The death of Queen Elizabeth II is accompanied by very practical problems. Central banks around the world are under pressure to act.
The Queen is dead – there will be no more Queen in line to the throne any time soon. And central banks in many countries around the world must respond.
The question is – whether the portrait of Queen Elizabeth II still signals the monetary stability that central banks from Great Britain to Australia to New Zealand want to embody with their bills and coins?
Clear Change of Direction
According to the tradition of the British crown, however, the image on the coins is also changed when there is a change on the throne. According to the Royal Mint, the direction of the person on the coins and on some notes is also changed, so that the successor looks in the opposite direction to the deceased.
This tradition has applied since Charles II in the 17th century, it was divulged. Allegedly, he wanted to demonstratively turn his back on his predecessor.
According to media reports, there has only ever been one case of the successor being shown from the same side on banknotes and coins because it was his ‘chocolate side.’
Elizabeth’s uncle, Edward VIII, abdicated prematurely before his coronation, however, so this exception never occurred.
Cash as a cost driver
The British central bank at least is in no hurry to change the faces to King Charles III on their money. The coins and paper money will continue to be fully valid, it said.
The monetary stability is not endangered with the change on the throne. And, actually, it doesn’t matter at all what is depicted on bills and coins.
What really matters is the actual inflation, which is already very high at the moment. Accordingly, there is no need at this time for the costly exchange of 4.5 billion banknotes and 29 billion coins.