CONFIDENTIAL 機密
37 -
although the #1 coin has been in use for over 14 years, and there are now 173 million in circulation, less than 100,000 coins have been replaced.
89.
It will cost about $6.4 million dollars to replace the 21 million notes now in circulation, but this cost will be more than offset by the expected saving of $9 million over the next ten years in $5 currency unit maintenance costs. It is difficult to make an
accurate valuation of the other benefits which will stem from the
introduction of a coin but it would be reasonable to assume that they would more than offset the extra expenditure which would stem from the
use of a coin.
90.
An estimate has been made using a discounted cash flow formula which indicates that at 7% p.a. the net present value of the gain assuming a $5 coin life of 25 years would be of the order
of $7.5 million dollars. This calculation was based on a number of assumptions and makes no allowance for increases in circulation and, therefore, may considerably understate the real benefits. However, it does support the claim that it is very much less expensive to issue a coin than a low denomination note of equal value.
G.F. 323
CONFIDENTIAL #Z
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