Image used for representational purpose only. | Photo Credit: Reuters
Pakistan’s central bank will experiment with a new polymer plastic currency banknote later this year, while redesigning all existing banknotes for better security and hologram features.
State Bank of Pakistan Governor Jamil Ahmed told the Senate Committee on Banking and Finance in Islamabad that all existing paper currency notes will be redesigned with new security features by December this year.
Mr Ahmed said newly designed bank notes in denominations of Rs 10, 50, 100, 500, 1000 and 5000 will be issued in December.
“The old notes will remain in circulation for five years after they are withdrawn from the market by the central bank,” a source close to the committee said.
The State Bank Governor also told members of the Senate committee that a new polymer plastic banknote would be issued to the public in one denomination, and if it was well received, the plastic currency would be issued in other denominations as well.
Currently, about 40 countries use polymer plastic banknotes, which are difficult to counterfeit and have advanced security features such as holograms and transparent windows.
Australia was the first country to introduce polymer banknotes in 1998.
Mr. Ahmed also confirmed that the central bank had no plans to scrap the Rs 5,000 note, while a member, Mohsin Aziz, insisted it would make it easier for corrupt people to carry on their business.