New Bt20 And Bt50 Coins Next Year

[Sherlocke]

The "value" of the metal in the coin is irrelevant (within normal limitations - you wouldn't make it out of gold) -

Usage is a factor - with the increasing use of certain denominations - the tendency is for larger and large denominations to become coins.

This as te value of the unit of currency lowers against goods purchased and/or the increased spending power of the populace.

So you could look at it as the 20 baht replacing say the 5 and the 50 replaccing the ten from a usage point of view seen over a 25 year period (approx) or since whenec=ver the last new coinage was introduced.

Edited December 18, 2009 by Sherlocke

[dantilley]

Usage is a factor - with the increasing use of certain denominations - the tendency is for larger and large denominations to become coins.

This is probably true as a general rule, but some societies are more paper-money focussed than others. Many developing countries (Laos, Camboia for example) have no coins at all. The UK has a £2 coin which would be almost as much a a 100 Baht coin, yet the US still has $1 notes (about 33 Baht). I also believe there's a 500 Euro note in circulation for some European countries who are used to spending large denomination notes. So, each society is different.

[Sherlocke]

Usage is a factor - with the increasing use of certain denominations - the tendency is for larger and large denominations to become coins.

This is probably true as a general rule, but some societies are more paper-money focussed than others. Many developing countries (Laos, Camboia for example) have no coins at all. The UK has a £2 coin which would be almost as much a a 100 Baht coin, yet the US still has $1 notes (about 33 Baht). I also believe there's a 500 Euro note in circulation for some European countries who are used to spending large denomination notes. So, each society is different.

Of course there are differences between countries but the idea of usage will apply at different points in different countries but I think the overall idea is sound.

THe cost of living in UK is quite high compared to Thailand - so this would be in step with the idea of frequency of usage - a high cost of living would require higher "value" coins.

One could ask oneself what would I use to buy a certain comparable item in these countries - would it be predominantly coin or note? (one might for example think of a bowl of noodles compared to a sandwich)

BTW - THere have been £100 notes in UK for decades but they are seldom used. Oddly enough they are issued by the Banks in Scotland where the £1 note clung on for some time longer than in England and Wales - maybe even till now?

There are as you point out cultural leanings toward paper - private banking and money in the US has been incredibly conservative on the whole and piecemeal.

But there may also be a matter of cost in the short term especially in Cambodia. (Coins are initially more expensive to make/buy than paper money) However the average earnings in Cambodia are so low that the "high value" attributed to notes would cut in at a very low level. The riel unit itself is also of very low value.

Edited December 18, 2009 by Sherlocke

[harry8292]

Just shows how fast prices are going up they have to make new coins so the vending machines can put their prices up. i suppose arcade games machines in Phuket beach front you have to put 2x 10b in now you can play with one coin that’s service service for you.

[harry8292]

(and how many of us have had a Vendor refuse to accept a torn Note?)

It's never happened to me nor anyone else I know - I think that's because, generally speaking, Thai bank notes that people receive are in pretty good condition. Try going to India where notes are left to get in awful states, often illegible and falling apart. Someone tole me he once received an Indian banknote which was given to him in small pieces chucked in a plastic bag! I think the banks are a bit quicker to withdraw a fading note here.

So they would screw up an image of Gandhi. It must seem very frowned upon in India. I’m its encouraged in Kashmir they might even burn the lesser notes. i am sure they must abhor the man that stopped them getting independence.

[gosompoi]

I hate coins, I find it hard to believe coins are cheaper than paper notes.

[junkofdavid2]

The better-educated Thais I know seem to not "leave coins" as tips (as many posters on thaivisa suggest), and give small bills (20 to 50 baht) as tip instead; not just to food staff, but to car-parking attendants, security guards near their parked cars, car-washers, etc. ("not nice to give coins" they'd say). I followed this example to play it safe.

Now, with 100 baht as the (presumably) smallest bill, "decent" tipping will become more expensive!!!

.

Edited December 18, 2009 by junkofdavid2

[jitenshaman]

Sign of the times! Money is not worth what it used to be hence the conversion to coinage.

When I was a lad you could buy the whole villages votes for 20 baht....

with a mia noi thrown in for good measure as well.

[Sherlocke]

Should make vote-buying more expensive - how do you nail a 50baht coin to a piece of paper?

[Sherlocke]

I hate coins, I find it hard to believe coins are cheaper than paper notes.

lifetime of a bank note is only a few weeks - unless you are keeping them in your mattress?

coins last for years.

[Chang_paarp]

I hate coins, I find it hard to believe coins are cheaper than paper notes.

lifetime of a bank note is only a few weeks - unless you are keeping them in your mattress?

coins last for years.

To give an example of this, when the Au $1 note was replaced by the coin (early 1980's) it's average life was measured in days, this can add up as a cost of reprinting.

[WinnieTheKhwai]

5000 baht note would be nice. I don't see the need for a 50 baht coin. Heck, I don't see the need for a 50 baht denomination at all. Just 20's and 100's are fine. (or better yet, a 25 one)

[junkofdavid2]

Big denominations like 5,000 would be great, as long as the bank ATMs don't start spitting out ONLY 5,000 notes.

(As some ATMs spit out only 1,000 notes to make things "simple")

[animatic]

They need a 5,000 baht note a lot more.

Ever try and buy property here?

Almost fall over for carrying the cash to the Ampur.

[Jingthing]

1000 baht is big enough. It would be too difficult to change 5000 baht notes if you got stuck with them.

[Sherlocke]

imagine trying to get change with one!

[animatic]

1000 baht is big enough. It would be too difficult to change 5000 baht notes if you got stuck with them.

Try buying a 2 million baht plot with 1,000 baht notes....2,000 notes...

Only worse thing is carrying cash in Yangon for a long trip,

calls for a back pack, since the largest bill is 10,000 kyat about $1US.

All the banks would break 5kBt notes no problems.

Besides, how would you get stuck with them?

There would still be nothing bigger to break into that as change.

[torrenova]

20 baht is OK. 50 baht is too big a value for a coin.

Not too large a value for the beloved baht bus drivers though !

Terrible news for businesses who find it a struggle as it is to get coinage. "non hab" will be the baht bus retort for change from your Bt20 or Bt50 coin. IMHO Bt50 notes are unloved but Bt20 notes are still at the right level for a note. People need a few in transaction money and they don't want coins.

Why not make the Bt20 out of plastic paper ?

[jonwilly]

Gents World Inflation is coming.

Some on the board will remember how prices rocketed in Thailand when the B1,000 note appeared.

A B2 K or B5 K note would just exacerbate the coming disaster.

john

[Sherlocke]

Gents World Inflation is coming.

Some on the board will remember how prices rocketed in Thailand when the B1,000 note appeared.

A B2 K or B5 K note would just exacerbate the coming disaster.

john

this is actually a fallacy - every time any currency changes its denominations they are blamed for price increases which if they actually occurred are down to other coincidental causes - such as "inflation" which by it's nature requires the inception of higher denomination notes. It is as pointed out earlier also subsequent to a higher cost of living.

If your income however keeps pace with inflation it doesn't matter one iota anyhow.

[peecee]

50 baht coin is too much for a coin.

I don't think they would accept 49Bt for it!

[OM3N]

imagine trying to get change with one!

I doubt they will be altering the skytrain machines to accept them, it's hard enough to get it to accept 10s and 5s already!

That being said, I truly hope they get rid of the Satang, I have literally a kilo that I have collected over the past five years haha

Edited December 22, 2009 by OM3N

[Briggsy]

There are 6 denominations of coin currently in use in Thailand, 25 & 50 satang, 1, 2, 5 & 10 Baht.

Bizarrely only 3, sometimes only 2, out of the 6 are accepted in vending machines. These we can call the "mainstream coins".

Of the remaining 3 denominations, only 1 is regularly accepted by traders, bus conductors, etc. We can call this the "grey area coin".

The remaining 2 denominations are more often refused than accepted. We can call these the "pariah coins".

I know of no other nation like this.