• BSP opens on Tuesday to enable swap of old bills
The Bangko Sentral ng Pilipinas (BSP) is opening its doors on Tuesday despite the suspension of work in government offices to accommodate the exchange of old bills demonetized more than five months ago.
BSP Governor Nestor Espenilla Jr. said the central bank’s cash departments in Manila and Quezon City as well as regional offices, and branches would accept exclusively from the general public the exchange of demonetized new denomination series (NDS) banknotes from 8:30 am to 12 noon on Dec. 26.
“The BSP shall allow exchange of the old notes to a maximum amount of P100,000 per transaction,” he said.
Last October, the BSP’s Monetary Board allowed anew the exchange of NDS bills until Dec. 29 in response to numerous requests from the general public.
Long queues have been a familiar site especially at the BSP complex in Malate, Manila since the extension was announced.
The BSP completed the demonetization of the NDS banknotes last June 30 after several deadline extensions. The NDS bills launched in 1985 lost its monetary value last July 1.
The old design banknotes were no longer accepted in day-to-day transactions last Jan. 1 this year but were exchanged in banks and BSP offices. The original deadline was set on Dec. 31, 2016 but extended to March 31 and eventually to June 30 due to public clamor.
The BSP launched the new generation currency (NGC) banknotes in the market in 2010 replacing the NDS bills. The NGC series is user-friendly and allows easy identification of each denomination because of the dominant color that uses distinct and primary inks.
BSP Deputy Governor Diwa Guinigundo earlier said the central bank had no update on the amount of NDS bills that remained unchanged as most of the old banknotes have already been shredded or destroyed.
He explained the life expectancy of the banknotes is very short at one year for the P20 and P50 bills, about two years for the P100 to P200 banknotes, and five years for the P500 and P1,000 bills.
The BSP under Republic Act 7653 or the new Central Bank Act of 1993 could call in for replacement notes of any series or denomination that are more than five years old and coins that are more than 10 years old.