The Central Bank of Liberia (CBL) says it will begin introducing the new Liberian dollar currency starting with the 100 Liberian dollar banknote in the tune of four billion Liberian dollars this December 2021.
The amount, the CBL noted is intended to increase Liberian dollar liquidity in the economy during the festive season. The second consignment of four billion Liberian dollars of the new family of L$100 banknote will be brought into the country during the 1st Quarter of 2022 to commence the gradual replacement of mutilated banknotes.
The new L$100 banknote is part of the L$48.734 billion of the new family of Liberian dollar currency authorized by the 54th National Legislature in May 2021 to be printed and minted in three years, specifically 2021, 2022, and 2024.
The Bank explained that the introduction of the new currency will be done in line with the Implementation Plan of the Currency Changeover, developed in consultation with the International Monetary Fund (IMF), to ensure a gradual, smooth and transparent process.
It also added that the introduction of the remaining L$100 banknote and other denominations including the L$20, L$50, L$500, and L$1000 banknotes, and the L$5 and L$10 coins are due to take place in the latter half of 2022. The destruction of the old banknotes will be done through enhanced internal control and a transparent process, to ensure full accountability to all stakeholders.
CBL further explained that as it rolls out the Implementation Plan, it recognizes the importance of all stakeholders in ensuring that the Currency Changeover process remains on course to support financial stability, and by extension, macroeconomic stability.
The Bank assured the public that it will continue to provide updates on the delivery and infusion of the new family of Liberian dollar banknotes and coins, as well as the withdrawal and destruction of the old banknotes. It also noted that it wants to inform the public that there is no need for panic or rush as it rolls out the plan.
During the process, the Bank further informs the public that the existing and new banknotes will be allowed to co-circulate for a period of time and will ensure that every existing Liberian dollar in circulation is exchanged between 2022 and 2024.
It said exchange exercise will be done through the banking system in collaboration with other regulated financial service providers under stringent supervision and monitoring of the CBL in keeping with the Joint Resolution of the National Legislature.
Accordingly, the CBL profoundly appreciates the Executive, National Legislature, and the public for the support as well as the IMF and Kroll & Associates for their technical assistance and advisory roles, which have significantly contributed to the integrity of the process.
The CBL concluded that it will continue its public education program on the introduction of the new L$100 banknote. More information on the specimen of the new L$100 banknote is available on the CBL website at www.cbl.org.lr. The other denominations to be introduced later will be published on the CBL website.