Shortage of 5, 10 and 20 euro cent coins in Belgium

[eurocoin]

The Belgian Ministry for Finance has started a campaign to urge people to spend their coins. This due to new shortages. The treasury also mentioned the significant costs for minting new coins. Mainly 1 and 2 euro coins seem to be in short supply in Belgium.

[bart]

Indeed, I find it rather strange that the government since corona-times has urged the population to pay cashless, and now most people pay cashless for about everything they spend, they ask the population to use coins again...

[eurocoin]

My bank in Belgium informed me today that they had no stock of 2 euro coins and that the cash centres were also unable to supply new ones. The coin stocks in Belgium remain a mess.

At the same time shops in the Netherlands keep giving me illogical coins as change, indicating that in the Netherlands there also seems to be a shortage of certain denominations.

[Offa]

Perhaps they should change the metal to make the blanks, there is no shortage of coins in the UK with our coated steel coins for the lower denominations,

[Figleaf]

The way this works is more or less like this:

• Every year, some authority in each member country estimates the net demand for each denomination.
• Net demand per denomination is gross demand minus stocks
• Net demand is minted
• The estimates are necessarily wrong, because future demand depends on too many factors. Surplus minted coins are stored. Shortages are ignored until the next budget year

This situation could be vastly improved upon if the EU would organise a market for trading in coins between mints, as different mints will get different estimates wrong. Organising a market can be done with very low cost.

• The EU types managing euro coin affairs don't seem overworked; they get the job.
• They require all euroland member-states to report on stocks regularly.
• They operate a web site with information on stocks.
• They stimulate coin exchanges between mints with a list of contact points in each euroland country.
• They develop a standard (non-compulsory) coin exchange contract.
• They require reports on customer satisfaction from trading mints.
• They maintain a list of trusted transporters of coins on the basis of customer satisfaction reports; if necessary, they do the same thing with transport insurers.
• They provide intermediation and conflict resolving services to Euroland mints on demand.

I could get this whole thing working within a year at negligible cost.

Yes, I know such trades are already happening. The above would just make them systematic, quicker and more efficient.

Peter

[eurocoin]

The Belgian government has made a video which was aired on 4 Belgian TV channels in recent weeks, and has also made a special webpage to encourage people to use their coins. Their aim is to save on production costs.

There is no country that so desperately and aggresively tries to save on the costs of coin production than Belgium. Completely ridiculous.

[Illioplius]

I have always been wondering – why is it necessary to constantly produce new euro coins? According to various sources (here and here), lifespan of a coin in circulation is between 30 and 40 years. In other words, the oldest euro coins which were put into circulation in 2002 should last roughly until 2032 – 2042. So at least seven more years.

What happens with all the coins if there is a continuous need to produce more? Nota bene, the usage of cash in general decreases; it's without doubt much lower than it was in the early 2000s. In other words, there should be huge amounts of "unwanted" or "unused" coins around. I wonder where they are. If there is a shortage in some country, can't those coins be used there?

[eurocoin]

Recently I realized that the government of Belgium still has an outstanding order with Royal Dutch Mint for the supply of 2 million 2 euro coins. These were to be delivered at the end of this year. The delivery appears to have so far not happened. So maybe, it is once again the Dutch mint that is responsible for a coin shortage.