Mexico has a new 1,000 pesos banknote ready to enter circulation, Is the 2,000 banknote to follow?

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The Mexican Revolution will be the central theme and Hermila Galindo, Francisco I. Madero, and Carmen Serdán will appear.

Photo: Banxico.

The new 1,000 pesos banknote will enter circulation in the second half of the year, according to Banco de México (Banxico).

The Mexican Revolution will be the central theme and Hermila Galindo, Francisco I. Madero, and Carmen Serdán will appear.

“On the reverse side, the humid forest ecosystem will be represented with the jaguar, the jungle, and the sapodilla in the Ancient Mayan City of Calakmul, ” says a Twitter message.

Demand for Mexican banknotes and coins rose by 21.46 billion pesos (mp) in the week ending May 15, so the preference for keeping and using cash in the economy reached its highest level in the history, at $ 830,043 million pesos, reported by Banco de México (Banxico).

Rodolfo Navarrete, director of economic analysis at Vector Casa de Bolsa, explained in an interview that normally when there are natural disasters the preference for liquidity increases.

“When there are these kinds of problems, people would rather  have money on hand  than do credit card operations.”

A 2,000-peso bill is projected to be released in 2022 or 2023

The 2,000-peso bill, announced in late 2018, will not be issued until 2022 or 2023, Banco de México (Banxico) revealed. It is expected that the demand that justifies the circulation of this type of ticket will not be reached until that date, said Alejandro Alegre, general director of Emission of Banxico.

“The ticket is in the work program of the new family, as long as the demand of the population suggests so. We do not see that demand or that variable, we do not see it close in the next three to four years,” he said.

The issuance of a 2,000-peso bill has to do with an inflationary risk that is looming due to a possible economic recession in Mexico, explained Federico Pérez Cruz, president of Canacope, Mexico City. 


However, he noted, issuing a bill of that denomination would make the lower purchasing power of the population more evident.”As long as there is no need to get very high denomination banknotes, what we have seen is that it would be useless because nobody could change it,” he said.

The plan to issue a 2,000-peso banknote is part of the renewal program for Banco de México’s new banknote family to improve security measures, said Alejandro Alegre.

In 2018, the new 500 peso banknote was started. For the second semester of 2019, it is planned to release the new 200 pesos. Later, in 2020, a new thousand-peso bill will be issued, she assured.

In May 2019, the circulation of the thousand-peso bill was 74 million pieces , while the circulation of the 500-peso bill was 2 thousand 92 million pieces, according to data from Banxico.

The second banknote with the largest circulation is the 200 peso note, with 901 million pieces, followed by the 100 peso polymer note, with 683 million pieces.

Closely followed by the 50-peso polymer note, with 591 million pieces , and the 20-peso polymer note, with 555 million pieces.

Taking into account all the denominations, 5 thousand 209 million tickets circulate in the country, as of May 2019. This meant an increase of 4 percent compared to the same month of 2018, according to Banxico.

Source: forbes.com.mx, banxico.org.mx

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