Islamabad: The Pakistani government has decided to phase out the Rs10 currency note, while the State Bank of Pakistan (SBP) is working to finalize designs for a new series of banknotes.
The development came during a meeting of the Senate Standing Committee on Finance chaired by Senator Saleem Mandviwalla.
Rs10 Note to Be Phased Out
State Bank officials told the committee that the Rs10 note could be withdrawn because producing it costs more than its value justifies.
Officials said the new banknotes will also include enhanced security features. The government is currently reviewing and finalizing their designs.
The State Bank has been working on the new designs for nearly two years.
New Rs5,000 Note Also Under Review
State Bank officials told the committee that the existing Rs5,000 note was introduced around 20 years ago.
They said the central bank is now designing a new Rs5,000 note with an expected lifespan of another 20 years.
Officials also told lawmakers that producing Rs1,000 and Rs5,000 banknotes costs around Rs14 per note.
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Lawmakers Question Delay
Senator Saleem Mandviwalla criticized the pace of the new currency note project.
He said the State Bank had not completed the new banknotes despite working on the project for two years.
Mandviwalla also raised concerns about a fake Rs5,000 note. He said he had handed three Rs5,000 notes to the State Bank’s deputy governor two years ago.
According to him, one of the three notes was counterfeit. However, the State Bank has not returned any of the three notes.
His remarks prompted laughter during the committee meeting.
Committee Questions Design Process
Committee member Anusha Rahman questioned why the State Bank was not using artificial intelligence in the design process.
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She also questioned the decision to seek approval through a cabinet subcommittee.
Rahman warned that further changes by the cabinet committee could delay the process even more.
Mandviwalla joked that the committee’s term could end before the new banknotes are finally issued.
New Security Features Planned
State Bank officials said the new currency notes would include improved security features.
They added that a consultant has already been given the contract for the printing-related work.
The cabinet committee is now working to finalize the designs.
Meanwhile, the Rs10 note will be phased out as part of the currency reforms.
