§ LORD STANLEY OF ALDERLEY, in calling the attention of the House to the proclamation of the 3rd May, 1882, respecting the currency of the Island of Cyprus and to the exportation of silver coin notwithstanding the deficiency of it in this country, said, by a proclamation dated the 3rd of May last year a certain value was given to English silver coins, as compared with silver Medjidieh piastres, which were the currency of Cyprus, and in which the accounts for revenue and taxation were kept. English silver had been taken out to Cyprus when the British authorities first took possession of the Island, and according to a statement in Mr. Hepworth Dixon's book one of the British officers, charged with announcing to the inhabitants the transfer of the Island, had acted like the "Man in the Moon" at a borough election, and had brought bags of English silver coin for distribution. Since that English silver had been sent at various times to Cyprus for the payment of the English troops. He objected to this exportation of English silver coin, and to the proclamation on three grounds. First, 1466 because English silver coin was a debased coinage, intended only for small change, and not, like French silver coin, a standard of value, and the introduction of it in large quantities into Cyprus, and by that means into the Levant, must disturb the markets and cause loss eventually to various persons. These English coins were made to bear a fictitious value in Cyprus, which would not follow them into the Levant, and whilst the French and other European silver coins could be used by silversmiths, these English coins could not be used for that purpose. A friend of his had told him that he had obtained 23s. for a sovereign in Ceylon; and if the number of shillings had been as great there, as it would be in Cyprus, the difference of exchange would probably be greater. Ceylon might also claim that the example of Cyprus should be followed, and a similar proclamation issued for Ceylon. The second objection was that as the currency of the Island consisted of silver piastres, and the accounts were kept in piastres, the more natural course to have adopted, if more small change was required, would have been to have asked leave of the Porte and to have coined a supply of silver piastres of the same value and standard as the good silver piastres. By doing that no disturbance would have been effected in the monetary circulation of Cyprus and the adjoining ports, and at the same time a complimentary and friendly act would have been done, which would have been highly appreciated by the Sublime Porte: and such a course would have been more in accordance with what was lawful under the circumstances of our tenure of Cyprus. Lastly, there was little doubt that for a long time there had been a scarcity of silver coin in this country, and the people of this country, who were suffering from the want of small change, had a right to complain if their wants were disregarded for the purpose of supplying the wants of a new dependency; and if it should prove, as he feared, that this introduction of English silver coin into Cyprus was an injury to the Cypriotes, they would bear with less patience having so long to wait for that increased issue of silver change which the increase of population had made necessary. Perhaps the Government would state what amount per head of population of silver coinage was allowed for in this country 1467 when the annual accounts were published.
§ THE EARL OF DERBYsaid, he could not admit that British silver passed at a fictitious value in Cyprus. He believed, on the other hand, that the proclamation to which his noble Friend objected had been issued on a careful calculation of the relative value of the various coins used in the Island; and it contained a statement of the rate at which the piastre would be taken in comparison with the English coin. The proclamation dealt with a question the difficulty of which was much enhanced by the fluctuating value of the coin previously current in Cyprus. His noble Friend had suggested the desirability of maintaining the native currency of piastres; but he would perceive, if he read the proclamation, that the piastre, which was taken at the rate of 180 to the pound sterling, was the basis of the new arrangement. As far as he was aware there was no special convenience in keeping the accounts of the Island in piastres rather than in pounds and shillings. His noble Friend could hardly be serious in his complaint that the exportation of silver to Cyprus had inflicted any inconvenience on England. The amount exported, which was not more than £40,000 or £50,000, was in no way adequate to produce such a result; and though last year there might have been a deficiency of silver in consequence of the temporary suspension of work at the Mint, the issue of silver had now for some months been resumed.