The lira might “vanish” from circulation by the end of next week as more Maltese people have decided to get rid of their liri and start using solely the euro.

This was confirmed yesterday both by Finance Parliamentary Secretary Tonio Fenech and the National Euro Changeover Committee (NECC) Chairman Joe F. X. Zahra after visiting retailers in Valley Road, Birkirkara.

Mr Zahra explained that national currencies took between 10 to 15 days to come out of circulation in the 13 countries that adopted the euro prior to Malta and Cyprus. The Maltese currency is thus expected to vanish from circulation by the end of next week as 56 per cent of the Maltese have already started paying only in euro. He added that Malta placed third in the currency uptake among eurozone members.

Furthermore, according to a Eurobarometer survey, 38 per cent of the Maltese were carrying only euro notes while 46 per cent were carrying only euro coins in their pockets on Thursday.

The committee’s executive director, Alan Camilleri, said 20 per cent of the currency in circulation has been replaced by euros.

It is expected that 15 per cent of the Maltese liri will be “lost” and never exchanged into euros, as happened in Ireland and Slovenia. Some of this currency could be voluntarily kept as a remembrance of the old currency.

Such statistics prove that the Maltese have embraced the new currency with greater enthusiasm than the Cypriots or the Slovenians, who went through the changeover a year ago.

According to the Eurobarometer, 14 per cent of Cypriots and 30 per cent of Slovenians were carrying only euro notes while 23 per cent of Cypriots and 40 per cent of Slovenians were carrying only euro coins on the third day following the adoption of the new currency.

Furthermore, an NECC survey showed that 96 per cent of interviewees said they received their change in euro. Mr Zahra said this fact is highly plausible as the law contemplates that change could be given in lira if euro floats were depleted.

Another NECC survey showed that more than half of the 350 retailers interviewed said it was easy to get cash from banks, while 17 per cent said it was difficult. On the other hand, 90 per cent said they had enough cash in order to give change.

Problems arising from change have compelled the Public Transport Association (ATP) into refusing to accept Maltese denomination, since customers were presenting Lm10 or Lm20 notes for a 20c ticket. This heavily jeopardised the efficiency of the service as the country’s roads were being clogged by buses parked at the side while drivers were calculating the correct change and wait for their patrons to double check.

After negotiations between the association, the Malta Transport Authority (ADT), NECC and the Roads and Urban Development Ministry, a trade-off was reached. In fact, bus drivers accepted only exact Maltese change, while they were accepting euros. The ADT provided extra staff for its vending stations in order to help out with the distributing of change.

ATP president Victor Spiteri said the major part of the population started paying their fee in exact change, thus jams have diminished significantly. An ADT spokesman said commuters are starting to get used to the new currency. It was also revealed that the ticketing machines had a hitch on Wednesday as they were set to stop functioning upon reaching Lm250 worth of tickets. It was only after a number of machines stopped operating that it dawned upon those responsible that Lm250 was not equal to e250. The situation has now been amended and the limit is set to between e600 and e650.

The popularity of the new currency is also reflected by the 100,000 transactions carried out by local ATMs in less than 100 hours since 1 January, 34,600 of which were carried out on Thursday. Thus, withdrawals since 1 January amounted to e11.1million, e4.1million of which were carried out on Thursday.

There were also 73,000 transactions, amounting to e41.3million, that were carried out within bank branches on the first three days of the year. This means 480 per cent more business than last year.

Mr Zahra pointed out that bank business on Wednesday and Thursday was roughly the same, which he said is indicative of the fact that banks were working at full capacity. This is also conducive to the Maltese notorious habit of keeping large amounts of cash in hand.

The strain on banks was evident yesterday as winding queues formed outside branches throughout the island, especially at major commercial centres.

People queuing outside banks told this newspaper they could not understand how as few as three cashiers could handle such an enormous amount of customers. “I have been waiting for over half an hour and expect to wait for quite some time,” a woman said. Another woman complained that she had been told on Thursday to go to the bank for a service that was unavailable, as she learnt after two hours of queuing. In fact, banks started offering their full services only yesterday.

A man complained that such delays could have been avoided had euro starter packs been worth more than e11.65 (Lm5)

However, Birkirkara shopkeepers were not as desperate according to what they told PS Fenech during his walkabout down Valley Road.

The general feeling was that the more we get over the lira, the better. A shopkeeper said he was dead afraid of the changeover since prices are perceived as higher in euro, but he has got over his fear, especially since prices are lower because of January sales.

A customer needed some help from a shoe shop attendant, who later recounted how he needs to show to the elderly shoppers that he is giving them fair change. Another shopkeeper said she relied on her automated system which translated change for Maltese currency into euro.

Mr Fenech said the information campaigns and the trust people have in retailers has encouraged consumers to embrace the new currency wholeheartedly. This enthusiasm, he said, is making people complain that the dual circulation period is too long. He appealed to people to give correct change in liri and try to carry out their transactions in euro.

The Parliamentary Secretary was firm in holding that the NECC is investigating each and every report filed in by consumers saying that retailers had rounded up their prices.

Mr Camilleri said that euro observers at centres were instructed to start investigating each report filed by consumers immediately. He explained how the NECC first issues a warning against any retailers found abusing the system who are given a fortnight to change their ways, after which they are warned for a second time and given three days chance. Then they would be fined e1,747.03 (Lm750) once and e174.70 (Lm75) for each day until prices are brought back to their original level.

Mr Fenech referred to complaints filed with regard to doctors who have rounded up their fees. He appealed to professionals to abide by the law and leave their fees unchanged.

Later in the day, NECC informed this newspaper that it had issued directives to two clinics to lower down their fees, while a Valletta establishment immediately lowered its prices, which it had rounded up by e0.01.