Philippines: continues campaign on demonetization
The Central Bank of the Philippines is urging the public to use or have their Series 1985 banknotes changed into the New Generation Currency.
In a recent multi-sectoral forum in the Summer Capital, the CBP informed the public from the different sectors such as religious, business, transport, retailing, hotel and restaurant among others about the demonetization of the old design of banknotes - the Series 1985.
"We encourage you to use your Series 1985 banknotes until December 31, 2015. By 2016, the S1985 can no longer be used but can still be exchanged to authorized agent banks," CBP-Currency Issue and Integrity Office Ernando De Leon said.
"By January 1, 2017, the Series 1985 banknotes will already cease to be a liability - can no longer be exchanged and used to pay transactions for goods and services," he added.
The demonetization of the NDS is deemed necessary as it has been in circulation for 30 years since 1985.
Its three-decade circulation has made it easier to be counterfeited thus the need to remove its monetary value and be replaced by a new one, the New Generation Currency which has been in circulation since 2010.
To preserve the integrity of the Philippine banknotes, De Leon stressed the old ones should be demonetized to prevent counterfeiting; to benchmark with the design of other countries' currencies; to align with other practice of other central banks in the world where they demonetize 10-year-old currencies; and to redefine the value of money caused by inflation.
De Leon furthered it will help if the banknotes design is only reduced to one to avoid confusion. Nenette Malabrigo of CBP said the New Generation Currency, which will fully replace the Series 1985 banknotes by 2017 is geared with two levels of security features.
The Color of Money (The New Generation Currency)