1.2 Billion Fresh Coins Minted, Millions End Up on Tracks and in Ponds

The Reserve Bank of India (RBI) continues to produce large volumes of coins to meet circulation needs across the country. According to the RBI’s Annual Report 2023–24, a total of 12,056 lakh pieces—equivalent to 1.2056 billion coins—across denominations of ₹1, ₹2, ₹5, ₹10, and ₹20 were supplied during the year. Coin supply in India has fluctuated significantly in recent years. In FY 2020–21, the RBI issued more than 3 billion coins, the highest in recent history. This was followed by a sharp decline to 0.8 billion coins in FY 2021–22. The numbers improved slightly in FY 2022–23 with about 1.0 billion coins, and rose further in FY 2023–24 to over 1.2 billion coins. The central bank also reported regular withdrawals of coins from circulation. Every year, approximately 100–120 million coins are removed after being classified as unfit due to wear, damage, or other quality issues. Wasted While RBI officially reports the withdrawal of unfit coins, this figure reflects only those that pass through banks and cash management systems. In practice, the wastage of coins is greater. A portion of coins is lost or rendered unusable in everyday life—whether through people placing them on railway tracks, children using them as play objects, or devotees throwing them into temple ponds and rivers as offerings. These coins rarely return to circulation and effectively reduce the supply available to the economy. Thus, although over a billion new coins are minted each year, a significant fraction is either worn out, damaged, or lost due to social practices and casual misuse. Conclusion The official figures confirm that India’s coinage system remains both vast and dynamic. With over 1.2 billion new coins issued in FY 2023–24 and 100–120 million coins withdrawn as unfit, the RBI faces the dual challenge of ensuring adequate supply while accounting for wastage. Despite the rapid growth of digital payments, coins—especially in the denominations of ₹5 and ₹10—continue to play a vital role in daily life, particularly in rural areas and for small-value exchanges. However, the persistent loss of coins through wear, misuse, and cultural practices underscores the ongoing need for replenishment and careful currency management.