Chandigarh, December 16, 2024 (Punjab Khabarnama Bureau): There is a widespread discussion across the country that the 5 rupee coin may soon be discontinued. The government and the Reserve Bank of India (RBI) have started seriously considering this. Currently, there are two types of 5 rupee coins in circulation: one made of brass and the other made of a heavier metal. However, the government has now stopped the minting of the heavier metal coins. Let’s explore the reason behind this decision.
The minting of coins and their circulation in the country is done with the approval of the central government. The government directs the Reserve Bank of India, and after that, the RBI mints the coins. However, any decision to ban a coin or note is also made with the government’s consent.
There is a major issue with the 5 rupee coins made of heavy metal. These coins are being used to make blades. A single heavy 5 rupee coin can be used to make 4-5 blades, causing economic losses to the government. This is why the government and RBI have decided to gradually withdraw these coins from circulation.
Currently, coins ranging from 1 rupee to 20 rupees are in circulation in India. From time to time, there are reports of 30 rupee and 50 rupee coins being introduced. However, the ban on the heavy 5 rupee coins has created a stir in the market.
At present, there is an abundant supply of 5 rupee coins made of brass. The minting of heavy metal coins has been completely stopped, and these coins are now rarely seen.
This decision by the government will not have a significant impact on the general public, but it could prove to be an important step towards steering the country’s economy in a better direction.
Summary: The government halted the minting of ₹5 coins due to low circulation and preference for banknotes. This decision aimed to streamline currency production and reduce coin-related issues.