No Caption

The SA Mint is trying to cut costs by using different metals to mint the 10c coin, and discontinuing production of the 5c coin, following the previous demise of the 2c, 1c and half cent coins.

Hlengani Mathebula, head of strategy and communications at the Reserve Bank, said the 10c bronze alloy coin will be replaced with a copper plated steel coin in order to reduce production costs, but there will be no changes to the design.

In a post-cabinet meeting media briefing this week, cabinet spokesperson Jimmy Manyi said ministers had noted the SA Mint Company's decision to discontinue producing the 5c denomination with effect from April next year.

This will see businesses rounding cash amounts off to the nearest 10c as availability of the 5c coins declines. Credit and debit transactions will be charged at the exact amount.

Mathebula said the 5c coins would remain legal tender.

"The public is encouraged to continue to re-circulate this coin together with all South African coins. Accordingly, all banks and businesses are obliged to continue to accept the 5c coins as legal tender," said Mathebula.

Manyi also said the cabinet had approved the design changes for the following coins:

•  2012 Natura series 24 carat gold coins;
•  2012 R2 and R1 commemorative 24 carat gold coin;
•  2012 R2 Crown size and 2 ½ c silver coins
•  2012 R2 Crown, Olympics Games;
•  2012 R2 Crown, Centenary of the Race to the South Pole, and
•  2012 50c, 20c, 10c and 5c sterling silver commemorative coins.

Common cents no longer common

• 1961 - The 1c and ½c coins were introduced to replace the penny and halfpenny after the proclamation of the Republic of South Africa and the country's breakaway from the British Commonwealth.
• 1965 - A new coin series, which was smaller and contained no silver, was introduced. This series ranged from 1c to 50c.
• 1970s - Production of the ½ c coins is discontinued.
• 2002 - Minting and distribution of the 1c and 2c coins was halted, as it cost about 9c to produce the 1c coin and 11c to produce a 2c coin.
• 2010 - The average value of coins in circulation was R4.1-billion.

Sources: SA Mint Company, SA Reserve Bank