Somalia to fight inflation and counterfeiters with new banknotes – Africa Bitcoin News

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According to Somali Central Bank Deputy Governor Ali Yasin Wardheere, the institution plans to fight inflation and counterfeiters with newly issued shilling banknotes. The bank reportedly said it hoped to complete the process of replacing older high-denomination shilling notes with newly designed banknotes in 2024.

Preserve the value of fresh money

The Central Bank of Somalia (CBS) plans to replace the old high-denomination shilling notes in circulation since 1991 with redesigned notes. The central bank hopes this process, which it plans to complete by 2024, will help the war-torn country fight inflation as well as undermine counterfeit currency dealers, according to a report.

In remarks during an interview with Bloomberg, Ali Yasin Wardheere, the deputy governor of CBS, revealed that the central bank began replacing high-value bills with redesigned notes in 2018. The International Monetary Fund and the World Bank both contributed to this process, Wardheere reportedly said.

According to the deputy governor, the central bank has also set up a unit to “fight against the counterfeit money market”. The unit is further tasked with preserving the value of new currency that the central bank plans to print.

To help the central bank achieve some of the goals, Wardheere said CBS will establish new branches in federal member state capitals. These branches, which the central bank hopes to have in place by June, will help CBS collect taxes and store cash.

Since the ousting of Siad Baare in 1991, Somalia has not issued new shilling notes while the old ones are now worn out and not widely available. As a result, the use of the US dollar and privately printed currency increased.

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Terence Zimwara

Terence Zimwara is an award-winning journalist, author and writer in Zimbabwe. He has written extensively on the economic issues of some African countries as well as how digital currencies can provide an escape route for Africans.

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