National Bank of Ukraine Announces Gradual Withdrawal of 10-Copy Coins to Reduce Public Expenditure
The National Bank of Ukraine has announced a strategic move to phase out some of the smallest and most commonly used coins in everyday transactions.
Starting October 1, the regulator will begin the process of removing the 10-kopek coins from cash circulation.
Although these coins will remain legal tender for a certain period, their return to banks will mean they are directed back to the NBU and no longer circulated in cash transactions.
According to the regulator, retail chains, service providers, and banks are already prepared for this process and will accept such coins during settlements, so citizens are not required to exchange or deposit them separately.
The decision aims to reduce costs for the state and business related to the production, transportation, and storage of small coins, of which there are about 5.5 billion in circulation, including over 4.1 billion 10-kopek coins.
The demand for these coins has significantly decreased, while production and servicing costs remain high.
Following their withdrawal, rules for rounding cash register totals will be introduced.
Based on NBU experience, these changes are not expected to significantly impact inflation, as they mainly involve adjusting the total amount on receipts rather than changing prices for individual goods and services.