Sun.Star multimedia report tackles coin circulation

CEBU CITY-- Coin shortage is becoming a serious problem in the country despite the Bangko Sentral ng Pilipinas (BSP) minting 15.6 billion pieces of coins worth P16.9 billion as of December 2009.

This wide-reaching shortage exists because coins are usually left at home, stored in piggy banks, hiding inside cabinets and car compartments, scattered on top of the refrigerator, gathering dust and forgotten, according to a multimedia special report published by Sun.Star Network Exchange (Sunnex) at http://www.wix.com/sunstaronline/coins.

The report, which looked into the effect of coin shortage on vendors, drivers, business and financial institutions that need these coins to responsibly transact with the public, said each Filipino holds 150 pieces of coins, with the BSP producing more than 11 billion pieces every year.

Cebu Bankers Club (CBC) president Chito Cabaero said, however, the coins are not circulated, “thus the problem is not in the supply of coins but in the circulation."

Watch the full multimedia presentation on coin circulation.

Cabaero, in the Sun.Star multimedia special report, encouraged the public to join in the coin recirculation drive; bring out their coins and deposit them in the banks.

To know where in Cebu City you can deposit or exchange your coins, view the map presented at http://www.wix.com/sunstaronline/coins#!map, along with a message board where readers can leave concerns they wish to relay to the BSP.

"It's as simple as breaking your piggy bank, go to the bank, open an account, deposit it, and let the banks circulate it," Cabaero said.

The CBC is pushing for the coin recirculation as some public utility vehicle drivers, retailers and vendors in Cebu City have also felt the coin shortage, with them having difficulty sourcing coins to provide exact change to passengers and consumers.

"In fact, where to get coins as 'panukli' (change) is our everyday problem," flower and fruit vendors Rosalie Labra and Ethel Pogoy said in separate interviews.

Even jeepney driver Luis Silaya said there is shortage of P1 and 25 cents. "Instead of P7.50, we only get P7 because we don't have 'panukli' (change)."

Cabaero blamed the wide-ranging shortage in coins to the Filipinos’ habit of keeping the coins, as well as to the entrepreneurial spirit of Cebuanos and the growing numbers of Automatic Tubig Machine (ATM), vending and video karera machines.

“Somehow, we find it (coin) more valuable than the paper bill… We are also fond of the sari-sari store. Each store has certain amount of coins, and owners rarely deposit them in the bank…," he said.

As to the coin-operated machines, the multimedia report said an ATM can sometimes hold up to 2,000 pieces of one peso coins for months.

“In high-traffic volume areas, these ATMs can store up to 10,000 coins,” Cabaero said in the report.

With these issues, Cabaero said increasing public awareness on coin recirculation is still the concern the CBC aims to strengthen this year.

“The reason why there's still shortage because people are not aware that they must use it so that the businesses can continue…. People should be informed and encouraged that they should use coins,” he said.

The BSP earlier launched a nationwide coin recirculation program, in partnership with the Education department. The Tulong Barya para sa Eskwela is a multi-sectoral project targeting to benefit public elementary schools.

In this project, banks were enjoined to create an account and provide a container where the public can deposit their coin donations.

The savings from coins that are retrieved through this program, instead of having them minted, are translated to new classrooms and new school buildings in provinces.

The CBC also organized a fun run in 2010 that encouraged participants to pay the registration fee in coins. The registration fee was actually P300, but for those who paid in coins, registration was at P200.