Ta-Ching Government Bank

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The former headquarters of the Ta-Ching Government Bank in Beijing in 2014. Yuan Bei Jing Da Qing Hu Bu Yin Xing .JPG
The former headquarters of the Ta-Ching Government Bank in Beijing in 2014.

The Ta-Ching Government Bank (simplified Chinese :大清银行; traditional Chinese :大清銀行), known as the Ta-Ching Bank of the Ministry of Revenue (大清戶部銀行) from 1905 to 1908, was the name of the Bank of China as a government agency of the Manchu Qing dynasty until the empire's dissolution in 1911. It was originally created to serve as the central bank of China in 1905, originally as a division of the Ministry of Revenue, and would serve as the country's de facto central bank until the establishment of the Central Bank of China in 1924.

Contents

The Ta-Ching Government Bank was the first national bank in the history of China and served as both the country's central bank as well as a commercial bank to finance projects. It issued banknotes that were intended to unify the Qing dynasty's currency system.

The Ta-Ching Government Bank evolved into the Bank of China in Mainland China and the Mega International Commercial Bank in Taiwan.

History

The former Shanghai office of the Ta-Ching Government Bank, photographed in 2017. First Headquarters of Bank of China, Dec 2017.jpg
The former Shanghai office of the Ta-Ching Government Bank, photographed in 2017.

During the later part of the Qing dynasty era there was a discussion on whether or not the imperial Chinese government would have to establish a national bank which it finally did in 1905. Peng Shu (彭述) stated before the introduction of new banknotes that the national bank would have to keep sufficient reserves in "touchable" money (現金) at all times. The large number of private notes that were being produced all over the empire was to be restricted by introducing a stamp duty (印花稅). The reformer Liang Qichao campaigned for the government of the Qing dynasty to emulate the Western world and Japan by embracing the gold standard, unify refractory the currencies of China, and issue government-backed banknotes with a ⅓ metallic reserve. [1] In 1904 the Ministry of Revenue had officially authorised the creation of a central bank. [2] At the time of its established, China was still on the silver standard. [3] The Ta-Ching Government Bank was primarily created to help finance government deficits by issuing paper money. [3]

At the end of 1905 the Ta-Ching Bank of the Ministry of Revenue (大清戶部銀行) was founded, and the production of the banknotes was entrusted to the prints of the Beiyang Newspaper (北洋報局) in Northern China. [4] The Ta-Ching Government Bank was the earliest officially opened national bank in China, and it opened its first office in the capital city of Beijing on September 27, 1905 (Guangxu 31). [2] The newly established national bank had a dual nature of being both a central bank and a commercial bank. [5] [6]

In 1906 the government of the Qing dynasty sent students to Japan to be educated about modern printing techniques, with the aim to have the Shanghai Commercial Press print the cheques of the Ministry's Bank. [4] The Shanghai branch of the Ta-Ching Government Bank was located at 3-5, Hankou Road. [2] In 1907 it opened its Jinan branch. [2]

In 1912 the Ta-Ching Government bank was renamed to the Bank of China by government charter of the new Republican government. [2] After the Chinese Civil War ended in 1949, the Bank of China effectively split into two operations. Part of the bank relocated to Taiwan with the Kuomintang (KMT) government, and was privatised in 1971 to become the International Commercial Bank of China (中國國際商業銀行). In 2002, it merged with Chiao Tung Bank (交通銀行) to become the Mega International Commercial Bank. The Mainland operation is the current entity known as the Bank of China.

Banknotes

A 10 dollar banknote issued by the Ta-Ching Government Bank depicting Zaifeng, Prince Chun issued in 1910. 10 Dollars - Ta-Ching Government Bank (1910, undated).jpg
A 10 dollar banknote issued by the Ta-Ching Government Bank depicting Zaifeng, Prince Chun issued in 1910.

The Ta-Ching Bank of the Ministry of Revenue were still issuing two different types of banknotes, one series was denominated in "tael" (兩), these were known as the Yinliang Piao (銀兩票) and had the denominations of 1 tael, 5 taels, 10 taels, 50 taels, and 100 taels. [4] The other series was denominated in "yuan" and were known as Yinyuan Piao (銀元票) and were issued in the denominations of 1 yuan, 5 yuan, 10 yuan, 50 yuan, and 100 yuan. [7] In the year 1907 the Ta-Ching Bank of the Ministry of Revenue was renamed to the "Ta-Ching Government Bank" (大清銀行), accordingly the inscription on all banknotes had to be changed to reflect this. [4] Because there is no advanced engraving technology for banknotes in China at the time and the banknotes that were printed by the Beiyang Newspaper's commercial press were both expensive to make and easy to imitate, the government of the Qing dynasty had later commissioned the American Bank Note Company to print new banknotes for the Ta-Ching Government Bank. [8]

Following the Chinese tradition of issuing new money in a new reign, the Xuantong administration had the design of the official Ta-Ching Government Bank paper notes somewhat changed to herald in the new emperor. [4] The new design was inspired by the designs of the banknotes of the United States dollar of this era; some banknotes showed the portrait of Li Hongzhang, and others depicted that of Zaifeng, Prince Chun who at the time was the current Chinese Minister of Finance. [4] At the eve of the Xinhai Revolution in 1911, there were 5,400,000 tael worth of Yinliang banknotes circulating in China, and 12,400,000 yuan in Yinyuan banknotes. [4]

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Qing dynasty coinage Historical coinage of China

Qing dynasty coinage was based on a bimetallic standard of copper and silver coinage. The Manchu-led Qing dynasty was established in 1636 and ruled over China proper from 1644 until it was overthrown by the Xinhai Revolution in 1912. The Qing dynasty saw the transformation of a traditional cash coin based cast coinage monetary system into a modern currency system with machine-struck coins, while the old traditional silver ingots would slowly be replaced by silver coins based on those of the Mexican peso. After the Qing dynasty was abolished its currency was replaced by the Chinese yuan of the Republic of China.

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Paper money of the Qing dynasty

The paper money of the Qing dynasty was periodically used alongside a bimetallic coinage system of copper-alloy cash coins and silver sycees; paper money was used during different periods of Chinese history under the Qing dynasty, having acquired experiences from the prior Song, Jin, Yuan, and Ming dynasties which adopted paper money but where uncontrolled printing led to hyperinflation. During the youngest days of the Qing dynasty paper money was used but this was quickly abolished as the government sought not to repeat history for a fourth time, however under the reign of the Xianfeng Emperor due to several large wars and rebellions the Qing government was forced to issue paper money again.

Da-Qing Baochao

The Da-Qing Baochao refers to a series of Qing dynasty banknotes issued under the reign of the Xianfeng Emperor issued between the years 1853 and 1859. These banknotes were all denominated in wén and were usually introduced to the general market through the salaries of soldiers and government officials.

Hubu Guanpiao

The Hubu Guanpiao is the name of two series of banknotes produced by the Qing dynasty, the first series was known as the Chaoguan (鈔官) and was introduced under the Shunzhi Emperor during the Qing conquest of the Ming dynasty but was quickly abandoned after this war ended, it was introduced amid residual ethnic Han resistance to the Manchu invaders. It was produced on a small scale, amounting to 120,000 strings of cash coins annually, and only lasted between 1651 and 1661. After the death of the Shunzhi Emperor in the year 1661, calls for resumption of banknote issuance weakened, although they never completely disappeared.

Zhuangpiao

The Zhuangpiao, alternatively known as Yinqianpiao, Huipiao, Pingtie (憑帖), Duitie (兌帖), Shangtie (上帖), Hupingtie (壺瓶帖), or Qitie (期帖) in different contexts, refer to privately produced paper money made in China during the Qing dynasty and early Republic of China periods issued by small private banks known as qianzhuang. Other than banknotes qianzhuang also issued Tiexian.

Piaohao Historical Chinese banking model

Piaohao, also known as piaozhuang (票莊), huihao (匯號), or huiduizhuang (匯兌莊), in Mandarin Chinese, or Shanxi banks (山西票號) or Shansi banks in English, were a type of bank that existed in China during the Qing dynasty until approximately 1952.

Da-Qing Tongbi

The Da-Qing Tongbi, or the Tai-Ching-Ti-Kuo copper coin, refers to a series of copper machine-struck coins from the Qing dynasty produced from 1906 until the fall of the Qing dynasty in 1911. These coins were intended to replace the earlier cast cash coins and provincial coinages, but were welcomed to mixed receptions.

Da-Qing Jinbi

The Da-Qing Jinbi was the name of a unissued series of gold coins produced under the reign of the Guangxu Emperor. These coins were produced in the scenario that the government of the Manchu Qing dynasty would adopt the gold standard, as was common in most of the world at the time.

Banknotes of the Ta-Ching Government Bank

The banknotes of the Ta-Ching Government Bank, known as the banknotes of the Ta-Ching Bank of the Ministry of Revenue from 1905 to 1908, were intended to become the main form of paper money in the Qing currency system. These banknotes were issued by the Ta-Ching Government Bank, a national bank established to serve as the central bank of the Qing dynasty. The Ta-Ching Government Bank had branches throughout China and many of its branches outside of its headquarters in Beijing also issued banknotes.

Daqian

Daqian are large denomination cash coins that were produced in the Qing dynasty starting from 1853 until 1890. Large denomination cash coins were previously used in earlier Chinese dynasties and had faced similar issues as the 19th century Daqian. The term referred to cash coins with a denomination of 4 wén or higher.

Zhiqian

Standard cash, or regulation cash coins, is a term used during the Ming and Qing dynasties of China to refer to standard issue copper-alloy cash coins produced in imperial Chinese mints according to weight and composition standards that were fixed by the imperial government. The term was first used for Hongwu Tongbao cash coins following the abolition of large denomination versions of this cash coin series.

References

  1. Hou Houji (侯厚吉), Wu Qijing (吴其敬) (1982) Zhongguo jindai jingji sixiang shigao (中國近代經濟思想史稿). Heilongjiang renminchubanshe, Harbin, vol. 3, pp. 322–339. (in Mandarin Chinese).
  2. 1 2 3 4 5 Unlisted (17 April 2008). "A Brief History of the Bank of China". China-Briefing. Retrieved 6 January 2020.
  3. 1 2 James A. Dorn (8 January 2016). "The Importance of Sound Money and Banking: Lessons from China, 1905 – 1950". Cato Institute . Retrieved 6 January 2020.
  4. 1 2 3 4 5 6 7 Ulrich Theobald (13 April 2016). "Qing Period Paper Money". Chinaknowledge.de. Retrieved 27 March 2019.
  5. Unlisted (6 January 2020). "Mega International Commercial Bank PCL". Pay2Thailand.com. Retrieved 6 January 2020.
  6. "清末民初的大清银行兑换券" (in Chinese). 新浪. 2016-12-05. Retrieved 2017-03-15.
  7. Bruce, Colin - Standard Catalog of World Paper Money, Volume 1, Iola, Wisconsin 2005, Krause Publications.
  8. 孙浩. 美钞公司档案中李鸿章像大清银行兑换券承印始末[J]. 中国钱币, 2013(6):9-12. (in Mandarin Chinese).