Bangko Sentral ng Pilipinas Governor Benjamin Diokno assured the public on Monday there was adequate supply of “crispy” banknotes next month in line with the seasonal demand for fresh banknotes during the Christmas season.
He also said the country’s currency supply remained sufficient to meet the needs of a growing economy.
“There will be enough money and there will be enough new money for Christmas,” Diokno said at the sidelines of an event at the Mall of Asia in Pasay City.
But he said there would be no timetable for the phaseout of the P20 banknotes, to be replaced by the P20 coins.
“We don’t have a timetable for that but we will slowly reduce the printing of it because its lifespan usually is three months,” Diokno said.
Similar to the practice of other central banks that print their own currency, the BSP partially outsources the production of banknotes to meet surges in currency demand under domestic procurement regulations or international competitive bidding processes.
The BSP likewise continues to educate the public on the proper handling of banknotes under its nationwide “Clean Note Policy” as a multi-stakeholder initiative to minimize the cost of producing currency. The campaign is aimed at extending the life span of banknotes, thereby reducing the cost of currency production.
The BSP continuously invests in and upgrades its capacity for coin and banknote production to further increase its agility in meeting the country’s currency requirements. Towards this end, the BSP plans to establish a larger currency production facility in New Clark City.
Moreover, the BSP fosters an environment conducive to a cash-lite economy. This is in view of an evolving global market landscape that takes into account the efficiencies brought about by advances in electronic payment systems and the potential of technology in enhancing financial inclusion.
