TACLOBAN CITY, Leyte (PIA) – The Bangko Sentral Ng Pilipinas (BSP) has announced the start of demonitization process of old banknotes beginning January 1, 2015 (New Design Series, NDS) with new generation currency banknotes.

This move is in line with the provisions of section 57 of Republic Act No. 7653, otherwise known as the New Central Bank Act which authorizes the BSP to replace banknotes that are more than five (5) years old.

Deputy Director Joseph Norbert S. David, head of BSP Tacloban Branch said, the public may continue to use the NDS Banknotes until December 31, 2015 in paying and buying of goods and services and other business or financial transactions requiring the use of cash.

Furthermore, government institutions holding in trust old banknotes which could not be exchanged within the prescribed period, such as banknotes used as evidence in a litigation case will have to request the BSP Cash Department in writing, within the period of exchange, for a special exchange arrangement.

David also said from January 1, 2015 until December 31 2016, the public may exchange with authorized financial institutions namely universal and commercial banks, thrift banks and rural as well as cooperative banks, their NDS banknotes with the New Generation Currency (NGC) Series at full face value, without charge.

Within this period, the public may also opt to exchange NDS banknotes with the BSP or any of its regional offices/branches around the country.

Overseas Filipinos (OFs) who have in their possession NDS banknotes which could not be exchanged within the prescribed period may register online starting October 1, 2015 to December 31, 2015 through the BSP website. These NDS banknotes may be exchanged with the BSP within one (1) year from the date of registration.

Hence, starting January 1, 2017, NDS banknotes that have not been exchanged shall no longer have any monetary value and considered demonetized. (ajc/cba/PIA-8)