By Roi Anthoni B. Lomotan
DUMAGUETE CITY (PIA) – The Bangko Sentral ng Pilipinas (BSP) once again reminds the public that they only have until this year to use their old banknotes or New Design Series (NDS) currency for their payment transactions.
BSP-Dumaguete City senior research specialist Gregorio Baccay III disclosed that by 2016 unused old money will no longer be acceptable for buying or paying goods and services. By 2017, these banknotes will totally lose its tender value.
This is part of the demonetization process of NDS banknotes to give way for the circulation of New Generation Currency Series (NGC) or the new designed Philippine Peso banknotes.
Baccay explained in a Kapihan forum today that demonetization of old banknotes is a way to keep the integrity of Philippine currency and safeguard money from counterfeiters.
“Once our banknotes are out for circulation for a long period, counterfeiters will study the features (of the money), so it’s very easy for them to copy the design. NDS has been in circulation for almost three decades,” Baccay added.
Aside from this, demonetization also aims to reduce the circulation of two design series to one.
BSP has begun demonetizing NDS banknotes since January 1 until December 31 this year. The BSP official urged the public to have their old bills exchanged with new generation currencies at their banks, other accredited financial institutions or at the BSP office before it these are totally demonetized.
“This year, these old banknotes are still a legal tender but BSP cautioned that it should be used,” Baccay said.
Even though, NDS peso banknotes will no longer be used for purchasing by 2016, the public can still handover these to BSP in exchange for new currencies within the said year.
For OFWs who still has old Peso banknotes, “Starting October 1, they have to register at BSP website to inform (us) when will they return to the Philippines to have their banknotes exchanged. They only have one year period for that, starting from the day of registration,” Baccay announced.
Meanwhile, the Negros Oriental Bankers Association (NOBA) assured BSP that they will help in the massive information campaign to raise the public’s consciousness on the demonetization of old banknotes.
“The bankers can come out with brochures, tarpaulins for massive information regarding the demonetization because it’s the banks that have a direct transaction with their clients,” NOBA president Elmer Teves said.
“People should be informed about economic and financial matters,” Baccay concluded. (mbcn/ral/PIA7-NegOr/This article was first published at PIA Website on March 18, 2015 )