Over at the website of Bank Negara Malaysia — the central bank of Malaysia — there is an inconspicuous survey. The survey begins as it should: it informs readers of the purpose of the survey. The purpose is quite simple: to gauge public’s opinion on some possible changes to the Malaysian coins.
A redesigned coin series!
Oh so I thought until I went through the survey. The real objective of the survey is to gauge public’s opinion of the possibility of reintroducing RM1 coins in the market.
Reading through the survey, there is one possible rationale for such reintroduction because one question asks: If the replacing of the RM1-banknotes with the proposed RM1-coin would result in substantial cost savings to the country, which of these statements best describe your preference?
Hard to disagree with reintroduction if that is the rationale but I am wary of flip-flopping policy. Frequent changes to the coins and banknotes can be confusing for mere mortals on the streets.
Not too long ago in this very decade, the RM1 coins were taken out of circulation in favor of RM1 banknotes. If coin-form enjoys cheaper production cost compared to banknote-form, why were the coins phased out of the market?
If the cost of metal vis-Ã -vis paper or plastic contributes to the answer, I prefer to stick with the current banknotes. Once the economy is out of the woods, prices of metal are likely to go up again. That will again push coins out of circulation in favor of banknotes, if cost is the sole consideration.
But this may be a weak argument on my side. Cost should be a consideration and if BNM can adapt to changing variables, the users should too. Surely for a libertarian like me, opportunity cost is of concern. Furthermore, adaption or re-adaption of RM1 coins is likely to be painless anyway, probably with the exception of those teller machines.
So, adaption is not my main argument against RM1 coins.
The main argument is the weight of the coins. RM1 is probably the most popular denomination for the common people. Having a bagful worth of coins maybe a good idea if the BNM plans to force those lazy bastards who get on the elevator to get to the immediate next floor to do some extra physical movement. For those of us who are less gluttonous in their diet, the extra weight will be a drag.
But that is just me. How about you?
You can help the BNM decides by visiting their website[1] (it is under the Updates section on the right) or directly to a third party website[2] where the survey is actually hosted.
[1] — Bank Negara Malaysia is at www.bnm.gov.my.
[2] — [Public Opinion Survey: Third Malaysian Circulation Coin Series Project. Bank Negara Malaysia. Assessed April 21 2009]
3 replies on “[1958] Of will we see the reintroduction of RM1 coins?”
the old coins were taken away because there were too many fake coins around. after demolishment of rm1 coins, vending machine biz dips to bottom valley. due to our recent 20% inflation raise, re-introducing rm1 coin is like having the real 50cents coins. its a sign of currency devaluation.
Yes I want them back. 2 50 cent coins are still heavier than a 1 dollar coin when you get a ton of them back from the damn self-pay vending machines. Also, to buy a damn Coke you better make sure you have another ton of coins than 1xringgit 1x50cents. There’s also highway toll plazas,have to throw a whole bunch of coins in their face.
I also want back the 2 dollar note. IMHO, 1 dollar coins and 2 dollar notes are way more efficient.
Reason of the phase out : counterfeit RM 1 coins. There is news that the fake coins material cost are ~50cents per coins.
When BNM issues the yellow color RM 1 coins, Thailand already embed the 10bahts coins yellow material into the nickle, to prevent counterfeit. It is a known problem,but the bureaucrats refuse to fix it.
When the problem surface, it is too late. BNM terminate the use of coins just to stop more fake coins continue enter the market.
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