"For millions of Americans, cash is the only form of payment and cash transactions rely on coins to make change," the United States Mint said Photo: AFP
business

Time to change: Virus-hit U.S. urges people to spend coins

5 Comments
By JIM WATSON

The flow of coins through the U.S. economy is the latest victim of the coronavirus pandemic and now the government is asking people to spare a little change to balance out the supply.

Virus restrictions have meant stores doing less business and thus fewer coins are being spent, bunching up the normal flow of quarters, dimes and nickels.

"The problem is the circulation kind of stopped because stores were closed, banks were closed," Federal Reserve Chair Jerome Powell told journalists.

As a result the government has asked people to start parting with their change either by spending it or cashing it in at banks.

It noted that the lopsided flow is a problem because not everyone pays with bank cards or other touch-less options that have surged as people tried to keep their hands clean during the outbreak.

"For millions of Americans, cash is the only form of payment and cash transactions rely on coins to make change," the United States Mint coin-maker said last week.

The Mint said it is track to make 1.6 billion coins a month until the end of the year, a boost over its average production of one billion per month.

"The coin supply problem can be solved with each of us doing our part," it added.

Powell also said the government has created a "coin task force" to tackle the problem.

© 2020 AFP

©2020 GPlusMedia Inc.

5 Comments
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The handling of cash is said to increase the chance of spreading covid-19. Some businesses in Australia has gone completely cashless since the pandemic starts and most are encouraging customers to use cashless payments. I know cash is King in Japan but I had no idea it is also the case in the USA.

4 ( +4 / -0 )

The handling of cash is said to increase the chance of spreading covid-19.

I agree

4 ( +4 / -0 )

Only takes a few seconds to sanitize your cash. If it seems important, why not try it?

2 ( +2 / -0 )

Start lining up buildings with vending machines and stand up arcade games (that have the 2-4th player controller turned off.)

Allow them to accept all coins, including pennies.

And watch people spend like crazy. No human contact.

0 ( +0 / -0 )

The shops in poorer areas can not afford to buy the technology for contactless payments, and the people in those areas are not eligible to hold such devices.

Seems like a sort of endless circle of despair.

0 ( +0 / -0 )

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