In 1922, the Bank of Lithuania successfully implemented a monetary reform and introduced the first national money - paper litas and centas. This helped in separating from a monetary union with Germany and reduced the influence it had on Lithuania’s economy and its monetary system.
An especially frequent use of small denomination banknotes and their excessive wear (centas banknotes of small denominations amounted to 70% of all banknotes in circulation) led the Lithuanian government to consider minting coins. On 20 June 1924, Seimas adopted the Law on Coins which granted exclusive rights for the State Treasury to mint and issue into circulation aluminum, bronze, silver and gold coins. The contract was signed with a Birmingham company King’s Norton Metal Works for the minting of bronze coins and with the Royal Mint of England in London for the minting of silver coins. The first Lithuanian coins were issued into circulation in 1925, whereas their plaster models were created by a sculptor Juozas Zikaras. These were bronze 1, 5, 10, 20 and 50 cent coins and silver 1, 2 and 5 litas coins (millesimal fineness Ag 500). A unanimous symbol was placed on the obverse of all the coins - the coat of arms, the horseman (Vytis) and an inscription “The Republic of Lithuania” on its sides with the date and the Columns of Gediminas at the bottom. The reverse of the coins featured the denomination and various plant motifs: a blooming flax (1 and 5 cents), barley and oat ear stalks (10, 20 and 50 cents), oak (1 litas) and rue (2 litas) leaves, tulips (5 litas). 42 million bronze coins and 10 million silver coins were minted in total.
In 1936, the Lithuanian Mint was established and coins of a new design were minted.
