There was a post on this issue in May 2002 :
cutting circles Here's a part of it that may solve your puzzle, but I recommend you read the whole post.
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3) make your own "punch set".
To make holes of diameters between 4 and 8 mm (too large for a punch & die set, too small for a compass), I use short pieces of assorted metal tubes. It works even better if you make the rim a bit thinner (sharper) with a diamond bur. The thinner the cutting edge, the nicer the cut.
You place the piece of polystyrene on a tough yet flexible surface (a nylon cutting mat works excellent) , place the sharpened piece on tube on top, and bang on it with a hammer.
Short pieces of tube work better than long ones. Try pieces of about one inch. That allows you to hold them without crushing your fingers, and it avoids that they bend when you hit them with the hammer, like longer pieces would.