The History of Philippine Money

Summary

The Philippine currency's evolution reflects the nation's rich history, from barter tokens to modern banknotes. Early forms included cowry shells and gold piloncitos. Spanish colonization introduced coins like the dos mundos, while American rule established the Philippine Peso. Japanese occupation brought 'Mickey Mouse money' due to hyperinflation. Post-war, the Central Bank of the Philippines issued new currencies with enhanced security features. The New Generation Currency series introduced polymer banknotes, and commemorative issues honor national figures, reflecting the country's journey and cultural identity.

Takeaways

• 🏝️ The Philippine currency has a rich history, evolving from barter tokens with Javanese letters to modern banknotes featuring Filipino language and culture.
• 🐚 Cowry shells were the earliest form of currency in the Philippines, used for centuries before the arrival of the Spanish.
• 🏺 Gold was abundant and used to create the first coins called piloncitos, which had inscriptions similar to Javanese script.
• 👑 Spanish colonization introduced new coins like the cob and dos mundos, which represented Spanish dominion over the Old and New Worlds.
• 🏦 The first Philippine bank, El Banco Español Filipino de Isabel II, was established in 1851 and began printing the first local currency.
• 🏛️ The Malolos Constitution in 1899 led to the issuance of the First Philippine Republic's currency, including revolutionary notes and copper coins.
• 🏳️‍🌟 After the Spanish-American War, the U.S. introduced the Philippine Peso valued at half of the US dollar, with coins designed by Filipino engraver Melecio Figueroa.
• 🎖️ The Japanese occupation during World War II brought about 'Guerilla notes' and 'Mickey Mouse money', leading to hyperinflation and economic disruption.
• 🏦 The Central Bank of the Philippines (BSP) was established in 1949, centralizing currency issuance and introducing new designs and security features.
• 💵 The New Generation Currency series introduced in recent years includes the first polymer banknote, enhancing durability and security against counterfeiting.
• 🏗️ Currency in the Philippines has been a reflection of historical events, cultural elements, and national identity, with banknotes often featuring Filipino heroes and significant historical moments.

Q & A

What was the initial form of currency in the Philippines before the Spanish colonization?

The very first form of currency in the Philippines were cowry shells, which were made with gold, jade, quartz, and wood, and were used for centuries.

What does the inscription 'M.A.' on the piloncitos coins signify?

The inscription 'M.A.' on the piloncitos coins may have been a representation of the name of the islands before Spanish colonization, with many believing that the islands were named Ma-i or Mayi by the Chinese.

How did the Spanish influence the Philippine currency during their colonization?

The Spanish introduced coins such as cobs or macuqinas, and later the Dos Mundos, which represented Spanish dominion. They also centralized the government and improved the revenue and tax collection system.

What was the significance of El Banco Español Filipino de Isabel II in the Philippine monetary history?

El Banco Español Filipino de Isabel II, established in 1851, was the first bank in the Philippines and Southeast Asia. It was given the power to print Philippine currency, marking the first time Philippine pesos were printed in the country.

What changes occurred in the Philippine currency after the Declaration of Independence in 1898?

After the Declaration of Independence in 1898, the First Philippine Republic issued its own currency, including two-centavo copper coins and revolutionary notes labeled 'Republica Filipina Papel Moneda.'

How did the American occupation impact the Philippine currency system?

During the American occupation, the Philippine Coinage Act of 1903 was passed, establishing the Philippine Peso valued at half of the US dollar. It also introduced new banking, currency, and credit systems.

What were the 'Guerilla notes' and 'war notes' during the Japanese occupation of the Philippines?

Guerilla notes, also called Resistance Currencies, were low denomination notes issued by provinces and municipalities as a show of resistance against the Japanese forces. War notes were high denomination notes issued by the Japanese Occupation Forces, which had no back-up reserves and were dubbed 'Mickey Mouse money' by Filipinos.

What was the role of the Central Bank of the Philippines (BSP) in the post-World War II era?

After World War II, the Central Bank of the Philippines (BSP) was established in 1949, taking over the right to issue Philippine pesos from the Bank of the Philippine Islands (BPI), and was actively involved in the post-war reconstruction of the country.

What is the significance of the 'Filipinization' of Philippine currency in 1969?

The 'Filipinization' of Philippine currency in 1969 introduced the Pilipino Series, which featured multi-colored Central Bank notes worded in Filipino, with intricate designs reflecting Philippine culture and history, and depicted Filipino heroes and vignettes of Philippine history.

How have polymer banknotes impacted the Philippine currency system?

In April 2022, the BSP began circulating the new 1000-peso polymer banknotes, the first polymer banknote in the Philippines. Polymer banknotes offer greater durability, resistance to moisture, and enhanced security features, making them difficult to counterfeit.

Why are commemorative currencies significant in the Philippines?

Commemorative currencies in the Philippines honor heroes, historical events, and places, contributing to the status and recognition of significant figures and events. They also become collector's items and help inculcate a sense of national identity.

Outlines

00:00

🏛 Early Philippine Currency and Spanish Influence

The Philippine money system has undergone significant transformations from barter tokens with Javanese letters to banknotes in various languages. The evolution of the Philippine Peso is intertwined with the nation's political, cultural, and historical milestones. Before the Spanish colonization, indigenous tribes engaged in barter trade with neighboring countries, using commodities like gold, pearls, and cotton. The first form of currency was cowry shells, followed by gold coins known as piloncitos. Spanish colonization introduced new coins like cobs, macuqinas, and the Dos Mundos, which became globally respected. The Spaniards also centralized the government and improved revenue and tax collection systems, leading to the minting of the first local coin, the barilla, and the establishment of the first bank, El Banco Español Filipino de Isabel II, which began printing the first Philippine currency.

05:04

🏞 The First Philippine Republic and American Occupation

The Philippines' first bank, El Banco Español Filipino de Isabel II, was also the first in Southeast Asia. After the revolution in 1869, the bank's name was shortened, and following the Declaration of Independence in 1898, the First Philippine Republic issued its own currency, including copper coins and revolutionary notes. However, the republic was short-lived, and American occupation introduced new banking, currency, and credit systems. The Philippine Coinage Act of 1903 established the Philippine Peso, valued at half of the US dollar, and El Banco Español Filipino transitioned into the Bank of the Philippine Islands (BPI). During World War II, the Japanese invasion led to the circulation of Guerilla notes and war notes, the latter of which were hyperinflated and dubbed 'Mickey Mouse money.' Post-war, BPI was involved in reconstruction, and the Central Bank of the Philippines (BSP) was established, marking the end of BPI's right to issue currency.

10:09

🎨 Artistic Evolution and Modernization of Philippine Currency

The Philippine currency has evolved aesthetically, reflecting the country's history and cultural elements. The English Series notes and minted coins, designed with similarities to American currency, featured Filipino heroes and historical vignettes. The Pilipino Series in 1969 introduced multi-colored notes with intricate designs, influencing the aesthetics of subsequent currency. The Ang Bagong Lipunan Series, issued during Ferdinand Marcos's martial law, showcased vibrant colors and designs reflecting Philippine culture. As banknotes incorporated advanced security features like holograms and microprinting, the BSP issued the New Design Series in 1985, highlighting historical leaders and moments. The series continued to evolve with the inclusion of new denominations and commemorative currencies, reflecting the nation's ongoing historical narrative.

15:10

💸 New Generation Currency and Commemorative Issues

The New Generation Currency (NGC) series introduced modernized banknotes and coins with enhanced security features. The 1000-peso bill from this series highlighted the Tubbataha Reefs Natural Park, and in 2020, the series was updated for accessibility and anti-counterfeiting technology. A significant development was the introduction of the 1000-peso polymer banknote in 2022, the first of its kind in the Philippines, made from durable polypropylene. The shift to polymer has been adopted by many countries to reduce counterfeiting. The BSP also issues commemorative currencies to honor heroes, historical events, and places, which often become collector's items. Controversies have arisen over the inclusion and exclusion of figures on currency, reflecting the nation's evolving narrative and the significance of currency as a medium for historical remembrance and national identity.

20:14

🏷 The Currency as a Reflection of National Identity

Philippine currency serves as a reflection of the nation's collective story, with each banknote and coin representing historical and political milestones. The inclusion of presidents and heroes on currency is a tradition that helps Filipinos remember and learn about their history. The currency not only prevents counterfeiting with microscopic details but also serves as a tangible connection to the past, allowing people to carry and exchange glimpses of history in their daily lives. The decision-making process for who appears on currency involves consultation and approval within the BSP and other authorities, ensuring that the currency continues to represent the nation's values and heritage.

Keywords

💡Barter

Barter refers to the exchange of goods or services without the use of money. In the context of the video, it highlights the early economic interactions among indigenous tribes in the Philippines, who engaged in barter trade with neighboring countries, exchanging valuable commodities like gold, pearls, and cotton. This practice predates the introduction of formal currencies and reflects the video's theme of economic evolution.

💡Piloncitos

Piloncitos are ancient Filipino gold coins that were part of the first types of currency on the islands. They had a flat base and an embossed inscription with the letters 'M' and 'A', possibly representing the early name of the islands. The mention of piloncitos in the video illustrates the transition from barter to more formal currency systems, showcasing the historical development of monetary exchange in the Philippines.

💡Dos Mundos

Dos Mundos, or 'two worlds', were Spanish silver coins that symbolized Spanish dominion over both the Old World (Europe) and the New World (Americas and the East). These coins were known for their exquisite design and became respected worldwide. In the video, Dos Mundos coins represent a significant phase in the evolution of Philippine currency, reflecting the cultural and political influence of Spanish colonization on the country's monetary system.

💡Galleon Trade

The Galleon Trade was a sea route that connected Manila to Acapulco, facilitating the exchange of goods and silver coins between the Philippines and Spanish colonies in the Americas. This trade route is mentioned in the video as a key factor in the introduction of foreign currencies into the Philippines, which became part of the local economy and influenced the development of the Philippine monetary system.

💡Barilla

Barilla refers to the first coin struck in the Philippines during the Spanish occupation. It was a small-value bronze or copper coin worth about one centavo. The term 'barilla' evolved into the Filipino term 'barya'. In the video, barilla coins signify the beginning of local minting and the centralization of the government's revenue and tax collection system, marking a shift towards a more organized monetary system.

💡Malolos Constitution

The Malolos Constitution was a document proclaimed on January 23, 1899, establishing the First Philippine Republic and declaring the islands' independence from Spain. It is mentioned in the video as a pivotal historical moment that led to the issuance of the new Philippine Republic's currency, including copper coins and revolutionary notes, symbolizing the country's sovereignty and the short-lived First Republic.

💡Philippine Coinage Act of 1903

The Philippine Coinage Act of 1903 was a legislative act passed by the US Congress that established the Philippine Peso as a new unit of currency, valued at half of the US dollar. This act is highlighted in the video as a significant event during the American occupation, which standardized the currency and set the stage for the modern Philippine monetary system.

💡Bank of the Philippine Islands (BPI)

Bank of the Philippine Islands (BPI) is the first bank in the Philippines and Southeast Asia, established on August 1, 1851, as El Banco Español Filipino de Isabel II. It is mentioned in the video as a crucial institution that was initially authorized to print Philippine currency, reflecting the evolution of banking and monetary systems in the country.

💡Ang Bagong Lipunan Series

Ang Bagong Lipunan Series refers to a series of banknotes issued by the Central Bank of the Philippines during President Ferdinand Marcos' era, reflecting the new era of reforms. These banknotes, as discussed in the video, featured vibrant colors and intricate designs representing Philippine culture and history, showcasing the artistic and cultural aspects of the country's currency.

💡New Generation Currency (NGC) series

The New Generation Currency (NGC) series represents the modernized banknotes and coins of the Philippines, introduced with updated designs and enhanced security features. As described in the video, this series includes the first polymer banknote, which won the 'Banknote of the Year Award' for 2022, highlighting the country's advancement in currency technology and security.

💡Commemorative currencies

Commemorative currencies are special coins or banknotes issued to honor significant historical events, individuals, or places. The video mentions these currencies as a way for the Philippines to celebrate its history and heroes, such as the Centennial of Philippine independence, thereby using currency as a medium to remember and learn about the nation's past.

Highlights

The Philippine money system evolved from barter tokens to banknotes in Spanish, English, and Filipino.

Cowry shells were the first form of currency on the islands, used for centuries.

Gold was used to create barter rings and coins called piloncitos, with inscriptions similar to Javanese script.

Spanish coins like cobs and dos mundos were introduced during the Spanish occupation.

The first coin minted in the Philippines was the barilla, a bronze or copper coin worth about one centavo.

El Banco Español Filipino de Isabel II was the first bank in the Southeast Asian Region, established in 1851.

The Malolos Constitution in 1899 established the First Philippine Republic and its own currency.

The Treaty of Paris in 1898 ended Spanish colonization and transferred the Philippines to the United States.

The Philippine Coinage Act of 1903 established the Philippine Peso, valued at half of the US dollar.

The Bank of the Philippine Islands (BPI) was fully privatized during the American colonial period.

During the Japanese occupation, guerilla notes and war notes were issued, leading to severe inflation.

The Central Bank of the Philippines (BSP) was established in 1949, taking over currency issuance from BPI.

The Pilipino Series in 1969 introduced multi-colored banknotes with Filipino language and historical vignettes.

The Ang Bagong Lipunan Series reflected the reforms of President Marcos and remained in circulation until 1998.

The New Design Series in 1985 featured Filipino heroes and historical events, with enhanced anti-counterfeiting features.

The New Generation Currency (NGC) series introduced modernized banknotes and coins with updated designs and security features.

The Philippine 1,000-peso polymer banknote was released in 2022, the country's first polymer banknote.

Commemorative currencies are produced to honor heroes, historical events, and places in the Philippines.

Currency design and issuance decisions are made by the BSP through consultation and approval processes.

Banknotes serve as a medium to remember and learn about Philippine history and national identity.

Transcripts

Philippine money evolved from barter tokens with Javanese letters to banknotes in Spanish, then English, then Filipino.

Changes in our currency were a result of political, cultural, and historical moments.

Looking at the Philippine Peso’s transformation through the years is a story that cannot be told without a journey through history.

Long before Magellan first set foot on our islands in 1521, there was vibrant life on the islands.

Early indigenous tribes and occupants of the islands, long before they were called Filipinos,

would engage in barter trade with neighboring countries, such as China, Thailand, Java, and Borneo.

They would exchange valuable commodities like gold, pearls, and cotton.

Eventually, a medium of exchange emerged. Cowry shells were considered the very first form of currency on the islands.

They were made with gold, jade, quartz, and wood, and were a common form of money for centuries.

One of the first types of coins was made of gold, which was abundant on the islands. Gold was used to create barter rings and coins called piloncitos.

The piloncito had a flat base and an embossed inscription with the letters M and A in a form of writing similar to Javanese script,which was used in the country in the 11th century.

This inscription “M.A.” may have been a representation of the name of our islands, before the Spanish colonization.

Many believe that we were named Ma-i or Mayi by the Chinese.

Historical records from both China and Brunei describe having trade relations with “Ma-i”.

Ma-i was mentioned in the official history of the Song dynasty.

This record lists Ma-i among the southern sea nations with whom Chinese merchants traded in the year 971 AD, which coincides with the time the coins were in circulation.

Historian William Henry Scott confirms that this is “the first positive reference to political states in or near the Philippines.”

During the Spanish occupation, galleons from Mexico and other Spanish colonies brought their coins into the islands.

Cobs or macuqinas were silver coins that usually had a cross on one side, and the Spanish royal coat-of-arms on the other side.

A Spanish coin called dos mundos eventually replaced the cob coins.

Dos Mundos or “two worlds,” were exquisitely designed silver coins intended to represent Spanish dominion over the Old World of Europe and the New World of the Americas and the East.

The coins became known as the Mexican Pillar Dollar or the Columnarias, because one of the sides featured an emblem with two columns.

The Dos Mundos became one of the most respected coins around the world.

Along with revamping our monetary system, the Spaniards centralized the government.

They used their administrative resources to improve the revenue and tax collection system.

The first coin that was struck in the Philippines was the barilla, a crude bronze or copper coin.

It was worth about one centavo. These were the smaller value coins. The word barilla gave way to the Filipino term “barya.”

Coins from other Spanish colonies also made their way into the Philippines and became legal currency.

The Galleon Trade connected Manila to Acapulco, and such connections brought silver and coins into the country.

In the 1800’s gold coins with the portrait of Queen Isabela II, Queen of Spain at the time, were minted in Manila.

Our country’s first bank was established on August 1, 1851. El Banco Español Filipino de Isabel II was a government bank named after the Queen of Spain.

El Banco Español was given the power, by royal decree, to print Philippine currency, which gave way to the first Philippine peso to be printed in the country.

Before this, our paper bills were all printed abroad.

The Philippines’s first bank was also the first bank in the Southeast Asian Region.

In 1869, a revolution overthrew Isabella II, and on September 3, 1869, the bank's name was shortened to Banco Español-Filipino.

On June 12, 1898, Emilio Aguinaldo signed the Declaration of Independence, and on January 23, 1899,

the Malolos Constitution was proclaimed, establishing the First Philippine Republic.

The document proclaimed the sovereignty and independence of the Philippine Islands from over 300 years of Spanish rule.

The new Philippine Republic issued its own currency. Two kinds of two-centavo copper coins were stuck at the Malolos arsenal.

One peso and 5-peso revolutionary notes were printed, labeled “Republica Filipina Papel Moneda,” and “Un Peso” and “Cinco Pesos” respectively,

hand-signed by Filipino politician and author Pedro A. Paterno, and Filipino businessmen and supporters and financiers of the revolution Telesforo Chuidan and Mariano Limjap.

While other banknotes are believed to have been issued in addition to the 1-peso and 5-peso notes, the notes in other denominations did not reach circulation.

The republic was short-lived, and after General Aguinaldo surrendered to the Americans, the paper notes and coins in circulation were withdrawn and declared illegal currency.

The Treaty of Paris was signed on December 10, 1898, a pact between the United States of America and the Kingdom of Spain that ended the Spanish–American War

and transferred possession of Cuba, Puerto Rico, Guam, and the Philippines to the United States.

This officially ended the period of Spanish colonization in the Philippines.

During the American occupation, new banking, currency, and credit systems were introduced in the Philippines.

The US Congress passed the Philippine Coinage Act of 1903.

This established a new unit of currency, the Philippine Peso, valued at half of the US dollar.

The Act decreed that the Philippine coin would be worth 50 cents gold, and would be redeemable in gold at the insular treasury.

This would be the sole circulating cash among the population.

This exchange rate was maintained until the Philippines declared independence in 1946.

The coins issued under this system were designed by Melecio Figueroa, a Filipino engraver and artist.

During the American rule, El Banco Español Filipino changed from a Spanish institution to a Philippine one.

On January 1, 1912, the bank’s name was changed to Bank of the Philippine Islands (BPI) and was fully privatized during the American colonial period.

The Japanese invaded the Philippines in 1942.

The war disrupted economic growth and the Philippine monetary system once again experienced major changes.

During this period, two types of notes entered circulation:

First, Guerilla notes, also called Resistance Currencies, printed in low denominations such as 2 pesos.

They were issued by different provinces and in some instances, municipalities issued them through their local currency boards as a show of resistance against the Japanese forces.

And the second type, war notes, issued by the Japanese Occupation Forces. They printed war notes in high denominations of 100 pesos and later 500 pesos.

These notes had no back-up reserves and Filipinos called them "Mickey Mouse money” because they were just as good as play money.

This period saw the worst inflation in Philippine history. Filipinos would go to the market with bags of the so-called Mickey Mouse bills.

One duck egg cost 75 pesos and a box of matches cost over 100 pesos.

The American liberation forces arrived in 1944,

bringing with them currency called “Victory Series No. 66,” old treasury certificates with the word Victory printed over them.

The Americans granted liberation to the Philippines in 1946.

Following World War II, Bank of the Philippine Islands (BPI) was actively involved in the post-war reconstruction of the Philippines.

In 1949, with the establishment of the Central Bank of the Philippines (now the Bangko Sentral ng Pilipinas or BSP),

BPI completely lost the right to issue Philippine pesos, a right it had since the Spanish colonial era and during the American colonial period, up until 1934.

The first currencies that were printed and issued after the war were the English Series notes and minted coins.

The Notes were printed in England by Thomas de la Rue & Co., Ltd. The coins were minted at the U.S. Bureau of Mint.

They were designed with a similar look and feel to American currency, bearing the title "Central Bank of the Philippines.”

This series, printed in denominations of 1, 2, 5, 10, 20, 50, 100, 200 and 500 pesos, bore portraits of Filipino heroes on one side.

Vignettes of Philippine history were illustrated on the other side.

As the English Series entered circulation, the Victory series remained in use, overprinted with “Central Bank of the Philippines.”

From the late 1800s to the early 1900s, banknotes were functional in design.

The focus was on security features such as watermarks and intricate engravings that helped deter or expose counterfeiting.

By the mid-20th century, banknote design aesthetics evolved along with anti-fraud security features.

New banknotes around the world emerged with attractive colors and elaborate artwork.

Some countries held design contests, invited design studios to pitch designs, and commissioned accomplished artists to do illustrations.

The Philippines kept up with this artistic wave.

The year 1969 marked the “Filipinization” of Philippine currency, with the introduction of what is now called the Pilipino Series by the BSP.

Multi-colored Central Bank notes, worded in Filipino, these bills kept the use of Filipino heroes and vignettes of Philippine history,

all drawn in a very intricate, elegant, and distinct way that influenced the aesthetics of Philippine currency through the years.

This series was in denominations of 1, 5, 10, 20, 50, and 100 pesos, with the hundred-peso note in limited circulation.

One hundred Philippine pesos in 1969, roughly calculated, would be the equivalent of approximately PHP 4,000 today.

The Pilipino Series was considered demonetized along with the English series in 1974, a year after a new currency, the Ang Bagong Lipunan Series, was released.

President Ferdinand E. Marcos declared Martial Law in the Philippines on September 21, 1972, placing the country under military control.

In 1973, the Central Bank of the Philippines issued the Ang Bagong Lipunan currency series.

The Ang Bagong Lipunan title referred to the new era of reforms instituted by President Marcos on the social, economic, and political structure of the government.

These bills featured vibrant colors and notable, intricate designs reflecting Philippine culture and history.

This series of banknotes remained in circulation until February 2, 1998.

Approaching the 20th century, banknotes would integrate advanced security elements such as holograms, color-shifting inks, and microprinting.

The Philippines gradually adapted these into its paper bills, while transitioning into beautiful and artistically designed banknotes, alongside other countries.

After Martial Law was lifted in 1981, BSP began developing a new, contemporary currency and adopting new anti-counterfeiting features in its new series of banknotes.

On June 12, 1985, BSP issued the New Design Series.

The visuals selected for the New Design Series highlighted the country’s social and political development and the leaders behind the big moments in history.

The 5-peso banknote featured Emilio Aguinaldo. The 10-peso banknote, released a month later, depicted Apolinario Mabini.

In early 1986, a 20-peso banknote was released with the portrait of Manuel Quezon.

After the 1986 People Power Revolution and the new 1987 Constitution, the 500-peso banknote featured the face of Benigno Aquino, Jr.

In 1991, Bangko Sentral ng Pilipinas issued a 1,000-peso banknote for the first time,

with the portraits of World War II Filipino heroes Jose Abad Santos, Josefa Llanes, Escoda, and Vicente Lim.

Following the EDSA II political protest in 2001, a 200-peso banknote was released depicting Gloria Macapagal-Arroyo being sworn into office at the EDSA Shrine.

This made her the first president whose portrait was on a banknote while she was in office.

On the other side of the banknote is her father, former Philippine president Diosdado Macapagal. This 200-peso denomination was the last addition to the series.

After the New Central Bank Act of 1993 was passed, the New Design Series bore the new seal of the BSP.

In late 1997, a revised 10-peso banknote with portraits of Apolinario Mabini and Andres Bonifacio was issued.

The New Design Series banknotes were demonetized after 30 June 2017.

The New Generation Currency (NGC) series of modernized banknotes and coins were developed, with updated designs and enhanced security features.

The 1000-peso bill from this series features images of the Tubbataha Reefs Natural Park, a Unesco Heritage site located southeast of Puerto Princesa, Palawan.

This series was updated in 2020 with some enhancements, such as accessibility for the elderly and visually impaired, and updated anti-counterfeiting technology.

In April 2022, BSP began the circulation of the new 1000-peso polymer banknotes, the Philippine's first polymer banknote.

The Philippine 1,000-peso polymer banknote won a “Banknote of the Year Award” for 2002, by the International Banknote Society (IBNS).

The polymer banknote is made from polypropylene, a synthetic resin built up by the polymerization of propylene.

It behaves like paper but has the durability of plastic. In the 1990s, many countries began shifting to polymer.

Australia was the first country to issue a full series of polymer banknotes. They completed the transition from paper to polymer between the years 1992 to 1996.

The country had been developing this production method since the 1960s, primarily to prevent counterfeiters from replicating bills.

Countries like Australia, Canada, Fiji, Malaysia, Mexico, New Zealand, and Vietnam, which use polymer banknotes,

have experienced a big reduction in counterfeiting cases after they shifted to polymer banknotes.

Paper banknotes have been used for centuries by monetary systems worldwide, but polymer banknotes offer greater durability.

They are resistant to moisture, folding, and tearing.

Security features like transparent windows, holograms, and microprinting make it extremely difficult to counterfeit.

Because of their longer lifespan and security features, they bring much more value compared to paper banknotes, but they require specialized printing processes and technology.

For the Philippine polymer banknote, BSP partnered with Note Printing Australia (NPA),

a subsidiary of the Australian central bank, for the printing of our 1,000-peso note.

Other Philippine bills, as of today, are still using paper. The advantage is that it can be produced locally, at lower costs.

Bangko Sentral ng Pilipinas also produces commemorative currencies in honor of heroes and other individuals, historical events, and places in the Philippines.

Commemorative coins and banknotes eventually become collector’s items.

In 1998, we celebrated the Centennial of Philippine independence.

A 100,000-peso centennial banknote was printed, measuring 14 inches wide and 8.5 inches tall,

and was accredited by the Guinness Book of World Records as the largest legal tender note at that time,

It features the Philippine centennial logo and an image of the Ang Sigaw ng Himagsikan, an illustration of the 1896 historical scene.

It was issued in a limited quantity of 1000 pieces.

Also launched was a 2,000-peso Centennial note, measuring 216 x 133 mm, bearing the signature of then-president Joseph E. Estrada, on December 1, 1998.

In recent years, commemorative coins were produced using digital printing technology, and are available to the public at the BSP online shop,

in 3 denominations: 100 pesos, 20 pesos, and 5 pesos.

The 100-peso coin memorializes the declaration of Philippine independence from Spain in 1898. The 20-peso coin remembers the First Philippine Republic.

And the 5-peso coin was created to commemorate the sacrifice of Filipinos who fought during the Philippine-American War.

Paper bills and coins became a way to honor heroes and people who fought for the Filipino people with courage and bravery.

In a way, they contribute to the status and recognition of our heroes and former presidents.

Expectedly, controversy and passionate protests came about as a result of people being removed and included in currency.

When the 3 World War II heroes no longer appeared on the 1,000 peso bill, many, including the Department of History of the University of the Philippines, raised their voices in protest.

People also questioned why President Gloria Macapagal-Arroyo, who had not proven herself yet nor fulfilled her entire term, was already appearing on the P200 bill in 2002.

In the mid-1900s, so long as a President was still alive, he could not appear on currency.

In 1949, Sergio Osmeña, Jose P. Laurel, and Emilio Aguinaldo were all still alive and so were not yet included in Philippine money.

Emilio Aguinaldo died in 1964 and in 1974, he was subtly included in the P2 bill as part of the image of the Declaration of Independence on June 12, 1898.

Many thought he should have been included in our currency earlier, being the president of the First Philippine Republic.

His portrait only appeared in 1985, on the P5 bill, replacing Andres Bonifiacio.

Jose Rizal, our National Hero, only appeared in the P1 banknote in 1969, after Mabini was moved to the P10 bill.

The inclusion of presidents has become a tradition, and the decision is made by the Bangko Sentral ng Pilipinas,

through consultation and approval processes within the organization and other authorities.

More than status symbols for heroes, our currency has become representations of our collective story.

Every single Filipino will come in contact with a banknote, and it is an effective way for us to get to know our heroes and presidents.

Did you ever wonder how you are able to remember what Mabini looked like, or Bonifacio?

Maybe it’s not the history book images that solidified their faces in your memory.

Maybe it was because you were constantly seeing their faces on coins and bills.

Money has also helped us to remember and learn about our history, as you have just done now.

They reflect historical and political milestones. They depict cultural elements. They help cultivate a sense of national identity.

The images on our money, aside from hiding almost microscopic details to prevent counterfeiting,

are glimpses of our history that we can see, touch, keep in our pockets, and exchange with each other every day.