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Zlato Mince

German occupation of the Czech lands



HISTORY OF CZECHOSLOVAK CURRENCY.

German economic expansion began immediately after Munich. Demands for the extradition of industrial enterprises into the hands of German capital have increased. The capital transfers were made through German and Czech joint-stock banks, which gave them the appearance of a legal nature. The Imperial Bank came up with a request that the total of withdrawn Czechoslovak currency in the withdrawn border areas be replaced by Czechoslovakia in gold and foreign exchange. The German ultimatum resulted in an agreement of 4.3. 1939, according to which 14 tons of gold were transferred to the Imperial Bank. On March 14, the Slovak state was proclaimed and its monetary unit became the "Slovak koruna - Ks". On March 15, 1939, the rest of the Czech lands were occupied by the German army, and the Reich Chancellor Adolf Hitler issued a decree establishing the "Protectorate of Bohemia and Moravia." The decree stated that "legal tender is, in addition to the Reichsmark, up to the next koruna." The Imperial Bank set the koruna exchange rate at 1 RM = 10K. It was a deliberate underestimation of the koruna, when in the last year of peace one imperial mark was 7.40 K and according to the ratio of price levels in Germany and the Czech Republic the real exchange rate was estimated at only 6 to 7 K. The Czech-Slovak National Bank was 31 March renamed the National Bank for Bohemia and Moravia and subordinated to the Reichsbank in Berlin. Its agent determined the bank's activities.
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