Pakistan's federal cabinet has approved new designs for the country's currency notes and decided to replace the Rs10 banknote with a coin of the same value. The decisions were taken at a cabinet meeting in Islamabad on Wednesday 4 November, chaired by Prime Minister Shehbaz Sharif, on the recommendation of the Ministry of Finance.

The cabinet was given a detailed briefing on the new notes. Artists, art experts and professional designers from across the country were invited to submit designs, and a cabinet committee set up by the prime minister finalised them after consultations with stakeholders, economists and financial institutions. The designs carry motifs reflecting the country's culture, history and development.

Stronger security features

The new notes will carry advanced security features designed to make them harder to counterfeit, and will be printed on modern, more durable material. The briefing told the cabinet that counterfeit notes in circulation had become a major challenge, causing damage to the economy, and that the new features would make it easier for the public and banks to spot fakes.

The Rs10 paper note will be phased out in favour of a coin because low-denomination coins last longer than paper notes and cost less to replace. The cabinet was told the change would save the substantial cost of frequently reprinting small-denomination notes and improve the distribution of currency.

No date has been announced for the Rs10 note to stop being legal tender, and no deadline has been set for exchanging existing notes. The State Bank had already denied social-media reports in September suggesting the note was being discontinued. At the same meeting the cabinet also ratified a defence cooperation agreement with Kuwait, signed in June 2023.