THE CUBA REVIEW 23 



Of the above shipments, those to the United States were principally for recoinage 

 to Cuban gold of the new issue and were brought back later in national coin. They 

 also include $5,934,810.00 Spanish Silver (value in U. S. Currency) sent to Spain 

 between August, 1915, and June, 1917. 



This delicate operation was effected gradually and in such a manner as not to 

 disturb the monetary or exchange values of the country. By June 1, 1916, all con- 

 versions of accounts had been practically made to the new system. 



As a result of the new monetary law and its regulations, the entire supply of 

 Cuban money was minted at Philadelphia, through the medium of the National Bank 

 of Cuba, the Government Fiscal Agent, in the following quantities: 



Gold Coins: — $20 pieces $1,135,000 



10 " 12,635,000 



5 " 9,140,000 



4 " 540,000 



2 " 320,000 



1 " 17,250 $23,787,250 



Silver Coins: — $1 pieces $2,819,000 



40c " 1,128,000 



20c " 2,090,000 



10c " 625,000 6,662,000 



Nickel Coins: — 5c pieces $ 340,450 



2c " 228,210 



lc " 187,120 755,780 



Total Coinage $31,205,030 



The above national supply of coin, together with perhaps twice the same amount 

 of U. S. Currency in general circulation, has been found sufficient for the country's 

 normal needs, and Cuba thereby automatically becomes, in law and in fact, a part of 

 the American monetary system of the present day. 



Cuba's foreign trade for the fiscal year ending June 30, 1918, amounts approxi- 

 mately to $670,000,000 ($370,000,000 exports and $300,000,000 imports) as compared 

 with $141,002,921 for 1902-1903, the first year of the Cuban Republic. 



The sugar crop of 1917-1918, now fully harvested (October 25th) amounts to 

 3,446,083 tons, which at 4.60, the price fixed last year by the International Sugar 

 Committee, represents $400,000,000 with by-products approximately. The new price 

 of 5.50 recently arranged with the Allied governments for the next crop, comes at 

 an opportune time, considering the increased cost of production. 



As the country exports the bulk of its products and imports most articles of con- 

 struction and use, including machinery and implements, it follows that Cuba is in 

 normal times one of the highest priced countries of the world, and under present con- 

 ditions, due to the European War, the cost of living is enormous. 



To move the country's resources annually requires the use of millions of dollars 

 from abroad, which the banks obtain and circulate in legal tender (which means 

 United States money and Cuban coin) according to local demands. 



It follows, therefore, that the chief functions of banking in Cuba are Discount, 

 Deposit, Exchange, Collections, Collateral loans, Foreign Credits and the distribution 

 of money throughout the country. To conduct these operations on an elaborate scale, 

 a system of branch banking exists, somewhat similar to that of Canada and typified 

 by the National Bank of Cuba, the Government Fiscal Agent and Depository since 

 the bank was created in the year 1901, prior to the establishment of the Cuban 

 Republic. 



