As Egypt shifts to using plastic to print smaller denominations of its currency, the local market has faced confusion regarding the paper currency, to the point that some consumers and merchants have refused to accept it.
Local media outlets reported a number of citizen complaints during Eid ul-Fitr, a period marked by significant commercial activity and millions flocking to parks and gardens to spend the holiday. The problem emerged with many taxi and bus drivers refusing to accept the paper currency in normal circulation, even with the introduction of new polymer currency.
According to the complaints, many taxi drivers refused to accept the banknotes, claiming they were invalid. This is untrue, as the Egyptian pound banknotes are still in circulation, according to the Central Bank.
Earlier, the Central Bank of Egypt confirmed that all banknotes would continue to be accepted without exception, in response to claims circulating on some websites and social media.
The Central Bank denied that some paper currency denominations would be phased out in conjunction with the issuance of their plastic counterparts, stressing that all banknotes will continue to be in circulation.
Refusing to accept banknotes or half-pound notes is a legal violation and subject to penalties. The Penal Code stipulates a fine of up to 100 pounds for anyone who refuses to accept banknotes without legal justification.
Controversy over banknotes has once again erupted in Egypt after some discovered a newly minted 10-pound banknote dating back to January 2025, despite the announcement that this denomination had been printed in polymer for years.
In this regard, a responsible source at the Central Bank of Egypt revealed that this currency is being printed from old paper stocked at the Central Bank of Egypt's printing press.
The source explained to Akhbar Al-Youm newspaper that the 10- and 20-pound banknotes are being printed from polymer plastic, in addition to being printed from old paper in warehouses when worn-out banknotes are replaced with new banknotes of the same denominations.
Since July 2022, the Central Bank of Egypt has been issuing the 10-pound plastic note made of polymer. The 20-pound plastic note will be introduced in June 2023, confirming that none of the previous issues of the same denomination will be cancelled and will continue to be used and circulated.