New banknotes transition to take a year
By Masauso Mkwayaya
Finance and National Planning Minister SITUMBEKO MUSOKOTWANE says the transition from the current banknotes to the new ones will take 12 months.
And Dr. MUSOKOTWANE has explained that the 500-Kwacha note has been introduced because the country’s highest denomination, the 100-Kwacha now accounts for more than 60 percent of the currency in circulation.
The Minister says this goes against international best practices.
Speaking when he delivered a Ministerial Statement in the National Assembly on the introduction of the new notes, Dr. MUSOKOTWANE said the modalities and guidelines for the transition will be outlined in a Statutory Instrument to be issued soon.
And Dr. MUSOKOTWANE said Government selected the printing company for the new notes through a transparent selective tender process in which reputable and trusted money printing companies were engaged to present bids.
He said money printing is a high-security matter that cannot be handled through an open tender.
The Minister further said government will not disclose the name of the selected company at the moment due to security reasons but that it will be known by everyone when the new money is in circulation, as it is engraved on the notes.
He has also instructed the Bank of Zambia to issue a statement on the cost of printing the new banknotes.
This follows questions from some Members of Parliament who wanted to know how much the money printing exercise will cost.
