What may appear to be a minor inconvenience in everyday transactions is fast becoming a serious economic concern.
The growing refusal of lower-denomination coins—the one, five, 10 and 20 pesewas—should not be dismissed as a trivial matter.
It reflects deeper issues within the economy and demands urgent attention.
Across markets, transport hubs and small businesses, these coins are increasingly rejected. Traders argue that they cannot reuse them because others refuse to accept them. Customers, in turn, feel frustrated and, at times, embarrassed when their money is turned down. This cycle of rejection is gradually pushing the pesewa out of circulation.
Yet, these coins remain legal tender. Under the Currency Act, 1964 (Act 242), no individual or business has the right to refuse them.
The Bank of Ghana has rightly reiterated this position, but the reality on the ground tells a different story, one where practicality is overtaking policy.
At the heart of this issue lies inflation. Over the past few years, rising prices have significantly eroded the purchasing power of the pesewa.
What could once buy something meaningful can no longer do so. As a result, people see little value in holding or using these coins. This is not merely about inconvenience; it is about economic relevance.
However, the consequences of this trend are far-reaching. When smaller denominations are rejected, prices are often rounded up.
A product that should cost GH¢3.50 suddenly becomes GH¢4.00 because the seller cannot or will not provide the correct change.
Over time, these small increments accumulate, quietly fuelling inflation and increasing the cost of living. This is why the issue must concern all of us.
The Bank of Ghana must intensify its public education campaigns to remind citizens that all denominations are valid and must be accepted.
Beyond education, there is also the need for practical solutions—improving the circulation and accessibility of coins, and encouraging pricing structures that reflect the full range of currency denominations.
At the same time, traders, transport operators and the general public must play their part. Rejecting legal tender cannot become the norm. It undermines confidence in the currency and disrupts the smooth functioning of the economy.
If the current trend continues unchecked, we risk normalising price distortions and deepening inflationary pressures.
What begins as the rejection of a pesewa today could evolve into broader challenges for the currency tomorrow.
Ghana cannot afford to ignore this warning sign. The time to act is now through education, enforcement and collective responsibility.
In the end, the strength of a currency lies not only in its value, but also in the confidence people have in using it.
Losing faith in the pesewa, however small it may seem, is a step we must not take.
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