Opinion of the European Central Bank of 20 August 2013 on the principles and procedure for exchanging banknotes and coins (CON/2013/64)
Date: 2013-08-20
Institutions: European Central Bank
Subjects: Poland, issuing of currency, money, national law

EN 

ECB-PUBLIC 

OPINION OF THE EUROPEAN CENTRAL BANK 

of 20 August 2013 

on the principles and procedure for exchanging banknotes and coins 

(CON/2013/64) 

Introduction and legal basis 

On 18 July 2013, the European Central Bank (ECB) received a request from the President of Narodowy 

Bank Polski (NBP) for an opinion on a draft ordinance on detailed principles and procedure concerning 

the  exchange  of  banknotes  and  coins  that  have  ceased  to  be  legal  tender  within  the  territory  of  the 

Republic of Poland as a result of wear and tear or damage (hereinafter the ‘draft ordinance’). 

The ECB’s competence to deliver an opinion is based on Articles 127(4) and 282(5) of the Treaty on the 

Functioning  of  the  European  Union  and  the  first,  second  and  third  indents  of  Article 2(1)  of  Council 

Decision  98/415/EC  of  29 June  1998  on  the  consultation  of  the  European  Central  Bank  by  national 
authorities  regarding  draft  legislative  provisions1,  as  the  draft  ordinance  relates  to  currency  matters, 

means  of  payment  and  NBP.  In  accordance  with  the  first  sentence  of  Article 17.5  of  the  Rules  of 

Procedure of the European Central Bank, the Governing Council has adopted this opinion.  

1. 

Purpose of the draft ordinance 

1.1  The draft ordinance recasts the provisions of NBP President’s Ordinance No 1/2003 of 15 January 

2003 on the detailed principles and procedure for replacing banknotes and coins which have ceased 

to  be  legal  tender  within  the  territory  of  the  Republic  of  Poland  as  a  result  of  wear  and  tear  or 
damage (hereinafter the ‘existing ordinance’)2. The main aim of the recast is to align the principles 
for  exchanging  coins  with  the  principles  for  sorting  coins3.  This  includes  aligning  the  respective 

definitions used in the two legal acts, to ensure the uniform treatment of coins unfit for circulation. 

1.2 

In addition to aligning the principles for exchanging coins with the principles for sorting coins, the 

draft  ordinance  introduces  the  following  main  new  elements:  (a)  rules  for  exchanging  banknotes 

and  coins  contaminated  with  various  substances;  (b)  rules  for  exchanging  banknotes  and  coins 

presented for exchange by prosecuting authorities; (c) fees payable for exchanging banknotes and 

coins accidentally damaged by anti-theft devices. 

1 
2 
3 

OJ L 189, 3.7.1998, p. 42. 
Dziennik Urzędowy Narodowego Banku Polskiego (Dz. Urz. NBP) of 17 January 2003 No 1, item 1. 
As  defined  in  NBP  President  Ordinance  No  19/2007  of  24  October  2007  on  the  method  and  procedure  for  counting, 
sorting,  packaging  and  labelling  packaging  units  of  banknotes  and  coins,  and  on  conducting  activities  related  to  the 
supply of banknotes and coins to banks (Dz. Urz. NBP of 29 October 2007 No 14, item 28). 

 
 
 
 
 
                                                 
ECB-PUBLIC 

2. 

General comments 

The  ECB  has  already  been  consulted  and  commented  on  a  previous  amendment  to  the  existing 

ordinance, as well as on NBP President’s Ordinance No 19/2007. To the extent the draft ordinance 

repeats  the  provisions  of  the  existing  ordinance,  or  redrafts  these  provisions  without  materially 
changing their content, the ECB reiterates its comments made in past ECB opinions4. 

3. 

Specific comments 

Fee for exchanging banknotes and coins accidentally damaged by anti-theft devices 

Paragraph 9(1) of the draft ordinance provides that the exchange of banknotes and coins that have 

been  accidentally  damaged  by  anti-theft  devices  will  be  subject  to  a  fee  charged  by  NBP  to  the 
entities  or  persons  presenting  the  damaged  banknotes  for  exchange5.  The  level  of  the  fee,  set  at 

3% of  the  nominal  value  of  the  damaged  banknotes  and  coins  to  be  exchanged,  seems  to  be 
substantially higher than the equivalent fee charged by the Eurosystem national central banks6. 

This opinion will be published on the ECB’s website. 

Done at Frankfurt am Main, 20 August 2013. 

[signed] 

The Vice-President of the ECB 

Vítor CONSTÂNCIO 

4 

5 

6 

See in particular paragraphs 2.2 and 3.3 of Opinion CON/2008/26 and paragraph 2.1 of Opinion CON/2007/28. All ECB 
opinions are published on the ECB’s website at www.ecb.europa.eu. 
Paragraph 9(2) of the draft ordinance provides that the fee will not apply if banknotes and coins presented for exchange 
have  been  damaged  due  to  actual  or  attempted  robbery  and  the  entity  or  person  presenting  them  for  exchange  is  the 
victim of such actual or attempted robbery. 
Article 4(2) of Decision ECB/2013/10 of 19 April 2013 on the denominations, specifications, reproduction, exchange and 
withdrawal of euro banknotes (OJ L 118, 30.4.2013, p. 37) provides that the fee for exchanging genuine euro banknotes 
that have been damaged by anti-theft devices amounts to 10 euro cent per damaged euro banknote. 

2