Bangladesh Bank plans to release new currency notes of Tk25,000 crore in the market before Eid Ul Fitre.
The money will be released around a week before Eid-ul-Fitr, official sources said.
“We’ve set a target to release Tk25,000 crore before Eid,” Sirajul Islam, Bangladesh Bank spokesman and executive director, said, reports UNB.
He said the initial target is to release Tk22,000 crore. Last year, the central bank released Tk18,000 crore.
The decision is part of the central bank’s initiative to withdraw old notes and replace them with new ones to prevent the spread of coronavirus, according to some officials at the bank.
They cited the example of China which withdrew about 60,000 crore Yuan and replaced them with new ones as a measure to contain the spread of coronavirus.
Sirajul, however, rejected the idea, saying: “The release of new notes is unrelated to the withdrawal of old notes.”
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 Eid.
They said the central bank usually releases new notes in the market around the same time each year to counteract increased liquidity demands caused by various factors.
Currency Management Department of the central bank said the new notes will include Tk500, Tk200, Tk100, Tk50, Tk20, and Tk10.
Tk200 notes of those ones will enter service for the first time. Earlier, the central bank decided that it will release new note of Tk200 on the occasion of Mujib Year to commemorate the birth centenary of Bangabandhu Sheikh Mujibur Rahman.