With the peso hovering just a tick below 44 per USD today, I’m considering the government’s decision to finally mint a 5 peso coin to replace the battered, worn out 5 peso notes in circulation. My question is this: why only the 5 peso note, and not also the 10 and 20?
Not to mention what inflation will mean to the value of the peso in 6 months, a year, two years?
Is there some wisdom in continuing to wear out notes that were intended to represent the equivalent of USD $10 and $20, instead of taking the steps to introduce high denomination notes and replace these small ones with coins?