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Currency and Coinage of the Republic of Chile: Pesos and Centavos: (Part I) Brief
History and Evolution of Coinage in Chile:
The Republic of Chile (or
“Republica de Chile”) is a South
American country which is in the shape of a narrow strip of land between the
Andes to the East and the Pacific Ocean to the west.
Chile borders Peru to the
North, Bolivia to the North-East, Argentina to the East and the Drake Passage
in the far South.
Possible
origins of the country’s name:
The name Chile has
interesting origins. It seems that the Incas called the valley of the Aconcagua
“Chili” which was a distortion of the
name of a Picunche tribal chief
called “Tili” who ruled these
territories at the time of the Incan conquest in the 15th Century.
Other interpretations of the name Chile
include a Native American word “Chile” which stands for “ends of the Earth” or
“Sea Gulls”, the Mapuche word “Chilli”
which also means “where the Land ends” or the Quechua word “Chiri”, meaning “Cold” or “Tchli” which means “snow” and also
stands for “the deepest point of the Earth.
Later
history – the advent of the Spaniards:
In 1520, the first
Spanish explorers landed in Chile.
Later, in 1535,
Spanish conquistadors came through Peru to Chile in search of gold, silver and
precious metals.
By 1540, the
Spanish began to annex Chilean territories to the Spanish Empire, but did not find the gold and precious
metals which they were looking for. Instead their exploratory teams found
that the arid Atacama Desert in Northern Chile contained great mineral wealth,
including copper. They also found agricultural potential in Chile’s Central
valley found lush green forests and grazing lands along with several lakes,
canals, fjords, inlets, canals etc, in the lands they captured.
By
the mid-16th century, Spain conquered and colonised Chile
replacing Inca rule in Northern and Central Chile, but could not conquer the
independent Mapuche people (or the Araucanians) that inhabited South-Central
Chile.
The
Spanish found the Mapuche people stubbornly resisted their plans to expand southwards
and every time there was a confrontation, the Mapuche pushed them further
northwards.
Interestingly,
the Mapuche were fiercely independent people and had earlier successfully
resisted many attempts by the Inca Empire of Peru, during the reign of Tupac
Inca Yupanqui (1471-93 BC) to overcome their resistance at the Battle of the
Maule River valley:
The
Battle of the Maule: took
place in the Valley of the Maule River, sometime between 1471 and 1493, in
which the Mapuche and their Allies numbering around 20,000 warriors had fought
an army of the Inca Empire led by the Inca general Sinchiruca having an equal
number of soldiers.
The Battle lasted six days
in which both armies fought hard and suffered losses amounting to about half of
their men dead and the other half wounded. On the next three days neither army
came to the designated battle field. Instead, both sides fortified their
encampments, hoping that the other side would attack them, but both armies
refused to attack the other, whereafter the Mapuche returned home having won a
tactical victory, having halted the Inca advance at the border of their
territories, while the Inca Army detachment having been mauled very
comprehensively, retreated and after linking up with their main Forces and
returned home to Peru.
This
battle spelt the end of the Inca six-year expansion campaign to annex new territories
in and around Chile and determined the Southern limits of the Inca Empire,
beyond which they never ventured again.
In 1818, Chile after
several battles fought between the Freedom fighters and Spanish forces, declared
it’s Independence from Spain and initially by the 1830s it had become a stable
Authoritarian Republic.
In the 1880s, Chile
ended the Mapuche resistance and annexed territories in the North after
defeating Peru and Bolivia in the War of the Pacific, (waged from 1879 to 1883).
In the late 1960s and
early 1970s Chile went through a left-wing political polarisation and a
period of turmoil.
In 1973, the
country experienced a coup d’état that removed Salvador Allende’s left-wing
government and a right-wing military dictatorship headed by Augusto Pinochet was
set up.
In 1990, the
Pinochet government was ousted from power after it lost a Referendum in 1988.
Since
then, Chile is governed by a centre-left coalition through several
Presidencies.
Central
Bank of Chile or “Banco Centrale de Chile”:
“Banco Central de Chile” is the Central Bank of Chile.
The Central Bank of Chile
was established on 22.08.1925 under the government of Arturo Alessandri
Palma. The Bank’s Headquarters is located in Santiago.
Since 10.10.1989,
the Bank has become an autonomous entity which status is guaranteed by the
present Constitution of Chile, which has made the Bank an autonomous
institution of Constitutional rank.
This
ensures that the Bank is independent from national authorities and endeavours
to provide credibility and stability free from any political interference.
Its primary task was to
rein in inflation, promote the stability and efficacy of the financial system
and the normal functioning of internal and external payment systems and
providing a solid base for the country’s permanent growth.
The Central Bank of Chile
has the sole authority to issue Banknotes and coins which can be printed/minted
in Chile or abroad.
The Bank is responsible
for the regulating the amount of currency and credit in circulation in order to
provide an adequate stock of money for users.
Historical
development of Coinage of Chile:
In 1749, coins were
struck at the Santiago mint in the Spanish colonial designs which were
prevalent at that time. These included silver Pesos and gold coins like the 8
Escudo pieces of Ferdinand VII.
Scan coin image of
Ferdinand VII
Until 1851, Chile also
issued gold Escudos worth 16 Reales or 2 Pesos.
In 1925, at
the time of establishment of the Central Bank of Chile, the “old” Peso was still
the monetary unit of Chile.
From 01.01.1960,
the Escudo became the legal tender in Chile upto 1975. The Escudo was
sub-divided into 100 centesimos. It replaced the “old” Peso at an exchange rate
of 1 Peso to 1000 Escudos.
Since 25.09.1975,
the monetary unit of Chile is the Peso, which replaced the Escudo due to high
inflationary pressures in the country.
The
Peso subdivided into 100 Centavos is presently the circulating currency of
Chile although Centavos coins have gone out of circulation.
The
First Chilean Peso (1817-1959):
Between 1817 and 1959,
coins of the First Chilean Peso
were circulated. The Peso at this time had a value of 8 Spanish Colonial Reales
and 1 Escudo was valued at 2 Pesos. Silver coins in the denomination of ¼, ½, 1
and 2 Reales and 1 Peso and gold coins of 1, 2, 4 and 8 Escudos were issued. This
currency is now referred to as the “Old” Peso.
The 1817 issues showed the Peso
inscribed with “Chile Independent” with Santiago mentioned below an erupting
volcano.
In 1835, copper
coins denominated in Centavos were circulated along with the Real and Escudo
coins already in circulation. During this year, the Peso of 100 Centavos was
adopted. The design showed a star, a condor and the Liberty head on the Obverse
and the denominational value on the Reverse.
By 1851, the Real and
Escudo denominations stopped being issued and further issues of Centavos and
Decimos (equivalent of 10 Centavos) took place in large numbers.
Between 1851 and 1853,
decimal coinage consisting of ½ and 1 Centavo (both denominations in copper), ½
and 1 Decimo, 20 and 50 Centavos (all denominations in silver), 5 and 10 Pesos
(both denominations in gold) were issued.
In 1860, 1 Peso
gold coins were circulated.
Between 1870 and 1871,
½, 1 and 2 Centavos coins (both denominations in cupro-nickel) were circulated.
Between 1878 and 1883,
all the denominations were reduced to being minted in copper.
In 1885, a Gold Standard was adopted pegging the Peso to the
British Pound at an exchange rate of 13½ Pesos to a British Pound (GBP).
In 1886, a 2½
Centavos copper coin was circulated.
In 1895, in keeping
with these valuations, a new gold
coinage was introduced in the denominations of 2, 5, 10 and 20 Pesos.
In 1896, ½ and 1
Decimo coins were replaced by 5 and 10 Centavo coins.
In 1907, a 40
Centavos silver coin was circulated in lieu of the 50 Centavos coin, but was
not very popular.
In 1919, the last
of the copper coins in the denominations of 1 and 2 Centavos were stopped being
minted.
In 1920, 5, 10 and
20 centavos coins were minted in cupro-nickel, instead of silver.
In 1925, coins and
Banknotes were circulated in the Condores denomination each of which was worth
10 Pesos.
Later, in 1926, the
Peso which was still pegged to the
British Pound but had to be devalued to 40 Pesos to 1 GBP, owing to
inflationary pressures. To meet the lower valuations, a gold
coinage was issued in the denominations of 20, 50 and 100 Pesos for the last
time.
In 1927, 2 and 5
Peso coins were issued (both denominations in silver).
In
1932, the Gold standard was suspended when the Peso’s value was
reduced considerably due to rampant inflation.
In 1933,
Cupro-nickel 1 Peso coins were circulated replacing the last of the silver
coins.
In 1942, 20 and 50
Centavos and 1 Peso (all denominations in copper) were introduced. The Peso
coins depicted Bernardo O’Higgins who was the Dictator of Chile from 1817-1823.
Between 1954 and 1959,
the last coins of the First Peso Series were circulated.
Introduction
of the Chilean escudo (1960 to 1975):
In 1960, 1
Centesimo coins (Aluminium) and 2, 5 and 10 Centesimo coins (all
Aluminium-Bronze) were circulated.
In 1962, ½
Centesimo coins were circulated.
In 1971, a new
coinage was introduced. This consisted of 10, 20 and 50 Centesimos (all
Aluminium-Bronze) and 1, 2, and 5 Escudos (all Cupro-Nickel). This coinage was issued for two years.
In 1972, 5 Escudo
coins were minted in Aluminium.
In 1974 and 1975,
10 Escudo coins (Aluminium) and 50 and 100 Escudo coins (both Nickel Brass)
were issued.
Image of a 100 Escudo coin
issued in 1974 which depicts variation of the flying condor.
The
new Peso coins (1975 – present day):
In 1975, coins in
the denominations of 1, 5, 10 and 50 Centavos and and 1 Peso were circulated.
The 1, 5 and 10 centavo coins were very similar to the 10, 50 and 100 Escudo
coins of the earlier Series.
Since 1983, the
Centavo coins are rendered obsolete due to rampant inflation.
In 1976, 5 and 10
Peso coins were circulated.
In 1981, 50 and 100
Peso coins were circulated.
In 1990, when the
military dictatorship (which was in power from 1973-1990) in Chile ended, the Obverse designs of the 5 and 10
Peso coins depicted an image of a winged lady wearing a classical robe and
shown as having broken a chain binding her two hands together, in a symbolic
reference that the military dictatorship
had ended. Besides her image was mentioned the date of the coup d’état that
brought the military regime to power (1973) and the word “LIBERTAD” (meaning
“Liberty”).
After a return to democracy, a design featuring the portrait of Bernardo O’Higgins from the denomination of 50 Pesos downwards was engraved.
In 2000, 500 Peso
coins were circulated.
On the Obverse of the 500
Peso coin is depicted a portrait of Cardinal Raul Silva Henriquez, in the inner core of the
coin. On the upper periphery, on the outer ring, is the name of the issuing
country “REPUBLICA DE CHILE”
(meaning “Republic of Chile”). To the left of the engraving of the Cardinal is
mentioned his name “CARDINAL RAUL
SILVA HENRIQUEZ”. The mint mark “o” over “S” (which is the Santiago
Mint Mark) is seen on the right centre right of the inner core. Sprigs of
laurel are placed on the lower periphery of the outer ring.
Cardinal
Raul Silva Henriques (27.09.1907 – 09.04.1999):
He was a Chilean Cardinal of the Catholic Church who served as archbishop of
Santiago from 1961 to 1983. In 1962, he was elevated to the Cardinalate.
As founder of the Academy
of Christian Humanism, Committee of Cooperation for Peace in Chile (COPACHI)
and the Vicariate of Solidarity, he was an outspoken opponent of Augusto
Pinochet, the Military Ruler of chile from 1973 to 1990.
On the Reverse of the 500 Peso coin is depicted the denomination of the coin “500 Pesos” in the inner core, below which is the year of issue, (“2011” on this coin). Sprigs of laurel are placed on the periphery of the outer ring. On the topmost periphery is a five-pointed star.
On the Reverse of the 500 Peso coin is depicted the denomination of the coin “500 Pesos” in the inner core, below which is the year of issue, (“2011” on this coin). Sprigs of laurel are placed on the periphery of the outer ring. On the topmost periphery is a five-pointed star.
The specifications of this coin are:
Metallic
Composition: Bimetallic:
(Inner Core): Alpaca (70% Copper, 15% Nickel, 15% Zinc), Gold coloured. (Outer
Ring): CuAl: (95% Copper, 5% Aluminium); Silver coloured.
Diameter/Size:
26.00 mm; Weight: 6.50 gms; Shape: Circular; Edge: Serrated. This denomination was first circulated from: December 2000.
On the Obverse of the 100 Peso coin is depicted a Mapuche woman in the inner core of the coin. On the upper periphery, on the outer ring, is the name of the issuing country “REPUBLICA DE CHILE” (meaning “Republic of Chile”). At the bottom periphery, on the outer ring, is the phrase “PUEBLOS ORIGINARIOS” (meaning original natives), thereby recognising the contribution of the Mapuche in resisting foreign invaders/colonists and preserving the indigenous cultures. To the left of the engraving of the Mapuche woman is the name “MAPUCHE”. The mint mark “o” over “S” (which is the Santiago Mint Mark) is seen on the right centre right of the inner core.
On the Obverse of the 100 Peso coin is depicted a Mapuche woman in the inner core of the coin. On the upper periphery, on the outer ring, is the name of the issuing country “REPUBLICA DE CHILE” (meaning “Republic of Chile”). At the bottom periphery, on the outer ring, is the phrase “PUEBLOS ORIGINARIOS” (meaning original natives), thereby recognising the contribution of the Mapuche in resisting foreign invaders/colonists and preserving the indigenous cultures. To the left of the engraving of the Mapuche woman is the name “MAPUCHE”. The mint mark “o” over “S” (which is the Santiago Mint Mark) is seen on the right centre right of the inner core.
On the Reverse of the 100 Peso coin is depicted the National Coat of Arms on the
inner core, below which is the year of issue, (“2011” on this coin). Further
below moving from the inner core to the outer ring, is mentioned the
denomination of the coin “100 Pesos”. Sprigs of laurel/a laurel wreath is
placed on the outer ring on the left and right peripheries.
The specifications of this coin are:
Metallic
Composition: Bimetallic:
(Inner Core): Alpaca (70% Copper, 15% Nickel, 15% Zinc), Silver coloured.
(Outer Ring): CuAlNi: (92% Copper, 6% Aluminium, 2% Nickel); Gold coloured.
Diameter/Size:
23.50 mm; Thickness: 2.00 mm;
Weight: 7.58 gms; Shape: Circular; Edge: Divided into sixths,
alternating smooth and serrated. This
denomination was first circulated
from: December 2001.
The above is an image of the Reverse of an old 100 Pesos coin issued in 1981 showing the denominational value
The above is an image of an old 100 Pesos coin issued in 1981 showing the National Coat of Arms
On the Obverse of the 50
Peso coin is depicted a portrait of Bernardo O’Higgins facing right. On the left and right
peripheries, is the name of the issuing country “REPUBLICA DE CHILE” (meaning “Republic of Chile”). To the
right of O’Higgins portrait is mentioned the phrase “LIBERATADOR B.O’HIGGINS” (meaning “Liberator O’Higgins”).
Towards the centre left is the mint mark “o” over “S” (which is the Santiago
Mint Mark).
Bernardo
O’Higgins Riquelme (1778 – 1842):
He was a Chilean independence leader who together with Jose de San Martin freed
Chile from Spanish rule in the Chilean War of Independence. Although he was the
second Supreme Director of Chile (from 1817-1823), he is considered to be one
of Chile’s founding fathers.
On the Reverse of the 50 Peso coin is depicted the
denomination of the coin “50 Pesos” in the centre, below which is the year of
issue, (“2011” on this coin). Sprigs of laurel are placed on the left and right
peripheries but inside a ten sided border beading.
The specifications of this coin are:
Metallic
Composition: CuAlNi: (92% Copper, 6% Aluminium, 2%
Nickel); Diameter/Size: 25.00
mm; Weight: 7.00 gms; Shape: 10-sided; Edge: engraved with a beaded
chain; on the outer periphery the coin is engraved with a beaded chain. This denomination was first circulated from: September 1981.
On the Obverse of the 10
Peso coin is depicted a portrait of Bernardo O’Higgins facing right. On the left and right
peripheries, is the name of the issuing country “REPUBLICA DE CHILE” (meaning “Republic of Chile”). To the
right of O’Higgins portrait is mentioned the phrase “LIBERATADOR B.O’HIGGINS” (meaning “Liberator O’Higgins”).
Towards the centre left is the mint mark “o” over “S” (which is the Santiago
Mint Mark).
On the Reverse of the 10 Peso coin is depicted the
denomination of the coin “10 Pesos” in the centre, below which is the year of
issue, (“2011” on this coin). Sprigs of laurel are placed towards the left and
right peripheries.
The specifications of this coin are:
Metallic
Composition: CuAlNi: (92% Copper, 6% Aluminium, 2%
Nickel); Diameter/Size: 21.00
mm; Weight: 3.50 gms; Shape: Circular; Edge: Serrated. This denomination was first circulated from: September 1990.
On the Obverse of the 5
Peso coin is depicted a portrait of Bernardo O’Higgins facing right. On the left and right
peripheries, is the name of the issuing country “REPUBLICA DE CHILE” (meaning “Republic of Chile”). To the
right of O’Higgins portrait is mentioned the phrase “LIBERATADOR B.O’HIGGINS” (meaning “Liberator O’Higgins”).
Towards the centre left is the mint mark “o” over “S” (which is the Santiago
Mint Mark).
On the Reverse of the 5 Peso coin is depicted the
denomination of the coin “5 Pesos” in the centre, below which is the year of
issue, (“2011” on this coin). Sprigs of laurel are placed towards the left and
right peripheries.
The specifications of this coin are:
Metallic
Composition: CuAlNi: (92% Copper, 6% Aluminium, 2%
Nickel); Diameter/Size: 15.50
mm; Weight: 2.20 gms; Shape: Octagonal; Edge: Smooth. This denomination was first circulated from: May 1992.
On the Obverse of the 1
Peso coin is depicted a portrait of Bernardo O’Higgins facing right. On the left and right
peripheries, is the name of the issuing country “REPUBLICA DE CHILE” (meaning “Republic of Chile”). To the
right of O’Higgins portrait is mentioned the phrase “LIBERATADOR B.O’HIGGINS” (meaning “Liberator O’Higgins”). Towards
the centre left is the mint mark “o” over “S” (which is the Santiago Mint
Mark).
On the Reverse of the 1 Peso coin is depicted the
denomination of the coin “1 Peso” in the centre, below which is the year of
issue, (“2011” on this coin). Sprigs of laurel are placed towards the left and
right peripheries.
Metallic
Composition: Aluminium: (98% Aluminium, 2% other
metals); Diameter/Size: 15.50
mm; Weight: 0.70 gms; Shape: Octagonal; Edge: Smooth. This denomination was first circulated from: March 1992.
Coat
of Arms or Emblem of Chile:
The present Coat of Arms
of Chile was adopted on 26.06.1834.
Armiger:
is the Republic of Chile
Crest:
Three feathers Azure, Argent and Gules (Blue, Silver and Red). This crest was a
symbol of distinction that former Presidents of the Republic used to wear on
their hats.
Torse:
Azure, Argent and Gules
Escutcheon:
Party per fess Azure and Gules a mullet Argent (meaning: the shield is partly
blue (top half) and partly red (bottom half) with a silver coloured five
pointed star (in the centre of the shield)
Supporters:
Dexter (to the left of the viewer) A huemul proper (which is a mammal endemic
to Chile), Sinister (to the right of the viewer) a Condor also proper (the most
significant bird of prey in the Andes), both navally crowned Or (The Naval
crowns symbolise the heroic deeds of the Chilean Navy in the Pacific Ocean).
Compartment:
A Pedestal Or on the bottom, white Band with the motto placed on the Pedestal
Motto:
“Por la razon o la fuerza” (meaning “By
Reason or by Force” or “By right or by might”).
Links:
1) Historical Evolution of Paper Money (Banknotes) in Chile
2) Brief history of Evolution of Coinage of Chile
1) The Travels of a silver Mexican Peso struck in 1898 and restruck in 1949 for the Chinese Government
2) Brazilian Currency: Brazilian Real
3) The 31st Summer Olympics 2015 or Rio-2016 - Brazil
4) Currency and Coinage of Guatemala
5) Banknotes and Coinage of Colombia (Part I)
6) Banknotes and Coinage of Colombia (Part II)
7) Currency and Coinage of Mexico - Pesos and Centavos (Part I)
8) Currency and Coinage of Mexico - Pesos and Centavos (Part II)
9) Evita or Eva Peron - A Commemorative/Circulating 100 Pesos Banknote issued on her in 2012
10) Currency and Coinage of Peru: Nuevo Sol and Centavo (Part I)
11) Currency and Coinage of Peru: Nuevo Sol and Centavo (Part II)
12) Currency and Coinage of Peru: Nuevo Sol and Centavo (Part III)
13) 2014 FIFA World Cup held at Brazil
Links:
1) Historical Evolution of Paper Money (Banknotes) in Chile
2) Brief history of Evolution of Coinage of Chile
Links to some other interesting posts on South American countries & Mexico:
1) The Travels of a silver Mexican Peso struck in 1898 and restruck in 1949 for the Chinese Government
2) Brazilian Currency: Brazilian Real
3) The 31st Summer Olympics 2015 or Rio-2016 - Brazil
4) Currency and Coinage of Guatemala
5) Banknotes and Coinage of Colombia (Part I)
6) Banknotes and Coinage of Colombia (Part II)
7) Currency and Coinage of Mexico - Pesos and Centavos (Part I)
8) Currency and Coinage of Mexico - Pesos and Centavos (Part II)
9) Evita or Eva Peron - A Commemorative/Circulating 100 Pesos Banknote issued on her in 2012
10) Currency and Coinage of Peru: Nuevo Sol and Centavo (Part I)
11) Currency and Coinage of Peru: Nuevo Sol and Centavo (Part II)
12) Currency and Coinage of Peru: Nuevo Sol and Centavo (Part III)
13) 2014 FIFA World Cup held at Brazil
Ramchandra Lalingkar has commented:
ReplyDelete"The history of 'Free' Chile is interesting. What I liked more is the beautiful & 'real-like' photographs of Coins of Chile."
Thank you, Lalingkar sahab. The Banknotes section of Chile is very beautiful and interesting too. I have almost finalised my post on them.
DeleteI do not think that your comment about "The new peso coins (1975-present day)" is on the mark. I am pretty sure that the coin you display under 1990, which shows the lady + LIBERTAD, was minted by the dictatorial Pinochet regime to celebrate Chile's supposed liberation from the shackles of Marxism on Sept. 11, 1973, the day of Pinochet's military coup. The new democracy would never commemorate that day, which is prominently displayed on this coin.
ReplyDelete