Interimreport1 January–31 March2024 Elo Mutual Pension Insurance Company
Chapter 2 history of money
1. History of the Philippine Currency and
Philippine Monetary System
2. The prevailing medium of exchange was barter although there
were already some coins circulating in our country as early as the
8th century.
Commodity money such as rice, coffee, sugar, rolled silver
wires, gold dust, gold, cowry money, silver nuggets, which were
accepted for their weight and purity and the carabao which is our
domestic animal, were used as money.
Rice has long been used as the primitive currency since it is the
staple food of the people.
3. Penniform – gold barter ring that was being used in trading
with foreign merchants between the 18th to 14th century. It is a
coin made of gold in the form of a ring with a diameter of
about half an inch. It had neither designs nor inscriptions.
4. Piloncito - tiny engraved bead-like gold bits unearthed in
the Philippines. They are the first recognized coinage in the
Philippines circulated between the 9th and 12th centuries.
They emerged when increasing trade made barter
inconvenient. It was made of crude rounded gold coin with
flat sides with diameter of about three eights of an inch.
5. After the arrival of the Spaniards in 1521, trade was conducted by
using irregular shaped coins, hammered in Mexico. Varieties of
this coins were popularly called “hilis kalamay” which bore the
seals of the Spanish rulers Charles II, Philip IV, and Philip V.
Hilis Kalamay - Local currency took in the
minted cobs of various polygonal shapes.
These silver coins usually bore a cross on one
side and the Spanish royal coat of arms on the
other. These were the earliest coins brought in
by the galleons from Mexico.
6. During the reign of King Philip V that was 1700 – 1746, the first
coin minted in the Philippines was called the Spanish Barilla.
Spanish Barilla – the first coin minted in the
Philippines. It was made of brass and was
valued at one centavo. It had an inscription
which read as “Barilla Ano de 1728” in which
the coat of arms of Manila was engraved on the
center of the coin. It was crudely struck and its
reverse in blank. Incidentally, this is how we
got the term “barya” which means loose
change today.
7. In the 17th to the 19th century – Manila became one of the
major centers of trade in the Far East
Spanish Dos Mundos – also known as Mexican
dollar struck in 1732 – 1772 at the Mexican mints
They came into various denominations: ocho
(8), cuatro (4), and dos (2) reales. There were
also the uno (1) and media (1/2) real. These coins
were known for their beauty. They bore name
“Dos Mundos” which indicated their widespread
use in the two hemispheres. The Spaniards and
the Filipinos used these coins to buy silk for
export to Spain.
8. In 1766, a second coin was minted in the Philippines, known as
Colderillas.
It was about half the size of the Spanish barilla and was made
of copper. It had the shape of a parallelogram. It was valued
approximately one centavo.
It was used to augment the shortage of the coins circulating
due to the Spanish-English war of 1762 – 1764.
9. In 1766, a second coin was minted in the Philippines, known as
Colderillas.
It was about half the size of the Spanish barilla and was made
of copper. It had the shape of a parallelogram. It was valued
approximately one centavo.
It was used to augment the shortage of the coins circulating
due to the Spanish-English war of 1762 – 1764.
10. Isabelinas – the first gold and silver coins minted in the
Philippines in 1861-1868 by the Casa Moneta de Manila, the
country’s minting plant during the Spanish era. These coins
marked the first time in history that the country’s name
“FILIPINAS” appeared on its coinage.
11. Pesos Fuertes
- the first Philippine bank note that was
printed in 1852 issued by El Banco Español-Filipino de Isabel II.
Five Pesetas – coins circulated in 1855. This coins were
believed to have been minted in Madrid or in Paris.
