News In Brief

Next Generation ATMs from Hyosung

Hyosung Innovue (formerly knowns as Hyosung America and the North American subsidiary of South Korean ATM manufacturer Hyosung TNS) has announced the launch of the new Cajera Pivot recycling ATM series for retail applications.

According to the company, the Cajera Pivot series – which includes the Cajera Plus, the Cajera Pivot IV and the Cajera Pivot II/III – reimagines the role of traditional retail ATMs by enabling cash-in transactions for all denominations and recycling for up to three denominations, all in the same footprint as a standard retail cash-dispensing ATM.

It claims that the new ATMs bridge the gap between various cash points within retail spaces by integrating cash recycling, remittances, bill payments, cryptocurrency purchases, visa deposits, and peer-to-peer payments into a single platform, thereby replacing multiple devices with one powerful solution.

Since entering the North American market in 1998, the company says it has grown to become the largest provider of ATMs in the US. It is headquartered in Irving, Texas with R&D located at its Global Software Centre in Dayton, Ohio.

MAS Introduces Sustainability to Tenders

According to the Monetary Authority of Singapore (MAS), it is committed to reducing its carbon emissions in the currency value chain, which comprises outsourced currency operations including currency production, processing and transportation, in-house currency processing and waste incineration.

The reduction of carbon emissions from MAS’ outsourced currency operations hinges on a lower public demand for notes and coins. And for the first time, in its recent tender for $100 banknotes, it included sustainability criteria to encourage its supplies to make changes, and has made it that this will be a key consideration in future tenders.

In addition, for the Lunar New Year (LNY) MAS promoted the use of ‘Fit-for-Gifting’ banknotes, rather than new ones. It worked with the commercial banks and over 11 million were exchanged, saving about 400 tonnes of CO2e.

Loomis Acquires Cima

CIT and cash management specialist Loomis has acquired 100% of Cima, a cash automation company from Milano Investments, for an initial purchase price of €132 million on a cash-free and debt-free (CFDF) basis, plus a potential earn-out of up to a maximum of €17.5 million based on the EBITDA outcome for the 2024 financial year.

Founded in 1955, and headquartered in Italy, with a subsidiary in Houston, Texas, Cima is a developer of automated cash handling devices for banknotes and coins. Its portfolio includes deposit and recycling systems, as well as assisted teller and front office devices. It has approximately 120 employees, a global customer base, and sales of c. €66 million in 2022.

The business will be reported within the SafePoint (Automated Solutions) business line, which offers a specially-developed closed system for retailers whereby Loomis takes responsibility for the cash when it is inserted into the device.

According to Aritz Larrea, President and CEO of Loomis, ‘our automated solutions, with SafePoint as the key product, has been a great success and continuing to grow this business is an important part of our strategy. With the acquisition of Cima and their complete solution, we have taken a significant step in expanding our offer of automated solutions. Together, we will combine our strengths and capabilities to provide enhanced solutions and value to our customers. Furthermore, Cima’s sales network gives us additional growth opportunities and access to new markets.’ 

Bangladesh Introduces Clean Note Policy

The Bangladesh Bank has issued a clean note policy aimed at removing worn-out and defective notes from circulation and providing the public with high quality clean notes.

The Department of Currency Management (DCM), which issued the policy, will conduct random surveys to determine a reasonable level of both obsolescent and defective notes.

Modern sorters will be installed in all Bangladesh Bank’s branches to increase the capacity to process notes Three high speed sorters have already been installed – two in the headquarters in Dhaka and one in the Bogura office – with a capacity to sort 50,000 notes per hour. They will be installed in the Bank’s other nine offices as well, along with shredders and electrical furnaces for destruction.

The Bank will also carry out a public education campaign explaining the policy and discouraging the practice of writing on or stapling notes.

Banknotes in the country are used frequently, particularly the lower denominations, resulting in a lifetime of less than one year (compared with five years for the higher denominations).

The Bank states that it also taking measures to improve the quality of inks, substrates and features, and production capacity will be increased at its subsidiary, the Security Printing Corporation, if needed to meet demand for more clean notes.

RBI Contests Petition on Notes for the Blind

The Reserve Bank of India (RBI) has told a court that it acknowledges the concerns of visually impaired persons regarding identification of currencies, but that introducing new banknotes is time-consuming and also entails heavy expenditure.

The RBI, in an affidavit filed in the Mumbai High Court, maintained the process of introducing a new series of banknotes is an ‘extremely complicated and time-consuming process’ extending over a period of six to seven years’.

The affidavit was filed in response to a petition by the National Association of the Blind (NAB), which claim new notes and coins issued by the RBI pose difficulty for visually-impaired people in identifying and distinguishing them.

The affidavit maintained the last time a series of banknotes was introduced was in 2016 and this was preceded by an elaborate process of consultation among various stakeholders.

‘Introducing a new series of banknotes is a monumental task. This has to be thought through carefully because having multiple series of banknotes of different sizes and features of the same denomination would cause more confusion than resolve the problem,’ the affidavit noted.

The RBI is urging the court to dismiss the NAB’s petition with cost, claiming it has taken all necessary steps in studying the grievance highlighted in the plea and was examining the matter with due seriousness.

Separately, the Delhi High Court has dismissed a challenge to the withdrawal of the Rs 2,000 note. According to the PIL (Public Interest Litigation) claim, the RBI has no power to withdraw the notes, giving no reason for the move other than its clean note policy, and that it is for the government and not the central bank to take such decisions.

As of the beginning of July, 76% of all 2,000 notes in circulation had been returned – with 87% deposits and 13% exchanged. The deadline for returning the notes is 30 September.