Amid economic crisis, producing Turkey's 50 cent coin costs more than the coin itself

Duvar English

Turkey's Royal Mint produces coins at a loss, main opposition Republican People's Party (CHP) deputy Özkan Yalım said, the daily Cumhuriyet reported on Oct. 25. 

"The mint has costs of energy, staff and other resources. The Central Bank is at a serious loss in coin production," Yalım said. 

Turkey has coins for one kuruş, five kuruş, 10, 25 and 50 kuruş, all of which have grown disproportionately in costs, the deputy said, noting that the copper, nickel and zinc used in the production has skyrocketed in costs. 

The production of a single kuruş coin costs some 26 kuruş, with the Central Bank purchasing 26 kuruş' worth of metal mines to produce the coin. 

With the inclusion of zinc in the production of five, 10, 25 and 50-kuruş coins, the gap between production costs and value shrinks, although a five-kuruş coin still costs 28 kuruş. 

A 10 kuruş coin costs over three times its worth at 31 kuruş, while a 25 kuruş coin costs 39 kuruş and a 50 kuruş coin costs 66 kuruş. 

Meanwhile, the worth of a one-lira coin is 79 kuruş.  

The increase in mine costs also made some of the coins less available to consumers, the deputy said, noting that scrap collectors who come upon the coins end up with a profit. 

"It's more profitable to melt down the coins and sell the metals separately," Yalım said. "Besides, these coins don't make themselves. The mint has staff and uses energy."

Mainstream media often tries to cover up the severity of the economic crisis in the country, the deputy said, noting that such a drastic devaluation of the national currency has never before been observed.