EghtesadOnline: The Central Bank of Iran Sunday unveiled a new 50,000-rial banknote with higher security features and four zeroes having a light hue.
It has a depiction of Hafezieh, the tomb of Hafez, the renowned 14th-century Persian poet in Shiraz, on its reverse, IBENA reported.
Microprints, linear design, a sign for the visually impaired citizens, intaglio printing and latent printed images are among security features implemented in the third version of the 50,000-rial banknote.
The CBI has said it has plans to redenominate the rial by shaving off four zeroes and changing the monetary unit from the rial to the popularly used ‘toman’.
As part of rules under the ‘Reforming Monetary and Banking Law’ passed last May "Iran’s currency unit will be toman and each toman will be worth 10,000 rials and 100 qerans”.
Law stipulates a maximum two-year “transitional period” during which both the toman and rial will be legal tender.
The CBI Governor Abdolnasser Hemmati has publicly defended the change. Addressing lawmakers earlier, Hemmati said, “the rial has lost its reason for being and the toman has become the norm.”
Proponents of the plan argue that lopping off zeroes is necessary given the unprecedented devaluation of the national currency.
CBI also refers to the enormous amount of money in circulation due to the tanking of the rial, arguing that getting rid of zeroes will cut costs of printing banknotes.
It is said the government spends 4 trillion rials ($16 million) each year to destroy mutilated banknotes and print new ones.