Old peso bills demonetized by 2014

Posted at 09/21/2011 2:20 AM | Updated as of 09/21/2011 11:03 AM

MANILA, Philippines – Philippine peso bills bearing the old design will be demonetized by 2014, the Bangko Sentral ng Pilipinas (BSP) said.

"Pag-dating ng end ng 2014, sa bangko mo nalang maiipapalit ‘yun, hindi mo na magagastos ‘yun,” said BSP deputy governor Diwa Guinigundo.

According to BSP Manager Grace Malic, 702 million pieces of new bills were printed by BSP this year, but the bills will be gradually issued.

“We are still in the initial phase. As the year goes on, then we can add to the circulation,” Malic told ANC’s “The Rundown” on Tuesday.

More bills are expected to be printed next year as new printing machines arrive.

By 2013, 75% of money in circulation will be of new design. There is also a plan to change the design of some coins in 2013.

“We are already in the process of conceptualizing the new design of the coins but we still have to complete the demonetizing process of the bills before we move into coins. There are so many coins in circulation,” said Malic.

The BSP noted that the new design of the P20 bill, where the name of the President is printed as “Benigno S. Aquino”, is not a mistake.

BSP said it is the President’s preference to use his second name “Simeon” as his middle initial instead of Cojuangco.

"Ang ating pangulo, si President Aquino, ang kanyang desisyon ay gamitin ang kanyang pangalan na Simeon bilang middle name. ‘Yan ay kinikilala ng lahat ng ahensya ng gobeyrno,” said Guinigundo.

The BSP added that it has no plans of recalling the bill.

Several store owners, meanwhile, have a difficult time dealing with customers who refuse to accept the new bills.

“Tinanggihan talaga niya, hindi niya tinanggap,” said a store owner.

This is the reason why some business establishments also refuse to accept new bills.

"Hindi naming tinatanggap ‘yung bago. ‘Yung luma ‘yung gusto namin e,” said one sales lady. -- Report from Zen Hernandez, ABS-CBN