ia, and, last but not least, owing to the Persian custom of
"making a corner" by speculators, the commercial centres of Persia suffer
from a normal dearth of silver coins. Persian silver coin has for the
foregoing reasons a purchasing power of sometimes 20 per cent. beyond its
intrinsic value. In distant cities, like Yezd or Kerman, it is difficult
to obtain large sums in silver coin at face value, as it disappears into
the villages almost as soon as it arrives by caravan or post. New coin is
generally in great demand and commands a premium.

So the yearly drain of silver coin from Teheran as soon as it is minted
is very considerable, especially to the north, north-east and north-west
provinces. This coin does not circulate but is almost entirely absorbed
and never reappears, the people themselves holding it, as we have seen,
as treasure, and huge quantities finding their way into Transcaspia and
eventually into Afghanistan, where Persian coin is current and at a
premium, especially on the border land.

In Transcaspia Persian coin is cherished because the nominally equivalent
Persian coin contains a much larger quantity of silver than the Russian.
Russian silver is a mere token of currency, or, at best, stands midway
between a token and a standard or international currency, and its
difference when compared with the Persian coin amounts to no less than
21.92 per cent. in favour of the Persian. Persian coin, although
defective and about 2 per cent. below legal weight and fineness, is a
standard or international currency.

It appears that a good deal of the silver exported into Transcaspia finds
its way to Chinese Turkestan, where it is converted into bars and ingots,
and is used for the inland trade to China. The Russian Government have
done all in their power to prevent the competition of Persian and Russian
coins in their Transcaspian provinces. A decree was issued some eleven
years ago forbidding the importation, and in 1897 a second Ukase further
prohibited foreign silver from entering the country after the 13th of May
(1st of May of our calendar), and a duty of about 20 per cent. was
imposed on silver crossing the frontier. All this has resulted in silver
entering the provinces by smuggling instead of openly, but it finds its
way there in large quantities just the same as before.

The Government of Persia does not issue bank-notes, which would be
regarded with suspicion among the people, but it is interesting to fi