He Central Bank (BCRA) put the $20,000 bill into circulation this Wednesday, November 13 and announced that It will be distributed starting this Thursday through the network of bank branches and ATMs automatic from all over the country. It thus becomes the one with the highest denomination in the local market (a place that, until now, was occupied by the $10,000 one).
The predominant color in the design of the new paper it’s blue and completes the “Heroines and Heroes of the Homeland” family created in 2022. It has the image of Juan Bautista Alberdi on its front (obverse), who was the inspiration for the National Constitution of 1853. And the reverse illustrates the recreation of the birthplace of that Argentine lawyer, writer, journalist, philosopher, economist, diplomat and politician. .
“The incorporation of larger denomination bills and effective monetary programming allow reducing the direct costs of the BCRA and the operating costs of the financial system as a whole,” the BCRA said in the announcement. And it highlighted that the release of the $20,000 “allows a smaller amount of paper to be printed to meet the same level of demand for cash by society.”
And, they highlighted, “fewer banknotes in the economy reduce the replacement cost of ATMs and processing time in branches.” However, it is worth mentioning that this route “it can take months, at least for ATMs, because it is sent outside for the supplier to approve it,” he told Scope a source from a financial institution. They estimate that the delay will be “at least two months” for them to begin to be in the automatic terminals.
The bill arrives after the October inflation data
On the other hand, the official statement made reference to the Consumer Price Index (CPI) data for October, which was released this Tuesday, November 12. It is worth remembering that was 2.7%, according to the National Institute of Statistics and Censuses (INDEC), and pointed out that “the confirmation that the observed inflation rate is at the lowest levels of the last three years, despite the introduction into circulation of the $10,000 bill (five times the denomination of the largest bill available up to that time) rejects the argument that increasing the denomination of banknotes produces inflationary pressures“.
Although some voices say that this is due, more than anything, to “an honesty of the inflation accumulated in recent times.” Even though the bill is coming out now, “the market already takes inflation for granted,” they explain. In fact, It is estimated that the $20,000 one lost almost 100% of its value real (compared to the evolution of the price index) since its departure was announced (in January of this year) until it finally materialized (this Wednesday).
New banknotes and the cost of printing them
On the other hand, the news of the release of the new role that has Alberdi as the protagonist It comes shortly after the Government announced its objective of closing the Mint and, in that context, decided to intervene, stop printing the $1,000 and $2,000 bills that were in process there and give leave to its staff. The official plan is to start producing the local currency in China or other markets where it is cheaper.
“The acquisition of banknotes, through competitive international bidding, decreased the cost from US$126 per thousand notes in the inherited contract with Casa de Moneda, to US$48 per thousand notes in the last tender held in August“, said the Central. In that sense, they said that “the proper programming of the acquisition of tickets improved the logistics and coordination processes, reducing transportation costs by a fifteenth, by using ships instead of planes.” And they highlighted that, “for financial entities, the distribution and replenishment of this bill will be more efficient.”
Likewise, they indicated that, in contrast to recent experiences, The BCRA implemented a work schedule in conjunction with financial entities that incorporated the new $20,000 bill to ATM systems early while production was being completed, which will result in faster adoption of the new note.
$20,000 paper security measures
He new $20,000 bill has strict security measures, that were incorporated using special printing systems and that allow machine recognition. Below are the main security elements:
- Watermark: It is observed against the light and reproduces the portrait of Juan Bautista Alberdi accompanied by the initials JBA, in a very light tone.
- Vented security thread: It is inserted into the bill and is revealed in three windows. It is blue and presents a dynamic effect when moving the bill. When held against the light, it is seen as a continuous band and the acronym BCRA can be seen.
- Optical variability ink: The symbolic representation of the National Constitution, located in the upper right corner, changes from magenta to green when the bill is tilted and presents a dynamic three-dimensional effect.
- latent image: Within an ornamental motif located in the lower right corner, the letters RA appear when observing the bill with grazing light.
- Front-back complementation motif: The value 20,000 located in the lower left corner is complemented by transparency with the reverse.
In addition, the ticket has identification for people who are blind. On the vertical edges of the bill you can feel a raised code by touch.
Source: Ambito
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