How can we help you?
Listening...
Loading...
Oops!
We didn't catch that
Tap &
Speak Again
State Bank is the sole issuer of bank notes in the country ensuring adequate supply of good quality bank notes across the country is amongst its key strategic goals. SBP collects soiled and unfit bank notes from the market and replaces them with fresh bank notes. Like other central banks, SBP issues new series of bank notes from time to time and demonetizes the earlier series with the approval of the Federal Government. Further, the approval for demonetization of bank notes is granted by Federal Cabinet on the recommendations of SBP Board in terms of section 25(2) of the SBP Act, 1956.
The issuance of new series and demonetization of the old design bank notes helps central banks in checking counterfeiting and ensuring the integrity of bank notes in circulation. The new series of bank notes was issued from 2005 to 2008 and the old design bank notes have been slowly phased out from circulation. The Federal Government has therefore decided to demonetize old design bank notes of Rs 10, 50, 100 and 1000. These notes have ceased to be legal tender effective from 1st December 2016.
The Old Design Bank notes of Rs. 10, 50, 100 and 1000 were exchangeable from the offices of the SBP Banking Services Corporations up till 31st December 2022.
These bank notes are exchangeable from SBP BSC Offices located at Karachi, Lahore, Peshawar, Quetta, Islamabad, Rawalpindi, Faisalabad, Multan, Gujranwala, Hyderabad, Sialkot, Sukkur, Bahawalpur, Muzaffarabad and D. I. Khan
The SBP issued the currency management strategy for banks in August 2015 to:
Under the strategy, all banks were advised to automate their currency operations across the country and issue only machine authenticated bank notes to the general public through their branches and ATMs. Banks were also advised to ensure end-to-end coverage of cash processing functions through high resolution cameras and retain the CCTV footage for at least 60 days. The CCTV footage is used to resolve disputes if any. The processing of bank notes through authentication machines, preservation of CCTV records and standardized packaging are aimed at ensuring that no counterfeit note is issued by banks and that the banks have the capacity to identify and block counterfeit notes if any enter the banking system. SBP cash monitoring teams also make surprise visits to banks’ branches and ATMs to assess compliance with CMS instructions. Non-compliant banks are heavily penalized.