BANK of ZAMBIA

OFFICE OF THE DEPUTY GOVERNOR - OPERATIONS

24th December 2012

CB Circular No: 26/2012

To: All Commercial Banks

CASH WITHDRAWAL OF REBASED CURRENCY BY COMMERCIAL BANKS FROM BANK OF ZAMBIA AND SUBCHESTS

As you may be aware, the Bank will issue into circulation the rebased currency as legal tender on 1st January 2013. Consequently, the Bank of Zambia has distributed the rebased currency to the Sub chests around the country in readiness for the launch of the currency rebasing.

To this end, the Bank wishes to advise that effective 26th December 2012, commercial banks will be allowed to withdraw the rebased currency from Bank of Zambia Head Office, Lusaka, Regional Office and the Sub chests. Therefore, commercial banks are requested to commence sending notices of cash withdrawal to the Bank of Zambia, Monday, 24th December 2012. However, notices of cash withdrawal for the K20 denomination should be submitted on 28th December 2012 for payment on Monday, 31st December 2012.

Commercial banks that will have entered into Cash Advance Agreements with the Bank of Zambia may draw against such advances while those that have not may withdraw using their respective settlement accounts.

In order to have a seamless rebased currency withdrawal process, commercial banks are encouraged to ensure that all cash withdrawals are in standard lots (quantities) of 50,000 banknotes for each denomination as indicated in the attached Table 1. This is especially so for cash withdrawals made at the Bank of Zambia Head Office and Regional Office. Similarly for coins, commercial banks shall withdraw in standard lots as indicated in the attached Table 2.

Commercial banks are kindly advised that the rebased currency withdrawn from the Bank of Zambia shall not be issued into circulation until 1st January 2013, when it becomes legal tendered. Therefore all necessary precautions should be taken to ensure that the rebased currency is not released into the public domain before 1st January 2013.

In the meantime, commercial banks are advised that withdrawals of the currently circulating currency will continue as usual until 28 December, 2012 given that 31st December 2012 is a Bank holiday.

For ease of reference, please find attached also the Cash Withdrawal Notice Form (Form CW).

Should you require any further clarifications, please do not hesitate to contact the undersigned.

Bwalya K.E. Ngandu (Dr)
DEPUTY GOVERNOR – OPERATIONS

Cc
Governor
Deputy Governor – Administration

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TABLE 1: WITHDRAWAL OF BANKNOTES

DENOMINATION	PREFIX/SYMBOL ON BOX	PIECES PER BOX	VALUE PER BOX (ZMW)
K100	F	50,000	5,000,000.00
K50	D	50,000	2,500,000.00
K20	D	50,000	1,000,000.00
K10	C	50,000	500,000.00
K5	B	50,000	250,000.00
K2	A	50,000	100,000.00

TABLE 2: WITHDRAWAL OF COINS

DENOMINATION	PREFIX/SYMBOL ON BOX	PIECES PER BAG	PIECES PER BOX	VALUE PER BOX (ZMW)
K1	K	1,000	10,000	10,000.00
50 Ngwee	G	1,000	14,000	7,000.00
10 Ngwee	H	1,000	16,000	1,600.00
5 Ngwee	J	1,000	16,000	800.00

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CASH WITHDRAWAL NOTICE (FORM CW)

Assistant Director
Currency Division
Bank of Zambia
P.O Box 30080
Lusaka

Date...........

Dear Sir/Madam

RE: CASH WITHDRAWAL FOR (DATE)

The above Subject refers

Kindly be advised that we wish to make cash withdrawal of ZMW....................... (Amount in Words) on ....................... with the breakdown as follows:

Denomination	Amount
K100	........
K50	........
K20	........
K10	........
K2	........
K1	........
50N	........
10N	........
5N	........

Total K...........

Names of commercial Bank representative...........

Signature.......................

Yours faithfully,

Authorised Signatory........... Authorised Signatory...........
Name....................................... Name.......................................
Position................................... Position...................................