Totnes Pound

AAA

DEFINITION of 'Totnes Pound'

An alternative currency of Totnes, in Devon, United Kingdom. The Totnes pound is intended to support the local economy, and is an initiative of the Transition Town Totnes Economics and Livelihoods group. The currency was launched in March 2007, and has a value of one Totnes pound to one pound sterling. The currency is backed by sterling that is held in a bank account. The launching group believes that "economic localization is considered to be a key aspect of the transition process, and local currency systems provide the opportunity to strengthen the local economy whilst preventing money from leaking out."

INVESTOPEDIA EXPLAINS 'Totnes Pound'

The benefits of the Totnes pound, as listed on the Transition Town Totnes website, are: To create a stronger local economy by keeping money circulating within the community; to encourage people to think and talk about how they spend money; and to encourage more local trade and encourage tourists to visit local businesses.


The Totnes pound notes (bills) are printed locally on plasticized paper. The Totnes pound has inspired other local currency projects, including the Lewes pound in Lewes, East Sussex.

RELATED TERMS
  1. Fiat Money

    Currency that a government has declared to be legal tender, but ...
  2. Lewes Pound

    A local currency used in Lewes, East Sussex, United Kingdom. ...
  3. Economics

    A social science that studies how individuals, governments, firms ...
  4. Economy

    The large set of inter-related economic production and consumption ...
  5. Currency

    A generally accepted form of money, including coins and paper ...
  6. Gold Standard

    A monetary system in which a country's government allows its ...
Related Articles
  1. How are international exchange rates ...
    Forex

    How are international exchange rates ...

  2. Dual And Multiple Exchange Rates 101
    Forex Education

    Dual And Multiple Exchange Rates 101

  3. What Are Central Banks?
    Personal Finance

    What Are Central Banks?

  4. The Advantage Of Intermarket Analysis
    Active Trading

    The Advantage Of Intermarket Analysis

comments powered by Disqus
Hot Definitions
  1. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  2. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  3. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  4. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
  5. Days Payable Outstanding - DPO

    A company's average payable period. Calculated as: ending accounts payable / (cost of sales/number of days).
  6. Net Sales

    The amount of sales generated by a company after the deduction of returns, allowances for damaged or missing goods and any ...
Trading Center