From the very beginning of the modern civilization, it is the coins that played the role of transition valuing something, it might be a product or a service. There are many things we might haven’t noticed on Indian coins, different coins have different symbols and messages. Coming to the context, there are various reasons behind bringing over new coins or denominations. These coins are minted through the SPMCIL mints located in Mumbai, Hyderabad, Kolkata, and Noida.
Now, to much surprise, the Indian government has come forward with an unexpected development. The statement read that the production of Re 1, Rs 2 and Rs 5 coins as of January 8, 2018, is halted. It happened due to the lack of storage space. The decision was reportedly taken as more than 2.5 million coins are in excess and which haven’t been taken by the Reserve Bank of India (RBI) for circulation.
Meanwhile, the mentioned mints are responsible for the production of coins which in turn are circulated by RBI. Talking about the same, the State-run Security Printing and Minting Corporation of India Limited (SPMCIL), which runs the mints, had in a directive on Wednesday said the “production of circulation coins is being stopped with immediate effect”.
In its recent notifications, RBI went saying that the calibration of coin production needs to take place from time to time based on an assessment of the coins in circulation and storage space. Right now, there is no space with banks or the Reserve Bank of India to store the coins. As of now, India’s mint houses reportedly have a capacity of 9.5 billion pieces a year of Re 1, Rs 2 and Rs 5 denomination.
In order to get rid of the situation, Mint Union wants the government to take concrete steps and pick up the manufactured coins from these storage rooms and circulate them throughout the country for everyone’s best.