(ZIZ News) — Effective Wednesday July 1st, the Eastern Caribbean Central Bank (ECCB) will no longer produce and issue the 1¢ and 2¢ coins to commercial banks in the Eastern Caribbean Currency Union.
The banks will no longer issue the coins to consumers during transactions at any of their branches. The ECCB has also advised businesses not to give the coins as change.
However, the coins can still be used to purchase goods and pay for services as they remain legal tender until 30 June 2020.
According to the ECCB, the coins can also be deposited or exchanged for face value at any of the commercial banks within the ECCU during the five-year period.
One of the main reasons behind this decision is the high cost of producing the one and two-cent coins. The bank estimates it will save millions by withdrawing the coins.
Businesses will now have to round off the cost of goods and services to the nearest 5¢ amount.