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Infusing new money or replacing old money?

-Sen. Dillon inquires

By Ethel A Tweh

Montserrado County Senator Abraham Darius Dillon says he is confused whether the Central Bank of Liberia wants to infuse newly printed money into the economy besides Liberian dollars already in circulation or to completely replace the old banknotes.

Speaking in session Tuesday, December 14, 2021, Sen. Dillion said the Central Bank of Liberia is expected to release about 4 Billion Liberian dollars on the market before Christmas, without seeing sample of the new money and its security features.

“I am a member of the Security and Defense Committee, not even a sample of the money we have seen. Printing of money has a lot of security implications and this body that approved the printing of the money hasn’t seen the quality of the money”, he laments.

According to him, the newly printed Liberian banknotes to be put in circulation are all in 100 bills, saying that the Central Bank told the Liberian Senate that the intention of printing new money is to replace the already existing local currency in the market, most of which are mutilated or defaced.

“If the Central Bank says they are replacing the existing notes and not infusing, now they are bringing only $100 notes, how will someone get change from that money if they go buy and it requires change? That means, the change will be given from the old money”, he explains.

He further notes that the Central Bank had told the Senate they were replacing all old banknotes on the market with the new money that printed, a key reason why the Senate approved the printing of over LRD48 Billion dollars.

However, Dillon points that printing the money in segments means it will be added to money already on the market, arguing that it is not what the Senate approved. He says instead, the Central Bank wants to infuse more money in circulation to float the market.

Earlier this year, the Central Bank of Liberia requested approval from the Liberian Senate to print a new family of Liberian banknotes totaling over 48 Billion to replace existing banknotes in circulation in a period of three years: 2021, 2022, and 2024, respectively.

The CBL had announced the new money will be in circulation this December, but as of today, December 15, 2021, it is yet to be seen in the market, creating anxiety in the public.https://thenewdawnliberia.com/liberia-new-money-hits-market-december/ Editing by Jonathan Browne

NewDawn

The New Dawn is Liberia’s Truly Independent Newspaper Published by the Searchlight Communications Inc. Office is located on The UN Drive in Monrovia Liberia. The New Dawn is a bilingual (both English & French).
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