This 7th June 2023, the national bank of the republic of Burundi has injected new notes of 5,000 and 10,000 as it has given a ten days period to exchange them in a nearby bank or microfinance.
The move c0me as the country is undergoing an economic crisis taunted by fuel scarcity, lack of first commodities, and inflation.
The Bank of the Republic of Burundi has declared to have withdrawn, with immediate effect, on the circulation of two bills respectively five thousand (5,000 BIF) and ten thousand (10,000 BIF) which dated July 4, 2018.
It happened after a few months when a new bill of one thousand (1,000 BIF) was secretly introduced. Now the accepted bills dated June 7, 2023.
Dieudonné MURENGERANTWARI, the Governor of Bank of Republic of Burundi announced that one of the main reason is due to the shortage of banknotes, caused by the growing circulation of fiduciary currencies in the informal circuit destabilizing payment and transfer activities”.
In the announcement put out by this bank, the change period of the current bills into new ones is set on 10 days, later that 17 of June, 2023 the previous bills will no longer be accepted.
A limit amount of money up to ten millions (10,000,000 BIF) is allowed to be cash in the existing or new bank accounts.
This previous bills’ withdrawal is unique compared to others; the stopped bills will not be received by BRB. Noting that all others devalued types of various bills are still entering BRB despite their stoppage of daily usage.
This bills’ withdrawal seems to discourage people who had stocked their money into their houses and to block some illegal money circulation.
However, the move has sparked concerns from citizens on social media platforms, for some, the change of bill’s can’t itself resolve the problem of poverty in the country.
Comments went on as the government should put in place projects that favor citizens and reduce the budget allotted to some events” says Pacifique KUBWAYO.
For Idris ININAHAZWE, the bill of ten thousands should be abolished and the government set the very precise rate of money conversion into dollars”.
He raised the scarcity of currencies nationwide which had caused unprecedented problems linked to import and exports.
Berchimas NDUWARUGIRA says “changing bills is minor in reducing poverty, the head of state should spawn favorable environments for foreign investors to install big companies and industries in order to get employability to youth of Burundi”.
According to Dieudonné MURENGERANTWARI, the Governor of BRB, only banks and finance cooperatives are tasked to collect the removed bills. In the countryside where remote citizens can hardly reach banks, BRB agents will be collecting notes.
