The Bangko Sentral ng Pilipinas (BSP) and its partner retailers signed a Memorandum of Agreement (MOA) to deploy Coin Deposit Machines (CoDM) in an effort to promote efficient coin recirculation in the country.
In a ceremony held at the BSP Head Office in Manila, BSP Governor Felipe M. Medalla signed the MOA with SM Retail Inc. Controllership and Financial Planning Senior Vice President Jonathan H. Ng, Filinvest Land Inc. Deputy Chief Finance Officer Janeth B. de los Reyes, and Robinsons Supermarket Managing Director Stanley C. Co to deploy 25 coin deposit machines in select retail establishments located in Greater Manila and nearby provinces.
Automated CoDMs will allow customers to conveniently deposit coins and redeem their accumulated value from partner retail establishments through shopping vouchers or rewards card points. Alternately, customers may opt to directly credit the amount to their participating bank accounts or electronic wallets.
Fit coins collected from the machines will be returned into circulation when partner retailers use them as change for over-the-counter payments of good and services. Unfit coins, on the other hand, will be removed from circulation and subsequently retired by the BSP.
“There is a problem when it comes to recirculating coins: some people hoard or collect them while some people leave them behind altogether, leading to an artificial coin shortage. This defeats their intended purpose as a medium of exchange,” said Governor Medalla.
Coins per capita rose by 584 percent over the past 17 years, up to 342 pieces in June 2022 from 50 pieces in 2005 as the BSP increased coin production to meet growing demand.
“That’s why we hope that this project will solve problems for everyone: businesses, financial institutions, and the public. I’m very optimistic that after a two-year pilot run, we will be able to deploy these machines [in more locations] and I am confident that the benefits will be realized,” the Governor added.
In addition to coin recirculation, the CoDM Project also supports the BSP’s efforts to promote digitalization and financial inclusion by allowing auto-crediting to bank accounts or electronic wallets.
Also present at the event were BSP Deputy Governor (DG) Bernadette T. Romulo-Puyat, BSP DG Mamerto E. Tangonan, BSP Senior Assistant Governor (SAG) and General Counsel Elmore O. Capule, BSP SAG Edna C. Villa, SM Retail Inc. Vice President for Treasury Jeffrey L. Ang, Festival Mall and Filinvest City Retail Assistant Vice President Marvin V. Mendoza, and Robinsons Retail Holdings Inc. Assistant Vice President Graciela A. Banatao. ###