Seigniorage (pronounce /ˈseɪnjərɪdʒ/ sayn-yə-rij), also spelled seignorage or seigneurage, is the net revenue derived from the issuing of currency. Seigniorage derived from coins arises from the difference between the face value of a coin and the cost of producing, distributing and eventually retiring it from circulation. Seigniorage derived from notes is the difference between the interest earned on securities acquired in exchange for bank notes and the costs of producing and distributing those bank notes. Seigniorage is an important source of revenue for some national banks. In macroeconomics, seigniorage is also referred to as an inflation tax, as government could pay for services by issuing new currency rather than by collecting taxes; the "inflation tax" is paid by those who hold the existing currency.