Speaking of the financial notes used in trade between East Africa and Abyssinia, they were a special kind of bond issued on behalf of the East African government by Hechingen Bank under government supervision, specifically serving as currency within East Africa.
The East African government was now considering issuing its own currency, and Ernst was busy with the matter.
March 14, 1871.
After receiving the Swedish royal family's approval, the Kingdom of East Africa inspection delegation led by Ernst formally began its examination of the Swedish mint. Most of its members were employees of Hechingen Bank.
The governor of the Swedish bank, Wayne, was responsible for receiving them. "The earliest banknotes in Europe were issued by our bank in 1661, ushering in the age of paper currency in Europe. At the time, however, paper notes were merely a supplement due to the insufficient quantity of metal coins; they were not true currency. Our mint not only has a long history and extensive experience, but it has always stood at the forefront of Europe in applying new technologies."
Wayne first introduced the Swedish bank's experience in this field. In seventeenth-century Sweden, currency transactions primarily relied on coins. In 1661, Swedish King Charles XI Gustav decided to introduce banknotes as a legal form of currency. These notes were issued by the government and backed by gold, ensuring their value and credibility. Sweden's banknotes became the first officially issued paper currency in European history. They were then called "official bank notes," similar to East Africa's current financial notes, though East Africa itself did not produce metal currency.
Wayne said, "These Swedish Krona before you are mainly made from cotton fibers, with a small amount of hemp fiber and a large quantity of wood pulp."
Krona came from Latin and meant "crown."
Ernst said,