The Central Bank of Liberia (CBL) has taken a significant step toward strengthening the circulation of Liberian coins, with Governor Henry Saamoi announcing a new policy that will require commercial banks to issue a portion of cash withdrawals in coins.
Under the new directive, beginning Monday, one percent of every Liberian dollar withdrawal from banks will be disbursed in coins. The move is part of a broader strategy aimed at addressing the persistent shortage and low circulation of coins in the Liberian market.
The announcement was made during a formal presentation in which the CBL donated several coin sorting machines to commercial banks across the country. The machines are expected to enhance banks’ capacity to efficiently count, process, and distribute coins to customers.
Governor Saamoi noted that the latest donation builds on similar support provided to banks months ago, emphasizing the CBL’s commitment to ensuring the availability and proper use of coins in daily transactions.
According to him, the initiative was prompted by the limited circulation of coins, a situation he attributed largely to the reluctance of some customers to accept them. He stressed that such refusal undermines the country’s monetary system.
“Refusing coins is the same as rejecting banknotes,” the CBL Governor warned, adding that such actions are in violation of Liberia’s financial regulations, as coins remain legal tender.
The introduction of the one-percent coin disbursement policy is expected to gradually reintroduce coins into everyday transactions, particularly in small-scale commerce where they are most needed.
Financial analysts believe the measure, if effectively implemented, could ease the burden of providing exact change in markets and businesses, while reinforcing public confidence in the full range of Liberia’s currency system.
The CBL has meanwhile urged both financial institutions and the public to cooperate with the new policy, describing it as a necessary step toward improving efficiency and stability in the country’s cash economy.
