Ukraine's central bank proposes renaming 'kopiyka' to 'shah'. What is behind this idea?
The National Bank of Ukraine (NBU) has proposed changing the name of the country's smallest coin, the 'kopiyka,' to 'shah,' citing historical and linguistic reasons. The central bank argues that 'shah' has ancient Ukrainian origins, while 'kopiyka' is of Russian derivation.
So does the renaming make sense from a linguistic and historical point of view, and how appropriate is it in terms of financial policy?
From Taras Shevchenko to Lesya Ukrainka
"He who does not take care of a shah is not worth a kopiyka," goes a Ukrainian proverb from a 1955 collection of folk sayings. The word 'shah' was used to denote a coin by prominent Ukrainian writers such as Ivan Kotliarevskyi, Lesya Ukrainka, and Panas Myrnyi. Moreover, the National Museum of Taras Shevchenko found 11 instances of Shevchenko using 'shah' and 'shazhok' to mean a coin.
So, in literature, the word "shah" was used. And what is its origin? Isn't it Russian? There is also the word “shagi” (‘steps’) there!
Expanding the usual explanatory dictionary, we learn: the word means "small coin". It appeared from the original "siah", which is a derivative of "siahaty" - that is, to move, to reach. Over time, "siazhok" became "shahzhok" due to assimilation of sounds, and then "siah" became "shah".
So, "shah" is a vernacular Ukrainian word. he NBU emphasizes that 'shah' was part of Ukrainian currency terminology as early as the 16th-17th centuries and is unique to Ukrainian linguistic culture.
In contrast, 'kopiyka' is a borrowing from the Russian language, likely derived from the phrase 'kopeynaya denga,' referring to a coin depicting a tsar on horseback holding a spear, or 'kopye.' Although the word has Proto-Slavic roots and was used in Ukraine, its specific use as a coin name is of Muscovian origin, notes historian Oleksandr Alfyorov.
That is why the NBU argues that after the renaming, the money circulation of Ukraine will be "cleansed of Russian influence", since the "kopiyka" is of Muscovian, imperial origin.
In the conditions of large-scale Russian aggression, the replacement of kopiykas for shahs is an important and necessary step, because today kopecks remain in circulation only in states hostile to Ukraine.from the statement of the National Bank
Restoring justice?
From the times of the Hetmanship and during the Ukrainian revolution of 1917–1921, the small coin "shah" circulated, the National Bank notes. In particular, the Central Rada passed a law that the national currency of the Ukrainian People's Republic was the hryvnia, and the coins were shahs. However, the Ukrainian coin did not have time to go into circulation, instead it was printed.
"However, the minting of coins was not implemented due to economic and technical difficulties. Instead, money of small denomination was issued - exchange stamps of the State Treasury - 10, 20, 30, 40 and 50 shahs," the National Bank notes.
Such stamps had the inscription on the reverse side: "Legal tender on a level with a ringing coin." They were in circulation until March 1919, until they were canceled by the Soviet authorities.
After the restoration of Ukraine's independence, the authorities faced the question of introducing a monetary unit. Among the options for coins was "shah" – but the parliament approved the name "kopiyka".
Will the change affect inflation?
The National Bank has developed proposals for changes to the legislation, which must now be approved by the Verkhovna Rada. If the lawmakers vote in favor, the Mint will start minting shahs and putting them into circulation.
Historian and numismatist Oleksandr Alfyorov explains that the National Bank should mint millions of coins by 2025. The shahs will not replace the pennies immediately – they will be issued in previously planned volumes for exchangeable coins. As long as the kopiykas will run parallel to the shahs, these coins will be equal in denomination.
Experts explain that in this way it is possible to avoid the costs associated with the disposal of old coins and the production of new ones in larger quantities.
At the same time, the central bank claims that the appearance of a new coin will not affect price growth: "The gradual introduction into circulation of coins denominated in shahs, within the limits of the planned issue, will not affect inflation, as no increase in the amount of cash in the economy is expected."
Oleksandr Alfyorov concludes: "The reform will not cost us anything, and we will throw out the Muscovian name once and for all and restore historical justice. We are returning our Ukrainian monetary unit."
- Share: