In a groundbreaking move, the Bangko Sentral ng Pilipinas (BSP) has joined forces with leading mall giants, SM Retail, Inc., Robinsons Supermarket Corporation, and Filinvest Lifemalls Corporation, to introduce an innovative solution to the nation's coin shortage and enhance the shift towards digital transactions. The Coin Deposit Machines (CoDMs) are now positioned at select mall locations, offering an enticing blend of convenience, sustainability, and rewards for the Filipino people.

Addressing the Coin Conundrum

The CoDMs, now available in SM Mall of Asia (MOA) in Pasay City, Robinsons Place Ermita in the City Manila, and Festival Supermall in Muntinlupa City, among other locations, are not just a remedy for the artificial coin shortage in the country. They also address the issue of coins being kept in people's homes, rarely seeing circulation.

BSP Governor Felipe Medalla highlighted the importance of ensuring coins change hands frequently, ideally once a week, to maintain a steady supply. However, reality has seen some coins hoarded for up to six months, placing increased pressure on the need for new coin production.

A Retail-Driven Solution

What sets this initiative apart is the collaboration between the central bank and major retail establishments, who view coins as both a business necessity and a social responsibility. Governor Medalla expressed gratitude for the malls' involvement, acknowledging that many banks are hesitant to handle large coin supplies. This alliance showcases how the private and public sectors can work together to benefit the entire nation.

Coins to Cash, Vouchers, or Digital Wallets

To make the coin-to-cash conversion seamless, depositors only need to input their GCash account numbers into the CoDMs. 

This process allows the deposited coin amount to be instantly credited to their electronic wallets. The minimum deposit amount is P100, with the maximum depending on the individual wallet's limit.

The machine accepts all denominations (i.e., 1-, 5-, 10-, and 25-Sentimo; and 1-, 5-, 10-, and 20-Piso) of the BSP Coin Series and the New Generation Currency Coin Series.

In using the machines, the BSP reminds customers that coins to be deposited must not be taped or bundled; must not come with other objects like buttons, magnets, nails, tokens, screws, or washers; and are gently placed in the coin slot in handfuls.   

The BSP also advises customers to make sure that their e-wallet accounts are valid, active, and within the prescribed transaction limits.

For those choosing to deposit coins in SM Malls and Festival Mall, the option to receive SM shopping vouchers in lieu of cash is also available, with no minimum or maximum limit on the coins for conversion. These vouchers can be used for in-store transactions across SM Stores nationwide.

Coin Quality Assurance

To ensure the CoDMs operate efficiently, only coins from the BSP Coin Series and the New Generation Currency (NGC) that are fit and not mutilated will be accepted. This quality control measure guarantees a smooth process for users while promoting the recirculation of high-quality coins.

Expanding the CoDM Network

The BSP plans to deploy 25 CoDMs across select Greater Manila Area branches of partner establishments this year. An extensive assessment of the program's success will follow, with the possibility of expanding the initiative to other regions on the horizon.

Beyond Coin Recycling: Fostering Digital Transactions

This initiative not only tackles coin recirculation but also aligns with the national agenda to boost digital transactions. Governor Medalla proudly revealed that e-wallet account numbers have doubled, surpassing traditional ATM withdrawals and checking accounts. 

The surge in InstaPay and PesoNet transactions underscores the success of the government's strategy to shift towards digital financial transactions. 

The BSP aims to increase digital payments to 50 percent of total retail transactions by the end of 2023.

In a span of just a few months, this collaborative venture between the BSP and major malls is shaping up to be a game-changer. It not only promises to alleviate the coin shortage but also supports the nation's digital transformation, bringing the Philippines one step closer to a more efficient and sustainable financial ecosystem.

Deposits at the CoDMs reached over P37.5 million worth of coins, with over 20,000 transactions, as of August 15, 2023.

According to BSP, their latest data revealed that the coins deposited into the machines were mostly credited to customers’ e-wallets, while a portion was exchanged for shopping vouchers. 

Meanwhile, for a list of locations near you, please visit bsp.gov.ph or their official Facebook page: facebook.com/BangkoSentralngPilipinas. (PIA-NCR)