$2 AND $5 POLYMER BANKNOTES

Polymer is a thin, flexible plastic material that offers an extended lifespan and can incorporate more security features than cotton – which is the material used for traditional banknotes.

The Bermuda Monetary Authority (the Authority or BMA) is responsible for issuing all currency for Bermuda in accordance with Paragraph 11(2), Part IV of the Bermuda Monetary Authority Act 1969. The Authority is moving to polymer banknotes because they are cleaner, safer and stronger than the existing banknotes, which are traditionally printed on cotton. Polymer banknotes provide enhanced security features and increase the quality of the banknotes in circulation. Studies from other countries show that polymer banknotes last two‐and‐ a‐half times longer than cotton banknotes, making polymer a more sustainable solution.

The BMA is scheduled to issue the polymer $2 and $5 banknotes in the Fall of 2024.

Yes, the existing banknotes and polymer banknotes will co‐circulate, which means the existing banknotes will remain an accepted form of payment and legal tender for the foreseeable future. There is no plan to withdraw the existing $2 and $5 banknotes out of circulation.

It is customary to introduce lower denominations into circulation first to help ensure a smooth, introductory transition. This allows us to assess the performance of a smaller quantity of banknotes prior to issuing the higher denominations of the banknotes.

At the present time, there is no date set for the production and issuance of the remaining denominations of polymer banknotes. Higher denominations will be introduced after consultation with stakeholders.

The new polymer banknotes feature embossed, tactile dots to help those with visual impairments differentiate between denominations. The $2 banknotes have a triangular pattern of raised dots while the $5 banknotes have a circle. The BMA will conduct in‐person, educational presentations for various stakeholders, to highlight the various features of the new banknotes.

No. Polymer banknotes are legal tender and can be used the same way as the existing banknotes. They can be folded in a wallet or money belt and stored in a cash register.

As our Polymer Campaign tagline says, ‘Same look, Smarter design’. Aside from the difference in the feel of the banknotes, the $2 and $5 polymer banknotes have the same historical and national imagery as the existing banknotes. They are also the same size and colour to avoid drastic differences in comparison to the existing banknotes. The BMA is launching an island‐wide campaign to advise the public about the new banknotes by way of social media, news outlets, posters and decals.

Similar to the existing banknotes, brand new polymer banknotes can sometimes be slippery and stick together. As is also the case with the existing banknotes, this effect will decline over time once the banknotes are in circulation and handled. See ‘Tips on caring for polymer banknotes’ below for more information on handling polymer banknotes.

The BMA will release free education materials for the public on this topic. The BMA is also taking action to educate stakeholders through formal presentations. For a full breakdown of the security features of the new banknotes, please look out for the Polymer Banknotes Security features video on the BMA website.

If a polymer banknote has been torn in half, it can be accepted as a form of payment if the two pieces are accurately aligned and taped back together using clear tape.

Eligible damaged banknotes can be exchanged with banknotes of better quality at your local bank. If your local bank is unable to exchange the damaged banknotes, the notes may be redeemed at the BMA in accordance with the Redemption Policy.

Should a defaced, burnt, mouldy or torn banknote be damaged in a way where parts of the banknote are unrecognisable, the banknote may not be suitable as an acceptable form of payment, nor can it be exchanged for a new or undamaged banknote of face value. The size of the damaged banknote should be no less than three-quarters (3/4) of a banknote and both serial numbers should be visible. For torn banknotes, all pieces of the banknote should be presented and accurately taped together as aligned as possible using clear tape. A valid photo ID will also be required.

Existing $2 and $5 banknotes will not be exchanged for new polymer banknotes upon request. It is expected that the new polymer banknotes will progressively be obtained by members of the public through circulation.

At this time, there is no plan to withdraw the existing $2 and $5 banknotes from circulation.

One of the key benefits of the new polymer banknotes is that they do not absorb water or oil. This makes them ideal for Bermuda’s subtropical climate, which is subject to high levels of heat and humidity.

Bermuda’s banknotes are printed in the United Kingdom (UK) by De La Rue, a leading company in currency design and production in the UK.

Over 30 countries, including the UK, Canada, Australia, and several Asian countries and Caribbean islands, have adopted polymer banknotes.

The BMA is committed to working collaboratively with local businesses to support a smooth transition for the introduction of polymer banknotes. As with any change in currency design, businesses that handle cash should prepare for the issuance of the new $2 and $5 polymer banknotes by educating themselves with the features and benefits through information available on the BMA's website and other complimentary resources offered as part of the communications campaign. The BMA has been working closely with financial service businesses as part of their preparation prior to the launch of the new banknotes. It is recommended that business owners and other vendors consult directly with their bank on any questions or concerns.

You should contact your cash‐handling machine vendor to confirm whether your machine will need to be adapted to accept polymer banknotes. If your machine needs adaptation, you may reach out to the Authority at currency@bma.bm to request sample banknotes that you can use for calibration.

It is recommended that business owners and other vendors contact the Authority directly with any questions or concerns by emailing currency@bma.bm.