Egyptian Economy: Gov't to replace paper banknotes with plastic

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Europe

02:10

Turning to North Africa now. The money in Egypt may feel a little funny in another year or so. That's because the Egyptian central bank will start printing plastic banknotes instead of the paper currency currently in use. CGTN's Yasser Hakim reports from Cairo.

Most of Egyptian pound notes are made from paper. But from 2020, the paper money will cease to exist in Egypt. It will be replaced by plastic notes.

MOHAMED "It's a bit funny. Reminds me of the money in the Monopoly game we play. Real money is coins or paper I guess."

AHLAM "It's a new idea. Plastic. Yes, the paper notes get easily damaged but how can fold plastic money in my purse? I never saw plastic notes before."

There are only 44 countries currently using plastic notes. But Experts say plastic is a better option than paper.

SABER SHAKER, PROFESSOR OF ECONOMICS HELWAN UNIVERSITY "Number One is high quality compared to paper notes. Number two the lifespan is twice compared to the paper money. Number three, to reduce the hygiene effect and negative impact of paper money on the health."

The plastic money can also be recycled. The Central Bank says it has purchased the specialized printing machine and will be installed soon at the New Administrative Capital. Experts calmed any fears of currency destabilization once the new notes are introduced in the market.

SABER SHAKER, PROFESSOR OF ECONOMICS HELWAN UNIVERSITY "The change of form to the plastic money in Egypt will have no effect on the value of the Egyptian pound and the value of the currency."

YASSER HAKIM CAIRO "Though the New Egyptian pound will be made of plastic, the Central Bank says people will not feel much difference because the design of the currency will remain as it is. Yasser Hakim, CGTN, Cairo."