Chiemgauer

Chiemgauer is the name of a regional local currency started in 2003 in Prien am Chiemsee, Bavaria, Germany. It is named after the Chiemgau, a region around the Chiemsee. The Chiemgauer program is intended to promote local commerce.^[1] The Chiemgauer operates with a fixed exchange rate: 1 Chiemgauer = €1.^[1]

Creation and objectives

Christian Gelleri, a high school teacher, started this project with his students who are in charge of designing and printing vouchers, administration, accounting, advertising and other services. Chiemgauer is member of a regional currencies' network called Regiogeld e. V. (regiomoney-association).

The Chiemgauer is intended to:^{[citation needed]}

1. Employment creation: students, unemployed and volunteers are hired to work, earning some allowances.
2. Promotion of cultural, educational and environmental activities: the Chiemgauer system supports non-profits who work for such purposes
3. Promotion of sustainability: organic food and renewable energy among others
4. Strengthening the solidarity: enhancing the human relationship between local shoppers and businesses
5. Stimulation of local economy: Chiemgauer retains purchasing power within the region better than the euro and favors local small businesses, stimulating transactions by the demurrage.

Currency issue, exchange and acceptance

Bills of 1, 2, 5, 10, 20, and 50 Chiemgauer are issued. To maintain an individual bill's validity, a "scrip" corresponding to 2% of the banknote value must be paid every three months. (This system, called demurrage, is a form of currency circulation tax and was invented by Silvio Gesell.)

Chiemgauer, considered to be equivalent to the euro, circulates as follows within Prien and neighboring towns:^{[citation needed]}

• Non-profits: entitled to purchase 100 Chiemgauer at €97 and resell them at €100, therefore earning €3 to be spent for their own activities.
• Shoppers: exchange €100 for 100 Chiemgauer at a non-profit they support, allowing the non-profit to benefit from the preferential purchase price. Also, spend Chiemgauer at local businesses at face value, therefore helping both local non-profits and businesses without any further cost.
• Businesses: accept 100 Chiemgauer at face value and spend them for their own purchases or exchange 100 Chiemgauer into €95, losing 5% for commission but earning more by attracting Chiemgauer members to their products and/or services. Of this, €2 is devoted to administrative costs, and €3 replaces the original discount to the non-profit.

Statistics

As of December 2008^[update]:^{[citation needed]}

• Number of members: 3000 (2007: 2400)
• Number of businesses: 600
• Amount of Chiemgauer in circulation: 370000 Chiemgauer (May 2009)
• Turnover (2008): 3000000 Chiemgauer (2007: 2300000 Chiemgauer, 2006: 1450000 Chiemgauer)
• Income for non-profit organizations (2008): 33000 Chiemgauer (2007: 25100 Chiemgauer, 2006: 16800 Chiemgauer)
• Total income for non-profit since inception 2003: 103000 euro

See also

• Urstromtaler
• BerkShares

References

1. ^ ^{a b} Westervelt, Eric; From Stalwart To Skeptic, Germany Rethinks EU Role; NPR; July 2010

• Chiemgauer Regiomoney by Christian Gelleri International Journal of Community Currencies, Vol. 13, 2009.
• Germans get by without the euro The Chiemgauer gains acceptance in Bavaria.
• Regional currencies in Germany - Local competition for the euro?
• Regional Economy Systems as Complement to Globalisation (reason and goal of a regional economy)
• From Stalwart To Skeptic, Germany Rethinks EU Role on the development of microcurrencies in Germany.

External links

• Official website