BSP Set to Install Coin Deposit Machines to Boost Circulation

To improve the country’s coin circulation in the economy, the Bangko Sentral ng Pilipinas (BSP) is planning to install coin deposit machines located in retail areas across nearby provinces and Metro Manila.

The BSP has said that it has signed a memorandum of agreement (MOA)  with several retailers regarding the deployment of these coin deposit machines in malls, stores, and other areas.

Retailers include SM Retail Inc, Robinsons Supermarket Corp, and Filinvest Land Inc. As per the MOA, an estimated 25 of these coin deposit machines will be initially deployed.

The BSP has also mentioned that these coin deposit machines would be automated and will permit its users to deposit coins and redeem the accumulated value from partner retail establishments via reward card points or shopping vouchers.

Users can also choose to credit the amount straight into their electronic wallets or bank accounts.

“There is a problem when it comes to recirculating coins: some people hoard or collect them while some people leave them behind altogether, leading to an artificial coin shortage. This defeats their intended purpose as a medium of exchange,” says BSP Governor Felipe M. Medalla.

For the coins to be collected from the machines, coins still deemed fit will be placed back into circulation via a change from over-the-counter payments done with partner retailers.

Those coins deemed unfit will be retired by the BSP and removed from circulation.

“That’s why we hope that this project will solve problems for everyone: businesses, financial institutions, and the public. I’m very optimistic that after a two-year pilot run, we will be able to deploy these machines [in more locations] and I am confident that the benefits will be realized,”  added Governor Medalla.

Source: Business Mirror