‘Return coins to the bank’

The cost of minting new coins is one of the main areas of expenditure for the East Caribbean Central Bank (ECCB), therefore users of the EC currency have been asked to return their coins to commercial banks for re-circulation.{{more}}

Giving the Bank’s 2006/2007 Annual Report last week Thursday, Governor of the ECCB Sir Dwight Venner said one of the main challenges affecting the supply of currency is the cost associated with minting new coins and transporting the currency to member states in an efficient manner.

Elaborating, he said, “In fact, since our currency related costs are among the largest items on the ECCB’s income and expenditure statement, we have to make every effort to contain them, and you, the members of the public, have an important part to play in this regard. Costs incurred for minting new coins are the direct result of the non-return of coins to the system. We are appealing to you to return your EC coins to the commercial banks”.

Despite this, and the increased demand resulting from the hosting of ICC Cricket World Cup, the Governor said the Bank was able to fully satisfy the countries’ currency requirements throughout the year.

He said that as at March 31, 2007, EC Currency in circulation was $706 million, of which banknotes accounted for $641 million, and coins amounted to $65 million.

Describing 2006/2007 as a successful year overall, Sir Dwight said that as at March 31, 2007, the Bank’s total assets stood at $2.1 billion, an increase of $247m or 13.4 per cent, when compared with the position last year. The increase, he said, reflected in an expansion of $282m or 17.6 per cent in foreign reserve to $1.9 billion, was due primarily to heightened economic activity in the ECCU, mainly in the construction and tourism sectors in preparation for ICC Cricket World Cup 2007.

The Governor said in 2007/2008, as the OECS countries move towards an economic union, the focus of the ECCB’s operations will be on “Improving efficiencies at all levels within the institution as we carry out our new responsibilities, while, at the same time, ensuring the stability of the currency, the safety and soundness of the financial system and the growth and development of the member countries”.