Commemorative coins have no extra value – SARB

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Published Apr 10, 2017

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Johannesburg

– The South African Reserve Bank (SARB) says commemorative coins are not worth any

more than their face value.

In

a statement issued on Monday, the bank says it is pointing this out because it

has received numerous enquiries on the value of the R5 commemorative

circulation coins.

It

notes that commemorative circulation coins, such as the R5 Griqua Town coin,

are ‘normal’ circulation coins that form part of all the other coins already in

circulation.

“These

circulation coins, whether ‘normal’ or commemorative, are all worth their face

value, which is R5 in the case of the R5 Griqua Town circulation coin.”

It

adds, should consumers receive one of these coins as change, they should not

hold on to it.

“Use

it to make a purchase so that the next person can also experience the beauty of

the coin.”

SARB

explains it issues commemorative circulation coins as part of its currency

production function. “These coins are issued to commemorate a person or an event

that has had a significant impact on society. Such coins are always produced in

large quantities and are made available and accessible to the public at face

value.

Commemorative coins. Picture: SARB

“For

example, the commemorative R5 Nelson Mandela circulation coin that was issued

in 2008 to celebrate the former president’s 90th birthday was, and is, still

worth R5. There could be a buyer willing to pay a higher price to collect such

a commemorative circulation coin but the SARB does not attach a value higher

than the face value to such coins.”

SARB

adds the South African Mint, which is a wholly owned subsidiary of the SARB,

produces numismatic collectors’ coins covering a wide range of themes, such as the

Natura coin series and the Krugerrand series.

“These

are sought after by both domestic and international collectors.”

Read also:  SA launches Mandela coins

The

SA Mint also issues special-edition commemorative coins in limited quantities.

These are accessible to collectors who can afford to pay higher prices, SARB says.

“Such

limited-edition collectors’ coins are usually packaged in capsules and are

accompanied by relevant certificates to prove their authenticity. The

value of these coins is set by the collectors’ market and the SARB cannot and

does not speculate on this value.”

It adds: “Interested consumers and collectors alike are

encouraged to do their research and shop around to compare prices between

dealers before deciding to invest in a coin. Familiarise yourselves with the

differences between ‘normal’ circulation coins, commemorative circulation coins

and collectors’ coins.

“Remember: if you receive the coin as change, it is a

circulation coin and worth only its face value. Likewise, the R5 Griqua Town

commemorative circulation coin is also worth R5. It is not meant to be a

collectors’ item or an investment.”

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