Description

A History of Money and Banking in Barbados documents the development of money and commercial banking in Barbados from the date of the settlement in 1627 to the establishment of the Central Bank of Barbados in 1973. It examines the early years of barter; the introduction of British coins by the Royal Proclamations of 1825 and 1838; the issue of colonial coins (anchor money); the introduction and circulation of foreign coins; the debate over the legal tender of British silver coins and the share of the seigniorage of these coins.

Armstrong examines the first banks, the Colonial Bank and the West India Bank, in the nineteenth century, the introduction of Canadian banks in the twentieth century, the expansion of Barclays Bank as well as the issue of Barbados government currency notes; the measures taken by the British government and the Caribbean governments during the Second World War to ensure an adequate supply of currency; and the agreement between Barbados, Trinidad and British Guiana (Guyana) to make their government currency legal tender in each country.

Armstrong analyses the establishment and operation of the British Caribbean Currency Board and its acrimonious demise, the establishment of the East Caribbean Currency Authority, the withdrawal of Barbados from the Authority, and the establishment of the Central Bank of Barbados.