Will SBP Discontinue the Rs. 5,000 Currency Note?

The State Bank of Pakistan (SBP) has clarified that there is no proposal under consideration to discontinue the Rs. 5,000 currency note, easing speculation about a possible withdrawal of the high denomination bill.

Governor SBP Jameel Ahmad made the clarification while briefing the Senate’s Standing Committee on Finance today. He explained that any move to discontinue the Rs. 5,000 note would have a significant and disruptive impact on the market.

Chairman Federal Board of Revenue (FBR) Rashid Langrial also cautioned that even discussing the end of this note could create serious uncertainty in the economy, given its widespread use in transactions.

The SBP governor said that any decision related to replacing or changing currency notes would only be implemented with formal approval from the federal government and the federal cabinet.

He informed the committee that the SBP Board has already approved the designs for new currency notes. These notes will feature improved security elements and a revised color scheme aimed at reducing counterfeiting and enhancing durability.

Jameel further explained the government is authorized to proceed with implementation only after cabinet approval, and no unilateral action can be taken on currency replacement.

Officials emphasized that the planned changes relate to upgrading currency design and security features, not to withdrawing any existing denomination from circulation.