I need "Change"

SVK

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Taking discussion ahead from this thread - http://broadbandforum.in/general-discussions/15750-50-paisa-coins-no-longer/
I have recently seen decline in all sorts of change/coins. If we go to any shop, the cash vendor is very reluctant to give Rs 3~4 back in form of coins, instead they ask us to give Rs 1~2 so they can give Rs 5. But if they have to return Rs 5, even then they are reluctant, and ask us instead to give Rs 5 coin. Some of them are smart and keep Rs 5 currency notes in very bad/torn state, that we can't accept it, and give Rs 5 to them.

I asked several shopkeepers that why they don't give "change" back and give chocolates, to that he replied that they too don't get coins and have to "purchase coins" with 12~14% commission (to get 100 Re 1 coins, they pay Rs 112~114).

Why are we facing this scarcity of coins? where are all the coins minted getting lost? Is there some racket behind disappearance of coins?

I once heard from somebody that we can get coins in exchange of currency notes in bank, is such facility available at any banks?
 

Sushubh

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coins are probably more valuable as metal than what they represent. i guess people are minting them for sale as raw metal leading to shortage? :p
 

Saurav

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i heard this long time back - coins are smuggled out of india to bangladesh (and some more places, don't remember name) and there the coins are used to make razor blades! :pi don't know if 'smuggle' is the right word.
 


SVK

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I was not aware of this 'smuggling' of Indian coins. But if it is happening, then RBI and central govt must step in and need to take some serious action.Besides major chunk of coins disappear in donation box at temples. I read in local newspaper that about 1~2 truck full of coins are collected daily during some festival. That happens in temple which is not at Tirupati/Shirdi, so we can imagine amount of coins colleted at Tirupati and Shirdi. Then lots of people offer coins to river, which ends life of that coin and its circulation. Govt should take control of all the coins collected in such big temples and bring all those coins in circulation to avoid shortage of coins.
 

amish

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Coins at temple cycle. Temples mostly give it back to people who want change.Unless that smuggling thing is true, in which case temple coins can be easy source for smugglers.But I doubt that our coins real metal worth is more than the printed cost.
 

ulysses

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you dont know the racket RBI oficers are running thro touts/select Registered private money changers in giving new notes/coins etc.coins are melted for ore value indeed.some people have a nice side buiness (10%)selling small notes and coins to hotels/shops.
 


amish

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Ummm.. do we have any source which gives exact EXPENSE incurred by govt for making 1Re coin, 2 Rs coin, 5 Rs coin?
 

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