Is the 500 dong note still in circulation?

The 500 dong note is still in circulation but is rarely used.

Regarding whether the 500 VND note is still in circulation, the State Bank of Vietnam (SBV) has issued a document stating: Although the 500 VND note is still used in transactions in some localities, the volume is not large (such as used to pay for supermarkets, hospitals, ferry fees, etc.).

Every year, the State Bank will base on the cash needs of the economy (both in terms of value and denomination structure) to calculate the amount of money to be printed, minted and the denomination structure of the types of money issued into circulation. This will take into account the development of non-cash payment activities and people's payment behavior to print and issue small denomination money in accordance with the payment needs of the economy and avoid general waste for society when there is not enough denomination structure for payment.

"In recent years, low-denomination banknotes (100 VND, 200 VND, 500 VND) have no practical payment value, so the State Bank has stopped printing and minting additional banknotes every year, and continues to use only the necessary amount from bank reserves and inventories and from the public.

For other denominations, the State Bank will print, issue and supply full value and denomination structure into normal circulation, ensuring to meet the payment needs of the economy," the State Bank emphasized.

History of 500 VND note

The 500 VND note was first issued by the State Bank of Vietnam in 1987, after the country entered the renovation period. At that time, the 500 VND note had quite a large value and was widely used in daily transactions.

For many years, the 500 VND note has been associated with people's economic life. However, over time, the value of this note has changed. With high inflation and the increase in per capita income, the real value of the 500 VND note has decreased. Today, the 500 VND note has very little value and is rarely used in daily transactions.

Although its actual value has decreased, the 500 VND note still carries important cultural and historical values. For many people, this note is not only a means of payment but also a part of the past memories.

Currently, the 500 VND note is still in circulation but is rarely used. Daily transactions often use higher denominations such as 1,000 VND, 2,000 VND or 5,000 VND. This is because the 500 VND note is too small in value and is not enough to meet current shopping needs.

However, the State Bank of Vietnam continues to maintain the circulation of the 500 VND note. This note is still legal tender and can be used for payment in transactions. Although less popular, the 500 VND note is still used in some special cases, such as paying in small change or as a souvenir.

TH (according to VTC News)

Source: https://baohaiduong.vn/to-500-dong-con-luu-hanh-397602.html