Kamruzzaman Bablu :
It is not long ago when coins of various denominations were frequently transacted in the day to day market alongside currency notes, but nowadays the metallic money with smaller values have ceased to function.
The lack of policy support and the central bank’s failure to control transactions using coins are attributed to the cause of their disappearance from the retail markets.
Sources said, instead of facilitating smaller transactions, they have stored it in the Bangladesh Bank vault, thus leading to crisis in the retail transactions by end users.
Banking sources said that except in some departmental stores or shopping malls, coins are not much used in the market. Many people also save coins to replace them with paper notes in course of time.
A source in the central bank said it has an accumulation of coins worth Tk500 crore of different values of 1 paisa, 5 paisa, 10 paisa, 25 paisa and 50 paisa, Tk1, Tk2 and Tk5.
Of the smallest denominations of currency, 1 paisa, 5 paisa, 10 paisa, 25 paisa and 50 paisa have lost their use in the market, but Tk1, Tk2 and Tk5 remain idle in the vault despite their necessity in the field of transactions.
As the central bank’s vaults are almost overstocked with huge coins, it has directed banks to accept coins according to limits fixed on the basis of their branches size. The limit starts from Tk 5,000 to Tk 30,000 depending on branches size.
Cashing in on the limit, some vested interests are collecting coins from the market and pouring them into the central bank’s stock.
On the other hand, businesses alleged that different branches of scheduled banks across Bangladesh refused to accept coins from them.
A Narsingdi Bakery owner Abul Khair told the New Nation that he has around Tk13 lakh in the form of coins, but the banks in his area are reluctant to take them.
“I am now at a loss, since the banks are not taking the coins from me. I am running my business with bank loan. What shall I do if the banks do not accept coins?” Khair questioned.
According to the central bank directive, individual banks are bound to accept coins valuing Tk1,000 from a person daily.
It is noticed that the banks are disinterested in taking coins due to counting difficulty, thus disregarding the central bank’s instruction.
When contacted, Bangladesh Bank Executive Director Subhankar Saha said that all the authorised banks have to comply with the directive issued by the Bangladesh Bank and stern actions will be taken against those who ignore.
Almost all the countries in the world have made their coins an integral part of daily transactions and they do not have same currency notes of same value, but Bangladesh has both.
It is not long ago when coins of various denominations were frequently transacted in the day to day market alongside currency notes, but nowadays the metallic money with smaller values have ceased to function.
The lack of policy support and the central bank’s failure to control transactions using coins are attributed to the cause of their disappearance from the retail markets.
Sources said, instead of facilitating smaller transactions, they have stored it in the Bangladesh Bank vault, thus leading to crisis in the retail transactions by end users.
Banking sources said that except in some departmental stores or shopping malls, coins are not much used in the market. Many people also save coins to replace them with paper notes in course of time.
A source in the central bank said it has an accumulation of coins worth Tk500 crore of different values of 1 paisa, 5 paisa, 10 paisa, 25 paisa and 50 paisa, Tk1, Tk2 and Tk5.
Of the smallest denominations of currency, 1 paisa, 5 paisa, 10 paisa, 25 paisa and 50 paisa have lost their use in the market, but Tk1, Tk2 and Tk5 remain idle in the vault despite their necessity in the field of transactions.
As the central bank’s vaults are almost overstocked with huge coins, it has directed banks to accept coins according to limits fixed on the basis of their branches size. The limit starts from Tk 5,000 to Tk 30,000 depending on branches size.
Cashing in on the limit, some vested interests are collecting coins from the market and pouring them into the central bank’s stock.
On the other hand, businesses alleged that different branches of scheduled banks across Bangladesh refused to accept coins from them.
A Narsingdi Bakery owner Abul Khair told the New Nation that he has around Tk13 lakh in the form of coins, but the banks in his area are reluctant to take them.
“I am now at a loss, since the banks are not taking the coins from me. I am running my business with bank loan. What shall I do if the banks do not accept coins?” Khair questioned.
According to the central bank directive, individual banks are bound to accept coins valuing Tk1,000 from a person daily.
It is noticed that the banks are disinterested in taking coins due to counting difficulty, thus disregarding the central bank’s instruction.
When contacted, Bangladesh Bank Executive Director Subhankar Saha said that all the authorised banks have to comply with the directive issued by the Bangladesh Bank and stern actions will be taken against those who ignore.
Almost all the countries in the world have made their coins an integral part of daily transactions and they do not have same currency notes of same value, but Bangladesh has both.
