The federal government has decided to redesign all currency notes from Rs. 10 to Rs. 5,000 as part of an effort to strengthen security features, improve durability, and align Pakistan’s cash system with modern global standards, while confirming that all existing banknotes will remain valid, sources in the Ministry of Finance said.
Officials said the redesigned notes will be introduced gradually later this year, ensuring that daily cash transactions and circulation remain uninterrupted. One denomination will also be issued as a plastic polymer note, alongside traditional paper currency, as part of a durability and security assessment.
What this means for the public:
Current currency notes will continue to be accepted nationwide. Banks will exchange older notes over time under a phased plan, allowing the public to use cash normally during the transition.
Why the government is redesigning currency notes
According to officials, the redesign is aimed at addressing counterfeiting risks, wear and tear of older notes, and rising long-term replacement costs. Modern banknote series typically incorporate advanced security elements that are harder to replicate and easier for machines and the public to authenticate, reducing the circulation of fake currency.
The move is also intended to improve machine readability for banks, ATMs, and cash-handling systems, while extending the lifespan of notes through improved materials and design.
Pakistan currently has around Rs. 10,260 billion worth of currency in circulation. To manage the transition at this scale, the government plans to issue a clear timeline to commercial banks for exchanging existing notes with newly designed ones.
Sources said approval from the Federal Cabinet will be sought shortly to formally launch the new currency series.
Polymer note to be tested for durability
Under the plan, one denomination will be introduced as a polymer banknote, made from a special plastic material that is more resistant to damage, moisture, and tearing than paper notes. If the polymer note demonstrates a longer lifespan and cost efficiency, officials said it may be extended to additional denominations in the future.
Enhanced security features
Officials said the redesigned notes will feature modern design elements and advanced security features to further reduce counterfeiting and improve durability. The rollout is expected to be completed within the year through a phased approach to avoid any disruption to cash circulation or routine financial activity.
