Documents released under Freedom of Information show Chalmers was asked by Reserve Bank governor Philip Lowe whether to replace the image of Queen Elizabeth II on the nation’s smallest note with that of her son or something highlighting First Australians.
Documents show the correspondence between Treasurer Jim Chalmers and RBA governor Philip Lowe over the future of the monarch’s image on the $5 note.Monique Westermann
the new $5 note,which is expected to take up to two years to design and print,would not feature King Charles.
Since 1923,the reigning monarch has featured on the nation’s notes,with Queen Elizabeth on the $5 note since 1992.
The final decision to replace the monarch was made by the full RBA board,whose members were all appointed by former Liberal treasurers Scott Morrison and Josh Frydenberg. Chalmers was told of the move after the board’s discussion.
The FoI documents show there was a phone call between Lowe and Chalmers in the final week of September about the future of the note.
In an email to Chalmers dated October 7,Lowe formally sought the government’s views on whether to replace Queen Elizabeth’s portrait on the note.
“lf the government is of the view that the King’s portrait should be on the $5 banknote,then the bank will proceed on that basis and seek an appropriate image from the palace,” he wrote.
“Alternatively,if the government’s view is that the monarch should no longer be on Australia’s banknotes,the bank will explore a new design that honours the culture and history of the First Australians.
“lt is not our intention to replace the monarch with another individual.”
King Charles III will not appear on the new $5 note with a design honouring First Australians to be used instead.
In a letter to Lowe from Chalmers on December 16,the treasurer said he was happy with an Indigenous representation.
“Your correspondence indicated that the bank is considering replacing the portrait of Queen Elizabeth II on Australia’s $5 banknote with either King Charles III or with a new design that honours the culture and history of First Australians,” he wrote.
“Of these two options presented by the bank,the government would be comfortable with a new design that honours the culture and history of First Australians,assuming a proper process for inclusive consultation is undertaken.”
Last Friday,Lowe told a parliamentary committee the bank had sought the government’s view on a possible change to the note.
“Given the national significance of the issue,the board decided to consult the Australian government before it made a decision,” he said.
“In response,the government indicated its support for a design that honoured the First Australians.”
Chalmers said on Monday he believed the bank had struck the right balance on the issue,with King Charles to be represented on all Australian coins.
“It was the Reserve Bank’s decision to make the next $5 banknote feature a design honouring the culture,history and heritage of First Australians,” he said.
“In making the decision,the governor consulted the government and we said we would be comfortable with an Indigenous design following a consultation process.”
The documents show the RBA has about three years’ worth of $5 notes with Queen Elizabeth’s image.
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