Spain’s New Printworks Complete – Machinery Moves In

The construction of the Banco de España’s new printworks for IMBISA (Imprenta de Billetes SA) just outside Madrid – the first new state-owned printing plant in the EU in over 50 years – has now been completed, and work has started on moving in the new equipment.

IMBISA was formed in 2015 as a result of changes in euro procurement rules brought in in 2014. Under the former SETP (Single Eurosystem Tender Procedure), Fabrica Nacional de Moneda y Timbre (FNMT), as a state owned enterprise, acted as the in-house printer for Banco de España, and as such was prevented under SETP~ rules from tendering for euro banknotes from any other of the eurozone countries.

But the new EPPS (Eurosystem Production and Procurement System) made it mandatory for the state-owned printer to be actually majority owned by the relevant NCB in order to be able to print euro banknotes.

This was the catalyst for the establishment of the new printworks, owned 80% by the Bank and 20% by FNMT, and responsible for the production of all of Spain’s indent of euro banknotes, freeing up the FNMT to tender for export business, including euro business in other eurozone countries.

The new facility is located in the district of Vicálvaro, to the south east of Madrid. It occupies a 65,735 m2 plot and has a built floor area of 28,684 m2 across several buildings that will house the production and services areas and office space. It is also where the Banco de España will conduct some of its cash operations.

It was designed to satisfy both the demanding security requirements of euro production and to be as environmentally friendly as possible. Its environmental rating is A, and sustainability criteria were factored into its design, via an effective use of material and energy resources to reduce its carbon footprint and minimise its environmental impact.

The new printworks will be equipped with two printing lines from Koenig & Bauer Banknote Solutions (a total of 12 machines including Super Simultan IV, Super Orlof Intaglio III, NotaScreen, NumeroProtecta and CutLink X machines) – a combination of new and refurbished equipment. The finishing machines will be connected via four BPS-X9 single note sorting machines from Giesecke+Devrient and to a new automatic suction and shredder system from Hunkeler Systeme.

Once the installation of the first production line is complete, the accreditation of the new printing works by the ECB will begin, and the production of euro banknotes is scheduled to commence in the fourth quarter of 2022. Installation of the second production line, which is being relocated from FNMT, will take place in early 2023, concluding the project.

In total, the project is expected to come in slight under the budget of €185 million.

Reorganisation at the Bank

In separate news, the Executive Commission of Banco de España has approved the reorganisation of its cash operations through the creation of a new General Directorate for Financial Conduct and Banknotes.

According to the Bank, the supervision of conduct has acquired increasing relevance, given its importance for financial stability and confidence. Added to this is the greater significance that should be attached to financial education for interaction with society.

These functions, previously assigned to the General Secretariat, have been amalgamed into the new Directorate, together with the Cash and Issue Department, banknote production and control functions, and branches that were previously part of the General Directorate of Cash and Branches.

Alberto Ríos Blanco (former Deputy General Manager in the Directorate General for Supervision) has been appointed Director General of the new Directorate, and Helena Tejero (former Director of the Cash and Issue Department) as Deputy Director General.

The announcement of the reorganisation coincided with the retirement of Concha Jiménez, Director General for Cash and Branches, to whom the Bank gave its thanks. Concha, whose career with the Bank spans 30 years, was appointed to her latest position in 2017, and as Chair of the Board of IMBISA in 2015.