posted July 31, 2020
by Chris Hill, SVP and CFO | Bankers’ Bank of the West
Over the past several months, two dynamics – the slump in retail activity triggered by the pandemic and a growing reliance on noncash payments – have slowed the speed of coin circulation throughout the country. Today, despite an ample supply of coins in the U.S. economy, our collective quarters, dimes, nickels and pennies aren’t moving as freely as they would under normal conditions.
Unfortunately, the consequences of the coin bottleneck are most acute for the thousands of cash-reliant small businesses and the many Americans whose only payment option is cash. For the good of the economy, we need to speed up the circulation of coins.
The U.S. Mint has stepped up the manufacture of coins and the Federal Reserve Bank has modified its allocation of coin supplies. However, the American public can play a major part in the #getcoinmoving effort simply by spending the coins they have on hand or depositing them at their bank. In fact, the U.S. Coin Task Force estimates that most of the nation’s $48 billion coin supply is “sitting dormant inside America’s 128 million households.”
We invite you to join the grassroots effort to #getcoinmoving quickly into the economy. Raid your piggybank, spend or deposit your coins, and become a hero today!
Chris Hill is a member of the U.S. Coin Task Force.