Home ›› 05 May 2020 ›› World Biz
The Bangladesh Bank is planning to release Tk 25,000 crore worth new currency notes in the market before Eid-ul-Fitr. The money would be released about a week before the Eid, according to the official sources.
“We’ve set a target to release Tk 25,000 crore before Eid,” said Sirajul Islam, Bangladesh Bank spokesman and executive director.
He said the initial target is to release Tk 22,000 crore. Last year, the central bank released Tk 18,000 crore.
Some officials at the central bank said the decision to release new cash in the market is part of its move to withdraw old notes and replace them with new ones to prevent the spread of coronavirus.
They cited the example of China which withdrew about 60,000 crore Yuan and replaced them with new ones after the coronavirus outbreak.
Sirajul, however, rejected the idea, saying: “No such decision was taken. The release of new notes is unrelated to the withdrawal of old notes.”
Another top official at the Bangladesh Bank said that it is a regular job of the central bank to replace old notes with new ones.
Official sources said the central bank is releasing the new notes as part of its market management as it thinks there will be a big demand for extra currency before the Eid.
Normally, they said, every year the central bank releases new bank notes in the market to cool down the pressure as the liquidity demand goes up high in the market for various reasons. These notes are always a replacement for old notes, they said.
Currency Management Department of the central bank said the new notes will include Tk 500, Tk 200, Tk 100, Tk 50, Tk 20 and Tk 10.
Of these notes, Tk-200 notes will absolutely new as the central bank earlier decided that it will release new note of Tk 200 on the occasion of Mujib Year to commemorate the birth centenary of Father of the Nation Bangabandhu Sheikh Mujibur Rahman.
Officials said they might not need to print the Tk-1000 notes as there are enough new such notes in the central bank’s volt.
