RBM introduces K20 and K50 coins
By Dean Chisambo…….
The Reserve Bank of Malawi (RBM) has announced the introduction of K20 and K50 coins, replacing the current banknotes, effective March 24, 2024.
RBM Governor George Partridge confirmed this development during a press conference in Lilongwe, citing the high frequency of destruction of lower denomination notes.
“Coins, once minted, last for 20 years, while notes last less than a year,” Partridge said.
The central bank receives high demand for the notes, with K4 million pieces of K50 and K6 million pieces of K20 requested annually.
Partridge urged the public not to reject the new coins, emphasizing the need to maintain currency integrity.
The RBM spent K145 billion printing new notes last year.
Economic expert Milliward Tobias sees the introduction of coins as a sign of the currency’s decreasing value but acknowledges their necessity for small and medium-scale traders to access change.
“If lower denomination is scarce, traders may raise prices, making change unavailable,” he said.
The move aims to address the issue of rejected lower denomination notes by traders, which affects the public economically.
