News in Brief

G+D Expands in Digital Payments

Banknote and payment solutions provider Giesecke+Devrient has doubled its stake in the software company Netcetera to 60%. G+D joined Netcetera as a strategic partner in September 2020 to accelerate the company’s growth in digital payment solutions, among others.

The share transfer is planned for February 2023, at which point Carsten Wengels, who heads up global sales and distribution for the digital and card-based payment business at G+D, will take over as CEO.

‘With its focus on software solutions that are essential to the success of customers and their business processes, Netcetera complements and strengthens Giesecke+Devrient’s digital portfolio,’ said Ralf Wintergerst, CEO of G+D and Chairman of the Board of Netcetera.

Bulgaria Gets Ready for Euro

Bulgaria has signed a memorandum of understanding (MoU) with the European Commission and the Eurozone group president, paving the way for the country to start minting its own euro coins once it receives approval for eurozone membership.

The MoU regulates the practical steps for Bulgaria to take in order to strike certain quantities of test coins with the common face designs of the euro coins and the selected Bulgarian national designs, the Bulgarian National Bank (BNB) said in a statement.

Bulgaria, which joined the exchange rate mechanism (ERM II) – referred to as the ‘training ground for euro adoption – in 2020, is targeting January 2024 as the date of accession to the eurozone. The final decision on its accession will be made by the European Council.

As and when Bulgaria’s accession is approved, it will become the 20th country in the EU to adopt the euro.

Near-Unanimous Support for De La Rue Chairman

Kevin Loosemore, the chairman De La Rue, has survived an attempt to oust him by Crystal Amber (an activist investor with a track record of fiercely critiquing companies it has holdings in, including De La Rue). He received the backing of 83% of shareholders at a special general meeting held earlier this month.

Crystal Amber – De La Rue’s largest investor with a 10% stake – has been the company's only significant critic since it began building its shareholding four years ago. Excluding its votes, 94.9% of those cast were in favour of the chairman.

‘The company is pleased to announce that the only resolution put to the general meeting, which was to approve Kevin Loosemore continuing as a Director of the company and as chairman of the board, was duly passed by the company’s shareholders on a poll vote,’ said De La Rue in a stock exchange update.

Historic Occasion for Signatures on US Currency

US Treasury Secretary Janet Yellen – the first woman to hold the position and chair the US Federal Reserve – has hailed fellow female pioneers during the unveiling of the first banknotes printed with two women’s signatures, She commented that the new banknotes being produced at the Bureau of Engraving and Printing (BEP) site in Fort Worth, Texas, were a reminder of the contributions of women who have worked at Treasury and in economics.

US bills carry two signatures – that of the Treasury Secretary and of the Treasurer, who oversees the country’s currency functions.

She was joined by new US Treasurer Lynn Malerba, the first Native American to serve in that role, to see $1 and $5 bills being printed with their signatures.

The banknotes will enter circulation next year. The BEP facility in Washington DC will begin printing the new bills next January or February.

Korean Banknote Lifetimes Increase

Korean banknotes saw their lifetimes increase year-on-year in 2022 as people use less cash and depend more on credit cards and internet banking for transactions, according to a report by the Bank of Korea.

The country’s smallest denomination 1,000 won notes now have an average estimated lifetime of 70 months, with 5,000 and 10,000 won bills lasting for 63 months and 135 months respectively and the high denomination 50,000 won 181 months.

They compared with the lifetimes of 61 months, 63 months (unchanged), 131 months and 178 months registered in 2021 for those notes.

BnEI Looks for New Chair

Antti Heinonen, who has chaired BnEI from its launch in May 2013, has decided to resign in 2023 in order to focus more on his literary projects. The BnEI is, therefore, looking for a new Chair to further develop it as a Centre of Excellence.

BnEI is an independent, not-for-profit organisation focused on the prevention of corruption and assurance of compliance within the banknote industry. It currently has 15 members from various continents and 40 central banks supporting its overall objectives.

The role is described as an extraordinary opportunity for an individual who is passionate about ethical business practices and with experience in the banknote industry. It requires a credible senior leader who can act as an ambassador for the organisation, confidently networking with central banks, the supporting partners, auditors, accredited member companies, and the banknote industry generally.

The role will be remunerated and take 2-3 days per month. The Chair can be located anywhere in the world, but must be able to travel as required. Back office support will be provided.

Further details of the job description can be obtained from the Selection Panel, c/o Gord McKechnie, gmckechn@cbnco.com.

Antti Heinonen, antti.heinonen@bof.fi, is pleased as well to characterise the nature of the work based on his close to ten years’ experience.