Reserve Bank to introduce K20 and K50 coins
Officials at Reserve Bank of Malawi (RBM) say the central bank will soon introduce K20 and K50 coins.
However, director of Currency Management, Muopeni Ngwalo, could not say when the coins will be introduced.
He said the central bank will make official communication whenever it is ready to coin 20 and 50 kwacha denominations.
Ngwalo said it is illegal for people to reject the two notes, as these are still legal tender and should be accepted for transactions at any time.
However, economist Gilbert Kachamba says the introduction of coins would help reduce its demand on the market, resulting in low usage, while on the other hand, reducing the placement costs, which are high.
He said this will also maintain the divisibility.
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This will further tender them completely valueless
It could have been a good improvement if The demand of 20 and 50 notes was at a good rate. On the ground, The demand of the MK 20 has already gone down right now and the demand of the MK 50 is slowly downwardly slopping. Introducing MK 20 note as a coin will completely take it out of the market and the MK 50 note will be used at a lower rate. A proper accessment needs to be made before we end up misusing resources to make coins that either won’t even be used at all or will be used at a very low rate.
What for? The Malawian currency is already in shambles
What will introducing coins do to help us change the economic status of this country
I don’t understand the logic behind this initiative but if it will help in declining the use of these two notes. Why not eliminate it on the market. As such zero demand! Or there is no such law and reserve bank does not hold such power!!!
Is it worthy it to introduce the K50 coin??… For the K20 its okay but am not agreeing with the K50, it will confuse things on the market
My malawi 🇲🇼 my country, my currency.
This will make the K20 and K50 to be valueless.
This is a good development