Poland considers phasing out low-value coins

Proposals to withdraw low-denomination coins from circulation in Poland have resurfaced following petitions submitted to the National Bank of Poland (NBP). The primary driver for this potential change is the high cost of production; for certain denominations, the cost to mint a coin exceeds its actual face value.

Two main approaches have been proposed. One suggests the immediate removal of the smallest coins. A second, phased approach suggests that by 2030, the 1, 2, and 5 grosz coins would be withdrawn, requiring prices to be rounded to the nearest ten groszy. A subsequent phase in 2035 would target the 10, 20, and 50 grosz denominations.

The NBP has noted that such a move could simplify cash settlements and reduce operational costs for both the central bank and market participants. While some economists warn that rounding could impact consumers over millions of transactions, previous surveys indicated significant public support for removing the smallest denominations.