Understanding the value of SA coins: Why Madiba R5 coins are worth R5
Have you ever wondered about the evolution of the South African coins?
SA Mint and SA Banknote company group executive Mogam Pillay says in currency was changed to rands in 1961.
He says the R1 coin was issued in 1967 and the R5 coin in 1994.
We have also discontinued some coins over that period. The 1c and 2c coins were discounted n 2002 and in 2012, we discontinued the 5c coin.Mogam Pillay, Group Executive - SA Mint and SA Banknote company
Any coin that is issued by the South African Reserve Bank (SARB) is legal tender, it has a face value, it has the reliability that it will be backed by SARB and is fully valid.Mogam Pillay, Group executive - SA Mint and SA Banknote company
Pillay says all coins that were issued as legal tender are still valid. He adds that you can take them to the bank to exchange them.
He explains the types of values each coin has.
We have circulation coins, I refer to them as the change in your pocket. The value of these coins is basically their face value. If it is a R5 coin, it is valued at R5.Mogam Pillay, Group executive - SA Mint and SA Banknote company
We then have collectable coins and these are usually made from precious metal. It does carry legal tender status and if it's a R2 coin made out of silver then it would have a legal tender value of R2. They generally sell for than their face value by collectors.Mogam Pillay, Group executive - SA Mint and SA Banknote company
Then we have the Bullion coins and these are generally Kruger coins. These coins have a face value that is determined by the price of the precious metal at any point in time.Mogam Pillay, Group executive - SA Mint and SA Banknote company
SARB head of currency management Pearl Kgaledi says there are a few issues that need to be considered before they introduced a R10 coin.
There are concerns around the uptake from the public and therefore there is currently no appetite for the Reserve Bank to move to that note.Peal Kgalegi, Currency management head - SARB
Listen to the full discussion here: