Taiwan to keep NT$1 coin in circulation despite losses: Central bank

Taipei, June 10 (CNA) Despite the production cost of Taiwan's NT$1 (US$0.03) coin exceeding its face value, the central bank said Monday that it has no plan to halt circulation due to continued public demand.

The statement comes amid a global trend to phase out low-denomination coins, with the U.S. Treasury announcing last month it will stop minting the one-cent coin (penny) in early 2026.

In a Facebook post, Taiwan's central bank said international inflation and rising material costs have led many countries to reconsider small-denomination coins. For example, the cost of minting a U.S. penny has nearly tripled over the past decade to US$0.0369, and discontinuing it could save the U.S. government tens of millions of dollars annually.

Taiwan faces a similar situation, the central bank said, pointing out that as of February 2025, over 8 billion NT$1 coins were in circulation. However, 2023 data showed that each coin already cost NT$1.54 to produce, well above its face value.

Despite this, the central bank emphasized that it will not stop issuing the coin, citing ongoing public use, but instead encouraged the public to ensure the recirculation of unused coins.

The bank launched a coin recirculation program in 2014 to allow people to deposit coins at convenience stores, supermarket chains, and through electronic wallets such as EasyCard, while major metro systems and some ATMs also support coin deposits.

The bank said coin recovery volumes have been rising and net issuance is declining annually, suggesting the initiative has been effective.