The Bangko Sentral ng Pilipinas (BSP) on Tuesday starred the demonetization process for 100,000-Piso and 2,000-Piso Centennial Commemorative Notes issued in 1998.
The 19-year-old banknotes will remain legal tender up to July 31, 2018. The BSP said holders can still exchange these — at full face value, in desired denominations and without charge — with authorized agent banks from August 1, 2018 to the end of July the following year.
“These banknotes are also part of the New Design Series which have been demonetized. Nonetheless, holders of Centennial Commemorative Notes may opt to keep these banknotes for their numismatic value,” the BSP said.
It said the move was in line with the provisions of Section 57 of Republic Act 7653, or the New Central Bank Act, which authorizes regulators to replace banknotes that are more than five years old.
Commemorative banknotes are issued by the Bangko Sentral to honor events of historic significance. These are in limited volume, set apart from the banknotes intended for circulation and overprinted with an emblem or text descriptive of the theme or occasion being celebrated. Currency collectors often preserve commemorative or limited release banknotes and coins for their numismatic value.
According to the central bank, the 100,000-piso Centennial Commemorative Note is the biggest legal tender denomination it has issued, both in terms of face value and its size of 22 centimeters by 33 cm.
Only 1,000 pieces were issued on the occasion of the 1998 Philippine Centennial Year.
The said banknote features the proclamation of Philippine independence by General Emilio Aguinaldo on 12 June 1898 and the “Sigaw ng Himagsikan.”
Also issued in 1998 was the 2,000-Piso Centennial Commemorative Note that depicts the oath-taking of then President Joseph Estrada and the re-enactment of the declaration of independence by President Fidel Ramos.