No new notes at banks; footpath market booms before Eid

As Eid approaches, collecting new banknotes to give as salami to children and exchanging greetings with relatives remains a cherished tradition for many families. 
This year, however, a different reality has emerged in the capital. With banks halting the official distribution of new notes, an informal market has flourished on footpaths, forcing customers to pay extra to obtain fresh currency.
Bangladesh Bank has decided not to distribute new banknotes to the general public this year. 
According to sources, although new notes have been supplied to banks, they have been restricted mainly for internal use. 
As a result, unlike previous years, customers are unable to collect new notes by queuing at designated bank branches.
Taking advantage of the situation, a temporary market for new notes has sprung up on the footpaths in front of the Bangladesh Bank headquarters in Motijheel. 
At least a dozen vendors were seen displaying bundles of new Tk10, Tk20, Tk50 and Tk100 notes. Many sellers appeared to have stocks worth Tk4 lakh to Tk5 lakh. 
When their displayed bundles run out, they reportedly bring additional supplies from nearby storage spots to continue selling.
Although selling banknotes as a commodity is illegal, the trade is taking place openly on the footpaths beside Bangladesh Bank in Motijheel and in front of Gulistan Sports Market. 
In these two areas alone, more than 80 temporary stalls are reportedly involved in trading new and damaged banknotes. Buyers are paying an additional Tk150 to Tk450 to purchase bundles of notes ranging from Tk2 to Tk1,000.
Private-sector employee Mohammad Tarikul Islam said he faced difficulties while trying to collect new notes for Eid. He visited several public and private banks but failed to obtain any.
“There is a special joy in giving children new notes during Eid. But not being able to get them from banks has spoiled that joy this year,” he said.
Ratan Rahman, another private-sector employee who bought new notes in front of Bangladesh Bank, said he will travel to his hometown for Eid and wanted fresh notes for children in his family. He paid an extra Tk330 to buy a bundle of Tk20 notes.
One vendor said customer demand has increased over the past few days. He added that fewer new notes have entered the market this year and prices could rise further as Eid approaches.
Visits to Motijheel and Gulistan revealed that bundles of Tk5, Tk10 and Tk20 notes are currently the most sought after. 
New-design notes of Tk10, Tk20, Tk50 and Tk100 are also available in the market, often at higher prices.
According to sellers, a bundle of newly printed Tk2 notes with the old design is selling for Tk100 to Tk150 above face value. 
Bundles of old-design Tk10 notes are being sold for an additional Tk250 to Tk300, while new-design Tk10 notes are priced Tk300 to Tk350 higher. 
Similarly, bundles of new-design Tk20 notes are selling for Tk300 to Tk350 extra, while the old-design versions are priced Tk250 to Tk300 higher.
Bundles of old-design Tk50 notes are selling for about Tk200 extra, while the new-design versions cost Tk250 to Tk300 more. 
For Tk100 notes, both new and old designs are being sold at an additional Tk300 to Tk400 per bundle. 
Bundles of higher denominations – Tk200, Tk500 and Tk1,000 – are also selling for Tk200 to Tk300 above face value.
Meanwhile, Arief Hossain Khan, executive director and spokesperson of Bangladesh Bank, said selling new notes as a commodity in the market is completely illegal.
“If any officials of Bangladesh Bank or commercial banks are found involved in such activities, action will be taken against them,” he said.
He added that although demand for new notes typically rises during festivals, people should gradually move away from the practice as the country moves toward a cashless economy. 
New notes are not a commodity, and selling them as such is entirely unlawful, he said.