

For the sake of completeness, the Dutch government will not subsidise sets and funny issues. However, the Utrecht mint may want a resale contract for them that will diminish net cost for the islands.

Peter
An unidentified coin is a piece of metal. An identified coin is a piece of history.

Offline eurocoin

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Re: Curaçao and Sint Maarten: New currency area
« Reply #34 on: January 26, 2016, 04:30:08 PM »
The coins are sheduled to be released in July of this year.

Offline eurocoin

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Re: Curaçao and Sint Maarten: New currency area
« Reply #35 on: February 14, 2016, 03:02:17 PM »
A newspaper of the Netherlands Antilles that has seen the budget of the National bank of Curaçao and Sint Maarten, yesterday reported that the bank is aware that they soon need new circulating coins and banknotes. This to be able to guarantee the quality of the currency in circulation and to make the currency more secure against counterfeiting. The problems the bank is facing are the availability of the paper for the new notes, the outdated security features and the plachets for the coins, which are hard to obtain. The bank has allocated 10.9 million gulden for "The introduction of a new currency or an upgrade of the old series of currency".

Offline Bimat

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Curaçao and Sint Maarten: New currency area
« Reply #36 on: February 16, 2016, 04:56:40 AM »
I think this is the article you mentioned. ;)

Banknotes And Coins Should Soon Be Replaced

Published On: Mon, Feb 15th, 2016

WILLEMSTAD – The Central Bank of Curaçao and Sint Maarten (CBCS) is currently confronted with some developments and conditions that require the bank to replace all banknotes and coins in a relatively short time.

Action is needed to continue to guarantee the quality of the money in circulation and robustness against counterfeiting. The developments faced by the CBCS are the availability of the banknote papers, the aging of the security features and the hard to find unprocessed coin blanks. The budget of the CBCS included the introduction of a new currency or an upgrade of the existing series of banknotes and coins in circulation. It involves a total of 10.9 million guilders reserved for this purpose.

The production cost of banknotes represents nearly one million on the budget.

After the dismantling of the Netherlands Antilles on 10-10-’10, Curaçao and Sint Maarten formed a monetary union, the current Dutch-Antillean guilder would be replaced by a Caribbean guilder. The introduction of the new currency had already suffered a delay from the beginning. The Caribbean guilders did not make it for the start of the new countries. The new date was set for January 1, 2012. That was not achieved, presumably because both countries were not satisfied with the continuation of the common currency and the central bank.

Source: Curacao Chronicle
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Offline Enlil

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Re: Curaçao and Sint Maarten: New currency area
« Reply #37 on: February 24, 2016, 05:37:34 AM »
What happened to the currency fro those islands that chose to adopt the US dollar? Were they destroyed or sent to the remaining islands?

Offline Pabitra

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Re: Curaçao and Sint Maarten: New currency area
« Reply #38 on: February 24, 2016, 05:46:35 AM »
But new set of coins with Willem were issued in 2014.

Offline eurocoin

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Re: Curaçao and Sint Maarten: New currency area
« Reply #39 on: February 24, 2016, 06:23:21 AM »
What happened to the currency fro those islands that chose to adopt the US dollar? Were they destroyed or sent to the remaining islands?

Interesting question. I will ask Royal Dutch Mint. The particular islands were Bonaire, Sint Eustatius and Saba.
« Last Edit: February 24, 2016, 01:28:41 PM by Niels »

Offline Pabitra

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Re: Curaçao and Sint Maarten: New currency area
« Reply #40 on: February 24, 2016, 08:37:54 AM »
Bonaire issued two coins of one dollar each.
One was supposed to regular issue and other was a commem.
Both were minted by Royal Dutch mint.
The physical specifications were same as US Dollar so that they could be used in vending machines

Offline eurocoin

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Re: Curaçao and Sint Maarten: New currency area
« Reply #41 on: February 24, 2016, 01:28:10 PM »
Bonaire issued two coins of one dollar each.
One was supposed to regular issue and other was a commem.
Both were minted by Royal Dutch mint.
The physical specifications were same as US Dollar so that they could be used in vending machines

Both pieces that were issued by the BES islands (so not only by Bonaire) are commemoratives. Although they were accepted as payment on the islands, they were not legal tender. More like trade tokens.
« Last Edit: July 14, 2016, 03:46:19 PM by Niels »

Offline eurocoin

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Re: Curaçao and Sint Maarten: New currency area
« Reply #42 on: February 29, 2016, 07:33:30 PM »
What happened to the currency fro those islands that chose to adopt the US dollar? Were they destroyed or sent to the remaining islands?

To get back to your question. Royal Dutch Mint was unable to help me with this question so I just called the National Bank of Curaçao and St Maarten. The currency manager informed me that all coins of the Antillean guilder that were exchanged on the BES islands have been brought back to the National bank in Curaçao, so they can be brought back into circulation on Curaçao and St Maarten. Before I was connected to the currency manager I spoke to some of their employees who all didn't know the answer, and all said it was a very good question  ;)

Offline Pabitra

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Re: Curaçao and Sint Maarten: New currency area
« Reply #43 on: September 22, 2018, 08:47:02 PM »

Offline <k>

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Re: Curaçao and Sint Maarten: New currency area
« Reply #44 on: September 22, 2018, 08:52:35 PM »
the decision to introduce a new currency for the monetary union per January 1, 2021.

Don't hold your breath. World War 3 could have started and finished by then.