July 28, 2017, Mississauga, ON – Treasury departments around the world are looking to combat counterfeiters and maintain public confidence in their countries’ currency – and one major step that many are taking is issuing new series of banknotes and coins at a more frequent pace.
With any change in currency design, businesses that handle cash must prepare and plan to keep their currency processing equipment current. Cummins Allison, the leading innovator and provider of coin, currency and cheque processing technology, highlights recent global currency redesigns and what you can do to ensure your business is prepared.
Causing Fits for Counterfeiters across the Globe
In recent months, there have been a number of currency redesigns worldwide, all aimed at reducing the costs of counterfeits to businesses and taxpayers. In April 2016, the U.S. Treasury announced plans to introduce new $20, $10 and $5 notes. Initial concepts are underway, and designs are scheduled to be unveiled in 2020, with protection “against counterfeiting through effective and sophisticated production” noted as a top priority.1 In the U.K., a 12-sided, bimetallic £1 coin entered circulation on March 28, 2017; which the Royal Mint has dubbed “the most secure coin in the world.”2
Likewise, upon introducing notes made from a single piece of polymer with some transparent areas, counterfeiting rates in Canada have dropped dramatically. The Royal Canadian Mounted Police claim the number of fake bills passed on to retailers in 2015 dropped by 74 percent compared with the previous year, from 62,418 in 2014 to 16,445 in 2015.3
While treasury departments around the globe diligently work to develop new currency designs, an important step that should not be overlooked is the work being done concurrently by banknote equipment manufacturers to ensure that machines are ready to accept the new note designs once they enter circulation. In addition to recognizing and denominating the notes, equipment must also authenticate them based on built-in, high-tech machine-readable security features.
Keeping Currency Processing Equipment Current
With a three-to-five-year development time frame for the introduction of new detection and authentication technologies, currency processing equipment suppliers must be aware of banknote and coin changes well in advance of introduction. Equipment from trusted vendors is built to accommodate future currency upgrades and incorporates the latest advanced counterfeit detection hardware and software, protecting businesses from the risk of both counterfeit currency and operational disturbances.
Businesses that handle cash should also take note of any substrate changes in their country’s currency and understand how this may impact their operations and currency handling equipment. A few select vendors are actively involved in the redesign process, working alongside central banks to leverage their expertise in sensor and authentication technologies into the designs of currency processing equipment.
Currency redesigns can be profoundly impactful, making it essential for businesses to be prepared and work with vendors that have proven expertise and knowledge of domestic and international currency changes. This all contributes to a seamless experience for the customer and freedom from the worry of how changes associated with currency redesigns will affect business operations. Visit http://www.cumminsallison.ca/ca/en/products/currency-handling to learn more.
1 Treasury Department, “An Open Letter from Secretary Lew” https://medium.com/@USTreasury/an-open-letter-from-secretary-lew-672cfd591d02#.f9g90zdvm
2 The Royal Mint, “Meet the New £1 coin” https://www.thenewpoundcoin.com
3 Royal Canadian Mounted Police, “Currency Counterfeiting Statistics” http://www.rcmp-grc.gc.ca/count-contre/cur-mon-eng.htm
About Cummins Allison
Cummins Allison is the leading innovator and provider of cheque, currency and coin handling solutions. Our world-class sales and service network includes hundreds of local representatives in more than 50 offices in North America, 6 wholly-owned subsidiaries and is represented in more than 70 countries around the world. For more information about our award-winning solutions, visit www.cumminsallison.ca.
Carol Moore – Vice President Marketing
Cummins Allison Corp.
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