And now it has happened - the country has just switched to new money. There were 7 banknote denominations and 8 coin denominations in circulation. At the same time, old money with four zeros will also be legal. the site has compiled a reminder on how to live with all this at first.
What you need to be prepared for in the first hours after denomination
— Difficulties with non-cash payments. Already, the whole of Belarus has plunged into financial silence. Cards, ATMs, terminals, and Internet banking do not work. Banks say that by morning “life” in high technology will begin to return, but do not rule out failures.
— Non-working banks and exchange offices. On the morning of July 1, many of them will not open. And on weekends too - banks will reconfigure the software. Things will return to normal on Monday, July 4th.
— Impossibility of many payments. It’s hardly worth trying to pay for a mobile phone, Internet or utilities today. Those who did not have time to do this will have to wait at least a day, or even more. Travel agencies will temporarily stop providing services, and gas stations will only accept cash. Now it is impossible to book tickets for planes, trains, etc.
— Queues. At first they will occur very often, and not at all due to a deficiency. Cashiers will get used to the new money just like we do, so be patient.
How long will old money be “legal”?
You can safely pay with bills with zeros until December 31, 2016. All shops, markets, etc. are required to accept them.
It is important to remember that when you hear somewhere the phrase “currency notes of the 2009 model,” keep in mind that we are talking about this very new money. They just printed them not now, but earlier.
You can exchange old money for new ones:
— from January 1, 2017 to December 31, 2019 — in the National Bank, banks and non-bank financial institutions of the Republic of Belarus;
It is not necessary to run to change old banknotes for new banknotes and coins right in the morning, and even more so you should not do this outside banks. Don’t be lazy once again to remind your relatives, especially pensioners, about this.
Where can I get new money?
— Withdraw from an ATM. About 30% of devices today are already in new money. Banks promise to update ATM addresses online on their websites. The National Bank expects that Belarusians will be able to withdraw new money by 10 am.
— Exchange at a bank, National Bank cash desks. There should be no commission for exchanging old money for new ones. You can exchange money without any restrictions. True, if the amount you bring for exchange is more than 1000 basic (21 thousand denominated rubles), then you have . On July 1, this can be done at the cash desks of operating bank branches, as well as at the cash desks of the National Bank.
— Receive as change in store. True, the Ministry of Trade says that immediately on the morning of July 1, new money will not appear in all stores - collectors simply will not have time to deliver it.
What kind of money will ATMs dispense and where can I get coins?
The main bills that can be withdrawn are 5, 10 and 20 rubles. ATMs will not issue coins.
Coins can be obtained in the form of change in stores, and also, if necessary, you can exchange paper money for them in . This can also be done without commission or restrictions. In addition, the National Bank does not exclude the possibility that at the end of the year special machines will appear in the country where you can get change.
But banknotes of 200 and 500 rubles will not appear in everyday use right away. Not only will they not be available at ATMs, but banks will also order them from the National Bank if necessary - at the request of clients.
How stores will work: cards, price tags, change, checks
Most stores (especially large ones) did not change their operating hours. The National Bank and the Ministry of Trade that from 8-10 am retail establishments will be able to accept cards for payment. It is still difficult to predict whether these hopes will come true.
Stores will continue to display price tags in new and old money. This will most likely be done before the end of the year. But gradually denominated prices will come to the fore. And you need to be more careful with them. The point is not at all in rounding, which will lead to a rise in price (the Ministry of Trade promises to monitor this), but in the fact that from a psychological point of view, a price of 10 rubles looks more attractive than 100 thousand. The illusion that everything costs pennies at first can make us spend more. But our salaries will not increase in any way because of the denomination.
The receipts you will receive in stores will depend on the degree of “advancement” of the terminal. Newer ones will immediately switch to rubles and kopecks, older models will write in thousands and millions. There is no need to be afraid of this, you just need to double-check everything.
What will happen to the money on the cards?
Everything that was in your accounts has already been denominated by the banks. This applies to both card accounts, deposits, and loans.
Of course, seeing 700 rubles instead of 7 million is psychologically unpleasant. But the first thing you should do after your cards and online banking are up and running is to check whether your balance is displayed correctly.
How our lives have changed
This is what prices at gas stations look like now. July 1, 2016. It’s worth getting used to new money from the very first days.
What is a denomination? This is a conversion of the face value of monetary units. And, as a rule, it manifests itself in the “cutting” of a certain number of zeros from old banknotes, and the release of updated monetary units with a lower denomination into circulation. Often the need for such changes arises after hyperinflation to simplify calculations.
The denomination of Belarusian monetary units has already occurred twice in its rather short life. In 1992, new units were launched in Belarus - the well-known “squirrels”, “bunnies”, “bisons”... But while such banknotes were being printed, inflation was already doing its dirty work. As a result, prices increased significantly, and it was decided to increase the denomination of the issued banknotes, adding a zero in the head to the numbers on each banknote. For example, the famous “bunny”, on which the number “1” was indicated, was accepted not for 1 ruble, but for 10.
After 2 years there was the first significant change - the denomination of 1994 in Belarus. The 1 zero was removed from the banknotes (in fact, it was not there at all), and in this way the prices for goods and services were recalculated.
After 5 years, residents of Belarus become millionaires - by 1999 there was already a banknote with a nominal value of 5 million rubles in circulation. They decided on the 2nd denomination, and in 2000 Belarus finds itself with updated money that has lost 3 more zeros.
Denomination dates: how many zeros will be removed
The decree prescribes the implementation from 07/01/2016 of the denomination of the official monetary unit, the replacement until 12/31/2016 of banknotes according to the 2000 standard (in the form of banknotes) with money according to the 2009 standard in the form of coins, banknotes in the following respect: 10 000 rub. 2000 models for 1 rub. in banknotes of 2009.
Those commemorative banknotes that were put into circulation by the National Bank, starting from July 1, 2016, will be accepted for all types of payments without any limits in the ratio that has already been described, while the bullion (so-called investment) commemorative coins that were issued in turnover of the National Bank are subject to acceptance at their face value without limit for all types of payments.
The decree establishes: 1 Belarusian ruble of the 2009 model is equal to 100 kopecks according to the 2009 model.
Citizens will be able to exchange their old units of money for updated ones in the following institutions:
- from 01.01.2017 – to 31.12.2019 (inclusive) – in the National Bank of the Republic, in banks, as well as in non-banking financial institutions of the republic;
- starting from January 1, 2020 to December 31, 2021 (inclusive) - at the National Bank of the Republic;
- from January 1, 2022, banknotes based on the 2000 model will be regarded as invalid.
The decision regarding the denomination of rubles in the country is dictated by the need to improve money circulation, the need to simplify all calculations, accounting, maintain an optimal structure in the circulation of the entire mass of money, and optimize state spending on ensuring cash circulation of money in the Republic of Belarus.
Currency unit design concept. Denomination in Belarus in 2016 and new banknotes
The generalized concept of the updated banknotes of Belarus will correspond to the slogan “My country is Belarus”. Each of the new banknotes is dedicated to one of the regions and the capital - Minsk. The areas correspond to the denomination of monetary units in alphabetical order. So, for example:
- a banknote with a nominal value of 5 rubles is dedicated to the Brest region;
- 10 rub. – Vitebsk;
- 20 rub. – Gomel;
- 50 rub. – Grodno;
- 100 rub. – Minsk region;
- 200 rub. – Mogilev region;
- 500 rub. - the city of Minsk.
The design of the updated banknotes based on the 2009 model maintains a continuity in relation to the banknotes according to the 2000 standard in relation to the use of building and architectural monuments.
The obverse (i.e. the face) of the exchange (so-called circulating) coins that are put into circulation depicts the State Emblem, and the reverse (its reverse) contains indications in numbers of the denominations of the coins.
Until 01.07. In 2016, the legal means of payment for cash payments in the Republic of Belarus were banknotes based on the 2000 model, which are still in circulation today.
Starting from July 1 and including December 31, 2016, banknotes based on the 2000 model and banknotes with coins of the 2009 model will be used simultaneously, being mandatory for acceptance when making various types of payments (there will be no restrictions for business entities).
Over the next 5 years (January 1, 2017 – December 31, 2021 inclusive), they will begin to exchange signs according to the 2000 standard for signs according to the 2009 standard (any amount unlimited, without any commissions).
Prices of goods and services, starting from 01.07, in 2016 will be recalculated, taking into account the scale of denomination - 1:10000. In other words, if before the denomination a product cost, for example, 100 thousand rubles, then after the redenomination its price will be 10 rubles. Moreover, in order for buyers to quickly adapt to such changes, for the period of simultaneous use of new and old units (i.e., for the period from July 1 to December 31, 2016), each business entity will have to indicate 2 values - new plus old.
In the same way, when performing denomination, pension accruals, wages, as well as scholarships, balances from the accounts of banking institutions, balance sheets of organizations, etc. will be recalculated.
It should be noted that the preparatory work for the implementation of the denomination in Belarus took quite a long period of time. The updated banknotes, planned to be put into circulation starting from July 1, 2016, were manufactured to order from the National Bank of the Republic of Belarus back in 2008. True, at the same time, due to the global economic crisis and, consequently, the complications of the situation in the republic itself, its implementation was postponed, the already issued banknotes were transferred to the Central Vault of the National Bank.
A feature of the 2016 denominational processes is also that due to the removal of zeros, for the first time in the history of independent Belarus there will be coins: both kopecks and rubles. In the very first Belarusian monetary units, kopecks also existed, but they were 50-kopeck bills depicting a squirrel.
Characteristic features of the denomination:
- it is of a technical nature;
- will not affect the purchasing power of monetary units;
- will not affect the exchange rate of the Belarusian currency relative to foreign money;
- will not be reflected in the already formed inflation level.
Considering the time of production, the new rubles have some characteristic features. So, on the banknotes that are put into circulation, the 2009 model, there is a facsimile of the signature of P. P. Prokopovich, who then held the position of Chairman of the Board of the National Bank of the Republic of Belarus. In addition, on the updated banknotes with a denomination of 50 rubles, there is the inscription “pyatsdzesyat”, which does not comply with the spelling rules of Belarus, which are in force today.
What to expect from the denomination in 2016: what will it lead to?
As soon as the National Bank announced the imminent redenomination, the population of the country began to wonder how things would be in the republic after this process in 2016, and what impact it would have on the economic situation of the republic.
The leaders of Belarus, represented by the Ministry of Economy and the National Bank, assured citizens that nothing would change in the country after the 2016 redenomination. In their opinion, this is a purely technical operation, which is connected only with the fact that it is necessary to remove unnecessary zeros from monetary units, thereby simplifying all calculations.
Disagreeing experts, speaking about the results of the denomination, argue that it can lead to an increase in inflationary processes. Responding to these statements regarding redenomination processes, the Ministry of Commerce issued a warning to sellers: rounding up product prices after redenomination is unacceptable.
Experts from the Eurasian Development Bank also say that the decision of the republic’s leadership to redenominate the ruble in 2016 indicates their confidence that a devaluation of the ruble should not be expected in Belarus in the coming year. We can spend a long time thinking about the results of the 2016 denomination, but ultimately the results and news will be clear only after July 1, 2016.
In Belarus, from July 1, 2016, denomination will be carried out. On November 4, Alexander Lukashenko signed decree No. 450 “On the denomination of the official monetary unit of the Republic of Belarus.” This was reported by the press service of the President of Belarus.
The largest bill is 500 rubles. Illustrations: National Bank of Belarus
The decree prescribes to carry out the denomination of the official monetary unit of the Republic of Belarus from July 1, 2016 and to replace, by December 31, 2016, circulating banknotes of the 2000 sample in the form of banknotes with banknotes of the 2009 sample in the form of banknotes and coins in the ratio of 10 thousand rubles in the samples 2000 to 1 ruble in banknotes of the 2009 model.
Commemorative banknotes issued for circulation by the National Bank, from July 1, 2016, are subject to acceptance for all types of payments without restrictions in the ratio specified above, commemorative and bullion (investment) coins issued for circulation by the National Bank are subject to acceptance at face value for all types of payments no limits.
The decree establishes that 1 Belarusian ruble of the 2009 model is equal to 100 Belarusian kopecks of the 2009 model.
From July 1 to December 31, 2016, banknotes of the 2000 sample and banknotes of the 2009 sample are in parallel circulation and are required to be accepted for all types of payments without restrictions in the above ratio.
The exchange of banknotes of the 2000 sample for banknotes of the 2009 sample is carried out without restrictions and without charging a fee from January 1, 2017 to December 31, 2019 - in the National Bank, banks and non-banking financial organizations of the Republic of Belarus, from January 1, 2020 to December 31, 2021 - at the National Bank.
From July 1 to December 31, 2016, manufacturers, sellers, suppliers, performers and their representatives, when providing consumers with information about the goods (works, services) offered, are required to indicate prices (tariffs) in banknotes of the 2000 model and banknotes of the 2009 model.
The National Bank was instructed to ensure the issuance of banknotes of the 2009 model and the withdrawal of banknotes of the 2000 model from circulation, taking into account the provisions of the decree.
Simple explanation
Let us remember that talk about denomination has been raised more than once. In 2014, Alexander Lukashenko, at a meeting with media representatives, said that the design of new banknotes and kopecks had already been approved and they would “somehow resemble the euro.”
He also said then that the denomination would be announced in Belarus six months in advance. " We will think with specialists when this period comes. You have to be very careful here, said the head of state. — We are ready to carry out a denomination at any time. But still, even for this technical step there must be certain conditions. There should not be such an interest rate, there should be no anxiety in the market so that the population does not worry. And so that there are no crisis phenomena in the economy».
« Therefore, we will choose the time and announce this at least six months in advance“, the president noted. — In parallel, both old rubles and new rubles will circulate for at least a year».
The President noted that new money has already been approved, and coins may also be circulated in Belarus along with banknotes. According to the head of state, the new money looks similar to the euro.
« We do not hide, we have been ready for this process for a long time, said Alexander Lukashenko. — But we need to find the time so that under no circumstances will people reproach us for the fact that we carried out a denomination, and someone profited from it. I will have a strict requirement: if we round prices, then only downward. People won't lose anything here».
The President once again assured that the denomination would be announced in advance. " I guarantee it! I won't lie", said the head of state.
MINSK, July 1 – RIA Novosti. Belarus is denominating the national currency, new banknotes are losing four zeros at once. In addition, for the first time since Soviet times, metal coins will appear in the country.
Residents of the country will be able to exchange old money until December 31. There will be no restrictions on exchange.
The national currency appeared in Belarus in 1992. People called rubles “bunnies” because the bills depicted animals: hares, squirrels, bison and wolves.
The first denomination of the Belarusian currency took place in 1994, when one zero was removed from banknotes.
By 1999, inflation in Belarus had grown so much that a banknote of five million rubles was introduced into circulation, which is why in 2000 three more zeros “disappeared” from the money.
Coins and banknotes
The Central Bank will set the ruble exchange rate to the denominated Belarusian ruble from July 1The denomination of the Belarusian ruble will take place on July 1. Banknotes of the 2000 model will be replaced with new ones: for 10 thousand Belarusian rubles of the old model you can get one new one.The new Belarusian banknotes were produced by the British De La Rue, and the coins were produced by the Lithuanian mint and the Kremnica mint in Slovakia, which won the competition.
The country's authorities have established seven denominations of banknotes: five, ten, twenty, fifty, one hundred, two hundred and five hundred rubles. Eight coins will also be in circulation: one, two, five, ten, twenty and fifty kopecks, as well as one and two rubles.
The general concept of the banknote design corresponds to the motto “My country is Belarus.” The banknotes will contain images of Minsk and different regions of Belarus. The correspondence between the area and the denomination of the banknotes was determined in alphabetical order.
Long wait and grammatical error
The new Belarusian money will temporarily have a spelling error and the signature of one of the former heads of the National Bank.
“Preparation for the denomination took quite a long period. The new banknotes, which will be put into circulation on July 1, 2016, were manufactured by order of the National Bank back in 2008,” the regulator said, adding that eight years ago the reform had to be postponed due to the economic crisis.
The regulator also warned about “certain features” of the new banknotes. Thus, on banknotes of the 2009 sample there is a facsimile of the signature of Pyotr Prokopovich, who at that time served as chairman of the board of the National Bank.
In addition, the banknote of fifty rubles has the inscription “pyatsdzesyat” (from Belarusian - “fifty”), which contains a spelling error. According to the new rules adopted in 2008, this word is written with the letter “ya” - “pyatsdzyasyat”.
The regulator emphasizes that there will no longer be errors on banknotes that will be issued later.
The National Bank is ready
Before the redenomination, the National Bank of Belarus stated that the regions and banks had received a sufficient amount of cash of the new type (2009), and in July the maximum load of ATMs would be ensured.
From July 1, banking operations, including foreign exchange, will be carried out using 2009-style cash along with old-style money.
In order to speed up the process of introducing new banknotes into circulation and simplify the population’s payments during the period of parallel circulation of old and new money, the board of the National Bank decided not to charge a fee for supporting banks with banknotes of the 2009 model for one month, and coins of the 2009 model for six months.
Banks, in turn, must carry out similar operations free of charge for their clients - legal entities (with payment only for the transportation itself), and also organize the exchange of old banknotes for new ones directly at bank cash desks for individuals.
At the same time, change coins must be delivered to trading organizations from the first days of the denomination.
In addition, from July 1, banks must exchange banknotes of the 2000 model for coins of 2009 free of charge through exchange offices, cash settlement centers located on the territory of trade and service organizations.
The National Bank also reported that banking equipment, including payment terminals, will be ready to process transactions using payment cards at the new price scale from July 1.
Temporary difficulties
Against the backdrop of the upcoming redenomination, residents of Belarus are faced with the problem of withdrawing cash from ATMs.
Banks reported possible problems when making non-cash payments for goods, services, and purchases via the Internet. In addition, interruptions in the operation of ATMs and payment terminals are predicted in the first days after the reform. Belarusians were even recommended to make all important payments in advance, as well as withdraw some cash “for the first time.”
RIA Novosti correspondents noted that already on Wednesday, residents of the republic began stocking up on cash, and queues formed near some ATMs.
A number of ATMs stopped working altogether before the redenomination, which may be due to both equipment reprogramming and increased load.
Residents of the country this week faced another problem - they could not get correct information about how much money was left on their cards. The banks promised to sort out the situation as quickly as possible.
Foreigners may face problems
The reform also affected foreigners who came to the republic in the first hours of the announced denomination. Cards from foreign banks were not serviced, which is why visitors could not withdraw money or even make cashless payments. Not everyone was able to exchange currency for Belarusian rubles either.
At the contact center of Belarusbank, whose exchange offices are located at the Minsk railway station, RIA Novosti reported that “on June 30, exchange offices with round-the-clock operation work with clients until 22.00, and on July 1, exchange offices with round-the-clock operation begin working with clients from 02.00".
Punishment for those who want to make money
The country's President Alexander Lukashenko promised to “tear off the heads” of those who take advantage of the denomination of the Belarusian ruble to raise prices.
“There will be no increase in prices due to the redenomination. I guarantee you this. We will rip our heads off for this if anyone tries to take advantage of this technical process,” the Belarusian leader said shortly before the redenomination.
“When prices are being recalculated (as a result of denomination - ed.), there is a desire to increase it a little, by a penny. More, of course, will not work, because everything is under control. But we agreed, and the government made the decision: there is no need even for raise a penny. Lower it by one penny, and people will say that we acted respectably," he emphasized.
Lukashenko also noted that the country is not threatened by inflation.
“After all, we are not very rich now, and our wages are not growing so quickly. And this holds back demand. Therefore, if some tradesman raises prices, people will not come to him,” he believes.
At the beginning of November 2015, the President of the Republic of Belarus signed a law on the redenomination of the official banknote in the summer of 2016. This entire denomination in Belarus has become the largest, and the news about the change of banknotes is one of the loudest in recent times. What led to the depreciation of the Belarusian currency and what will happen after the redenomination?
and why is it needed
Denomination is an economic procedure that is carried out with the aim of changing the nominal value of the national currency in order to stabilize money circulation after hyperinflation and simplify the payment procedure.
What will happen after the denomination in Belarus? During the procedure, old banknotes are exchanged for new ones, usually of lower value (face value), but with the same purchasing power. The denomination provides for the gradual withdrawal of the old currency from circulation. If this happens over several weeks, then most often not the entire money supply is exchanged, which causes additional problems associated with the subsequent inability to exchange currency and loss of funds. If several years are allotted for the procedure, when old banknotes circulate on a par with new ones, and currency can be freely exchanged for new money, then the process occurs, albeit slower, but more harmoniously and stably.
During denomination, salaries, tariffs, the cost of food and services provided, scholarships, pensions and other social benefits are recalculated. The state gets rid of excess money supply, which allows:
- further reduce the costs of issuing new banknotes of larger and larger denominations;
- simplify all calculations: both daily household expenses and monthly income of the population, as well as calculations at the state or international level;
- identify hidden incomes of the population, since in order to avoid financial losses, all savings are exchanged, and non-cash funds are transferred into cash;
- strengthen the national currency in relation to the banknotes of foreign countries.
Denomination is usually carried out after hyperinflation. In other cases, the procedure can undermine the stability of the country’s economy and negatively affect the psychological state of the population. In addition, when denomination is carried out “not according to indications,” purchasing power suffers.
In simple words about denomination
What is this? Simply put, denomination in any country in the world (including denomination in Belarus) is a process when a certain number of zeros are “removed” from a currency, depending on the scale of previous hyperinflation, that is, a sharp and significant depreciation of money.
What will happen to prices and tariffs? In connection with the procedure, all prices and payments (salaries, tariffs, social benefits, scholarships) are recalculated to new money without changes.
Why is denomination needed? The procedure makes it possible to simplify calculations, increase the status of the national currency and, in the future, reduce government costs for issuing banknotes of ever larger denominations.
Reasons for denomination in Belarus
The denomination in Belarus is carried out due to hyperinflation. The country has been experiencing a depreciation of the national currency since independence. From 1992 to 2012, the monetary unit depreciated 237.5 million (!) times, which is almost 12 million percent per year. However, hyperinflation in Belarus is not so “stable”: the highest percentages occurred in the 1990s, and in the 2000s, inflation could be more than fifty percent per year. For comparison: the normal inflation rate is considered to be 3-5% per year.
A rather strange situation has become the reason that every first resident of Belarus can rightfully consider himself a millionaire. One pair of high-quality jeans, for example, cost a little more than one million Belarusian rubles, and the average salary of a doctor was six million.
What will be the denomination in Belarus?
The redenomination in 1994 made it possible to remove only one zero from the national currency in relation to the 1993 banknotes. In 2000, one thousand was exchanged for one ruble, and in 2016 the exchange ratio will be 1 to 10,000.
A similar situation occurred only in one of the union republics. Thus, in 1995, Georgia reduced the value of the national currency by a million times, but it is also far from Belarus, where the ratio of the 2016 ruble to the 1993 currency was 100 million times.
What will happen after the 2016 denomination? The denomination of the ruble in Belarus in 2016 involves “reducing the number of zeros” on banknotes by 4. Thus, if a certain product previously cost 1,000,000 rubles, now its price will be 100.
Timing of the economic procedure
Money denomination in Belarus will be carried out until the end of 2021. The process started on July 1, 2016 and includes the following stages:
- until December 31, 2016, money exchange is carried out without restrictions, the old and new currency are in parallel circulation;
- until December 31, 2019, exchange will be possible in banks and non-banking organizations;
- until December 31, 2021, it will be possible to exchange old banknotes for new ones only at the National Bank.
Until the end of this year (2016), sellers are required to indicate two prices simultaneously: the cost of goods and services before and after denomination.
What will the new banknotes be like?
Each of the new banknotes will be dedicated to one of the six regions of the country and the capital. When developing the design, images of architectural monuments were used. Eight coin denominations have also been prepared. according to the President of the Republic of Belarus, “they are somewhat reminiscent of the euro.”
Even the National Bank indicated in its official statement that the new banknotes are somewhat unusual (“have some features”). Firstly, there will be a spelling error on the fifty-ruble bill, and secondly, P. Prokopovich, who no longer holds this post, will be indicated as the head of the National Bank on the new banknotes. Such confusion resulted from the fact that preparations for a large-scale denomination in Belarus began back in 2008, when part of the banknotes were printed, but the global financial crisis prevented the plan from being carried out. Since then, the republic has managed to carry out a language reform and change the head of the National Bank.
Rate against other currencies
What will happen after the redenomination in Belarus in relation to other currencies? Some online converters currently consider the exchange rate to be the same as before the denomination, others have already “rebuilt”.
At the moment, one ruble costs 33 Russian or 13 hryvnia. One dollar after redenomination in Belarus costs a little less than two rubles, one euro - a little more.
