http://50.7.16.234/hadas-eritrea/eritrea_profile_11112015.pdf
*“Redemption of the old currency notes, for secure monetary exchange”*
The Bank of Eritrea has officially issued the commencement and termination
of redemption of the Nakfa currency notes in circulation in accordance with
Article 3 (1) of Legal Notice no.124/2015 on November 4th 2015. Today’s Q &
A section will host Mr. Kibreab Weldemariam, Governor of the National bank
of Eritrea.
*The latest monetary policy declares that the previous Nakfa currency note
is to be replaced by a new Legal Tender Nakfa currency. Why now? *
There have been constant discussions of introducing new monetary transition
ways since April. Now-a-days even most of the third world countries have
introduced and are working on various money exchange systems such as check
draft cards and so.
Mainly this new process that is being introduced is aimed to avoid spending
millions of dollars in printing new banknotes. Secondly, it points towards
ways aimed to ease direct banknote exchange between consumers and
providers, and lastly it is a matter of safety: the new route is designed
to avoid hazardous situations in money transitions of a large sum. It is
safe, applicable and secure.
*It has been proclaimed that the currency redemption will be done in the
length of six weeks. How is going to be ensued?*
Back in 1997 we located even in tents and carried out the exchange in 88
sites that extended to the outmost area. And now we will proceed as our
previous experiences. Only that now more than 88 government offices are
involved in the web, so even in the remote areas it is opted for a viable
money exchange process. The web that has been already arranged for this
exchange will avoid any form of pressure for the clients as we are taking
in consideration time, reassurance and easiness for our customers.
*Have arrangements been made for new bank booking system?*
Certainly! The two main banks: Housing and Commercial bank as well the
Commercial Bank, took the task of assisting the entire big and small banks
trough out the nation in providing a secure booking system for the clients.
So we do not fear any obstacles while introducing new bank books for the
redemption of the old banknotes with the new one.
Commercial Banks are to assume the task of opening new accounts for
customers, redeeming the old Nakfa currency note with the new Nakfa
currency note, ensuring that the forms are accordingly prepared and are
properly filled, as well as make available clarifying receipts to customers.
*About the amount of Nakfa Currency notes in circulation *
The Bank of Eritrea has declared the period in which redemption is to
commence and terminate. During this time, any individual, entrepreneurs or
companies can through the commercial banks, translate the previous Nakfa
currency notes in circulation with new legal tender Nakfa currency notes.
It is undeniable that at the moment the commercial banks are at the moment
mostly assisting business owners, nevertheless given the situation it has
been made possible for small banks to cash in up to 1 million Nakfa.
If the amount exceeds the one million perimeters, customers will need to
get service from the central banks. Moreover we have timely accurate
customised service for costumers with a sum surpassing 5 million.
*About withdrawals*
During redemption, individuals or entities will be allowed to withdraw from
their accounts only up to twenty thousand in new Nakfa currency notes. Any
transactions in excess will be solely settled through checks or other bank
instruments. Otherwise we won’t be able to be precise in introducing the
new system.
*As for foreigners*
Any foreigner requiring swapping of old Nakfa currency notes for the new
Nakfa currency notes, are allowed to do so after clarifying the legitimacy
of the means of obtaining the currency. If they had acquired the currency
in the black market, then the bank won’t be able to assist.
*What about individuals abroad with Nakfa currency? *
There is no basis that can authorize or excuse Nakfa currency circulating
abroad. Nakfa was meant to circulate only and exclusively with in the
nation. As such, the bank or the Government will not be taking any
responsibility for the Nakfa currency circulating outside of Eritrea and/or
for the sum OF Nakfa that has been kept camouflaged to the National banks.
But of course, cases in which individuals tagged some very small number of
Nakfa can be worked on as the official proclamations have been made in
media outlets and our websites.
*Can you please elaborate on the Article concerning currency Redemption
time limits?*
The process will undergo in six weeks time length. Individuals or entities
may, during the first two weeks, are required to deposit any amount of
money in their accounts, as for the final four weeks, however, they will be
allowed to deposit or exchange up to twenty thousand Nakfa only.
Thank you Mr. Kibreab!
Received on Wed Nov 11 2015 - 14:10:19 EST