Ezulwini– The Central Bank of Eswatini (CBE) is turning to an E10 coin as a potentially more durable alternative to one of the country’s most widely circulated banknote denominations, with the regulator citing the high wear and tear suffered by the existing note.
Deputy Director Operations Currency amd Banking Zodwa Nkambule said the E10 banknote was heavily used and therefore required frequent replacement, making durability an important consideration in the Bank’s decision to introduce an E10 coin.
The coin, which is being prepared as part of the country’s 60th Independence Anniversary celebrations, will circulate alongside the existing E10 banknote.Nkambule said the decision to introduce the coin was informed partly by the significantly longer lifespan of coins compared with banknotes.
According to the Deputy Director coins can typically remain in circulation for between 20 and 50 years, while banknotes generally last between one and five years.“The introduction of the E10 coin therefore provides an opportunity to improve efficiency while maintaining the quality and reliability of currency available to the public,” Nkambule said.
The difference in lifespan could be significant for a denomination such as the E10, which experiences considerable circulation and consequently becomes worn more quickly.The replacement of worn banknotes forms part of the ongoing management of currency by the central bank and carries costs associated with producing and putting new notes into circulation.
The proposed coin therefore gives the CBE an opportunity to assess whether a more durable form of the E10 denomination could improve efficiency over time.However, the Bank is not withdrawing the existing E10 banknote.
CBE Governor Dr.Phil Mnisi made it clear that the introduction of the coin would not demonetise the current note, meaning members of the public will continue to use the E10 banknote as legal tender alongside the new coin.
“The Central Bank of Eswatini will not demonetize the current E10 banknote. The banknote will continue to be accepted as legal tender,” he said.Mnisi said the commemorative E10 coin would allow the Bank to gauge how the public responds to having a coin at a denomination higher than those traditionally used in the country.
The coin is among the CBE’s approved operational projects for the 2026/27 financial year and falls within its mandate to issue and redeem currency.
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