1 00:00:00,080 --> 00:00:01,680 Speaker 1: Turn new ten cent coin is on the way. The 2 00:00:01,720 --> 00:00:03,800 Speaker 1: Reserve Bank has been given the green light to put 3 00:00:03,880 --> 00:00:05,800 Speaker 1: King Charles on the coin, so we're making them in 4 00:00:05,840 --> 00:00:07,840 Speaker 1: Canada and you'll see them in your wallet or your 5 00:00:07,920 --> 00:00:11,680 Speaker 1: car Estra by twenty twenty seven, Director of Money and 6 00:00:11,840 --> 00:00:14,040 Speaker 1: Cash at the Reserve Banking In Wolfed's with us Ian 7 00:00:14,120 --> 00:00:17,840 Speaker 1: Morning Morning, Mike. Why does this take so long because 8 00:00:17,840 --> 00:00:19,920 Speaker 1: the king arrived in twenty three and we won't get 9 00:00:19,920 --> 00:00:21,120 Speaker 1: the money till twenty seven. 10 00:00:22,480 --> 00:00:25,840 Speaker 2: Yeah, we checked in with the Palace a few years 11 00:00:25,840 --> 00:00:28,520 Speaker 2: ago and we got some pretty clear advice, which was, 12 00:00:30,240 --> 00:00:33,960 Speaker 2: you know, not to be wasteful. We've got quite a 13 00:00:33,960 --> 00:00:37,960 Speaker 2: big inventory because it's really important to us that banknotes 14 00:00:37,960 --> 00:00:41,080 Speaker 2: and coins are available when people need them. So we 15 00:00:41,800 --> 00:00:46,440 Speaker 2: hold quite a buffer and it takes quite a while 16 00:00:46,479 --> 00:00:50,000 Speaker 2: to do the production and then get it moved from Canada. 17 00:00:50,159 --> 00:00:52,880 Speaker 2: We need to work with the industry to make sure 18 00:00:52,920 --> 00:00:55,800 Speaker 2: the coin is accepting machines or work. There's actually a 19 00:00:55,840 --> 00:00:57,800 Speaker 2: bit more sort of science and a coin than than 20 00:00:57,880 --> 00:00:58,680 Speaker 2: people understand. 21 00:00:58,760 --> 00:01:01,520 Speaker 1: I'm sure that's true. Who decides on whether it's a 22 00:01:01,560 --> 00:01:05,080 Speaker 1: ten to twenty or fifty. 23 00:01:05,760 --> 00:01:08,759 Speaker 2: Well, the reason why we're going with tens at the moment. 24 00:01:08,760 --> 00:01:12,800 Speaker 2: It just reflects where our inventory's at, so they're the 25 00:01:12,800 --> 00:01:14,480 Speaker 2: ones that we need to stock up a bit on. 26 00:01:14,680 --> 00:01:16,240 Speaker 2: So that's just the first. 27 00:01:15,959 --> 00:01:17,720 Speaker 1: Cab off the rank, and then you'll do twenty, and 28 00:01:17,720 --> 00:01:18,560 Speaker 1: then you do fifty. 29 00:01:19,480 --> 00:01:20,399 Speaker 2: Yeah, yeah, that's right. 30 00:01:20,640 --> 00:01:22,319 Speaker 1: How much does it cost to make a tense? The 31 00:01:22,319 --> 00:01:23,880 Speaker 1: only reason I asked this is I found out this 32 00:01:23,880 --> 00:01:26,160 Speaker 1: week it costs thirteen cents to make a nickel. 33 00:01:28,200 --> 00:01:31,400 Speaker 2: Yeah. No, and apparently it costs more than a penny 34 00:01:31,440 --> 00:01:34,560 Speaker 2: to make a penny. Yes, it actually only I mean, 35 00:01:34,560 --> 00:01:37,200 Speaker 2: it's commercially sensitive, but it's just a couple of cents. 36 00:01:37,360 --> 00:01:38,160 Speaker 2: And actually that. 37 00:01:38,760 --> 00:01:41,080 Speaker 1: So it's cheaper to make a ten cent than So 38 00:01:41,120 --> 00:01:42,760 Speaker 1: how come they're so expensive in America. 39 00:01:44,720 --> 00:01:47,840 Speaker 2: I don't really know the details of what's going on 40 00:01:47,880 --> 00:01:51,440 Speaker 2: in America, but this is how central banks actually make 41 00:01:51,600 --> 00:01:56,720 Speaker 2: their money. So, without getting too technical, you know, when 42 00:01:56,760 --> 00:01:59,360 Speaker 2: we produce a coin or a bank note, it costs 43 00:01:59,360 --> 00:02:01,280 Speaker 2: a few cents on the dollar, and then when we 44 00:02:02,000 --> 00:02:04,440 Speaker 2: release it to the public, it goes onto a balance 45 00:02:04,480 --> 00:02:07,240 Speaker 2: sheet at face for you. So a ten cent coin 46 00:02:07,320 --> 00:02:10,000 Speaker 2: might only cost a few a few cents, so there's 47 00:02:10,000 --> 00:02:13,600 Speaker 2: a little bit more money that we make. But you know, 48 00:02:13,720 --> 00:02:17,359 Speaker 2: one hundred dollar bank note, a few cents a good coin. 49 00:02:18,120 --> 00:02:20,400 Speaker 1: That's a margin they rip off. That's inflation rey and 50 00:02:20,480 --> 00:02:21,079 Speaker 1: for goodness sake. 51 00:02:22,120 --> 00:02:24,920 Speaker 2: Well no, no, no, no, that's that's I mean, the 52 00:02:24,919 --> 00:02:27,280 Speaker 2: Reserve Bank is one of the few government sort of 53 00:02:27,320 --> 00:02:29,600 Speaker 2: profit centers, so we actually pay a dividend to the 54 00:02:29,600 --> 00:02:33,160 Speaker 2: government every year. A portion of that sort of kept 55 00:02:33,160 --> 00:02:38,400 Speaker 2: back through our funding agreement to funder operations. But you know, 56 00:02:38,880 --> 00:02:40,960 Speaker 2: that's the way it works around the world. Central banks 57 00:02:40,960 --> 00:02:44,560 Speaker 2: have a legal right to issue you know, your your 58 00:02:44,560 --> 00:02:48,480 Speaker 2: sovereign currency. The cost of production are low, it goes 59 00:02:48,520 --> 00:02:50,560 Speaker 2: on to your balance sheet at face for you, and 60 00:02:50,600 --> 00:02:54,600 Speaker 2: then that money is really you know, revenue for the government. 61 00:02:54,800 --> 00:02:57,000 Speaker 1: How much how many teens have we got in the 62 00:02:57,160 --> 00:03:00,280 Speaker 1: economy at any given time? Are there millions or undreds 63 00:03:00,320 --> 00:03:00,840 Speaker 1: of thousands or. 64 00:03:00,840 --> 00:03:05,000 Speaker 2: One, oh no, tens of millions, tens and tens of millions. 65 00:03:04,639 --> 00:03:07,359 Speaker 1: Tens of millions, And that's the same for all coins 66 00:03:07,400 --> 00:03:08,120 Speaker 1: generally or not. 67 00:03:10,160 --> 00:03:14,200 Speaker 2: The denominations. I mean, yes, it is, you know, tens 68 00:03:14,200 --> 00:03:17,320 Speaker 2: and tens of millions coins are out there. You know. 69 00:03:17,360 --> 00:03:19,720 Speaker 2: One of the things that people will often say, as well, 70 00:03:19,760 --> 00:03:23,440 Speaker 2: I don't use cash that much, but you know, the 71 00:03:23,520 --> 00:03:26,760 Speaker 2: amount of cash and circulations doubled over the last ten years. 72 00:03:26,800 --> 00:03:31,040 Speaker 2: And actually some of the heavier users of cash using 73 00:03:31,120 --> 00:03:35,680 Speaker 2: cash a bit more. Yeah. So yeah, it's out there. 74 00:03:36,000 --> 00:03:38,440 Speaker 2: There's a lot of money in circulation, over nine billion 75 00:03:38,680 --> 00:03:39,360 Speaker 2: in circulation. 76 00:03:39,480 --> 00:03:41,280 Speaker 1: Good stuff, all right, Ian, nice to talk to you again. 77 00:03:41,320 --> 00:03:43,520 Speaker 1: Appreciate it very much. And Wilford, who's the director of 78 00:03:43,600 --> 00:03:46,520 Speaker 1: money and Cash. I just asked Sam how many he's 79 00:03:46,560 --> 00:03:50,240 Speaker 1: got personally coins? No ten censors and how many has 80 00:03:50,240 --> 00:03:50,520 Speaker 1: he got? 81 00:03:50,720 --> 00:03:51,000 Speaker 2: None? 82 00:03:51,000 --> 00:03:55,720 Speaker 1: Because you know why, he throws them out. See, I 83 00:03:55,800 --> 00:03:57,960 Speaker 1: keep telling you he's paid too much money. He's got 84 00:03:58,000 --> 00:03:59,800 Speaker 1: his own apartment. He's in his twenties, he's got his 85 00:03:59,840 --> 00:04:03,000 Speaker 1: own apartment. Doesn't flash dog, he's got a flash dog. 86 00:04:03,200 --> 00:04:06,840 Speaker 1: He throws money out. He literally throws money away. He 87 00:04:06,920 --> 00:04:07,920 Speaker 1: throws money away. 88 00:04:08,520 --> 00:04:11,440 Speaker 2: For more from the Mic Asking Breakfast, listen live to 89 00:04:11,560 --> 00:04:12,120 Speaker 2: news talks. 90 00:04:12,120 --> 00:04:15,320 Speaker 1: It'd be from six am weekdays, or follow the podcast 91 00:04:15,360 --> 00:04:16,240 Speaker 1: on iHeartRadio.