Tensas gazette. [volume] (St. Joseph, La.) 1886-current, 1908-06-12
BANKING
in CUBA
4 Cosmopolitan Cuffency.---The
Increased U.s. Of Checks.

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AS Cuba's business is international
In its character, so is its banking, and
consequently its principal feature has
been, in the past especially, the buy
ing and selling Of foreign exchange.
These operations are usually made
against Spanish gold, as the local pay
ments are made in that money, but
drafts are drawn on Cuba in the mon
ey of the different countries and re-
mitted in the same money.
The currency of Cuba is not as
cosmopolitan as her people, says Amer
lean Industries, and yet she has In
active use Spanish and French gold,
United States currency and Spanish
silver, each circulating in its we'll de-
fined sphere, although the use OF
American money Is extending con-
stantly.
Spanish gold supplemented by
French gold Is the commercial money
Of the country except in Santiago pro-
vince, where United States currency
was introduced by military order dur
ing the first American occupation and
where all other moneys have practical
| ly ceased to circulate.
United States currency, whether
gold, silver or paper, Is the official
money established by the American
| Government, in which the Cuban Gov
eminent collects all incomes and
makes all disbursements for its ex-
| penses by clerk en- the National Bank
OF Cuba.
Spanish silver is the fractional cur
markets, small shops and for wages Of
labor generally The value of each
money Is subject to constant fluctua-
ton. dependent upon the demands for
exchange and for the different moneys
| at the different seasons Of the year.
Some of the larger customers carry
in the bank three accounts, against
which they draw in different moneys,
| and the banker must have in mind
| at the close of each day the proper
reserve-not in the total sum, but in
each money, varying according to
| the demands of the season.
To maintain the proper proportions
there is a constant flow OF the vari-
Gus moneys in and out of Cuba. so that
the banks are actually shipping Span
ish and French gold, Spanish silver
and United States currency between
the respective countries to meet the
needs of the seasons and to neutralize
| the rates of exchange.
1t has only been within the last
seven years, since the establishment
of the National Bank of Cuba, that
checks have been used to any extent,
but the convenience and safety Is so
apparent that they have rapidly grown
into favor, as indicated by the in
crease in deposits shown by the state
ment of this bank from 100000 in
1902 to over $14,OOO,O0O in 1907.
The number of checks paid through
| the windows Of the head cffice of the
| National Bank OF Cuba reaches over
5000 a day, and the movement of
actual cash, as distinct from checks,
through the tellers reaches more than
$1,000,000 a day. principally in coin,
as United States bank notes are
scarce. Collections in Havana run
over 81, ZOO, 900 a week.
| The only two banks which publish
statements of their business in Cuba
are the Bank Of Spain for the island
of Cuba and the National Bank OF
Cuba The Bank of Spain was or
ganized in Spanish times, and the
Spanish Government transacted its
business through it.
Its nominal capital is sS,000000
Spanish gold. equivalent approximate
ly to s7,200.000 United States cur
rency, but it carries in its assets So
100000 Of its own stock. The last
statement showed its deposits to be
in round numbers s5,OO0,OO Spanish
| gold, equivalent to $4.500,000 United
States currency approximately. 1t
formerly had branches throughout the
island but now has only its bank in
| Havana
| The National Bank of Cuba was Or
ganized in 1901 and was the fiscal
agent and depositary for the United
States Government, through which all
revenues were disbursed and audited
by means of checks on the bank The
paid up capital of the bank is s5,O00,-
900 United States currency, with de-
posts of over s14,0OO,O0O, all moneys
reduced to United States currency.
Its head Offices are in Havana, with
fourteen branches throughout the is
land and an agency in New York. This
bank has combined the system of the
United States with the branch bank
ing systems OF Europe, and its heads
of departments have been drawn from
the principal banks of the world.
The Bank of Havana has a paid up
capital of $2,5OO,OOO, but has never
published a statement. There are
also branches of the Royal Bank Of
Canada and the Bank of Nova Scotia
doing business in Cuba.
In regard to credits and collections
in Cuba, the facilities are as complete
and satisfactory as in any city of the
Union. Dun's Commercial Agency
covers the entire West Indies, and
Bradstreet's has an agency in Havana
In y. ut fn. l. IL