High metal prices and inflation might result in the five-cent coin following one-and-two-cent pieces into extinction.
A spokesman for Assistant Treasurer Bill Shorten said the government is considering a recommendation from the Royal Australian Mint to scrap five-cent coins because the cost of making them exceeds their face value, The Sun-Herald reports.
Mr Shorten is worried about what the move would mean for charities, the main recipients of five-and-10-cent coin donations, the newspaper reports.
Advice would likely be sought from the Australian Competition and Consumer Commission to determine standard pricing policies on rounding prices up or down.
One-and two-cent coins were removed from circulation in a 1990 budget move.