The Governor of the Central Bank of Trinidad and Tobago (CBTT), Dr Alvin Hilaire, on Monday, acknowledged that there would be a temporary disruption to the local economy as the oil-rich twin-island republic puts into circulation a new $100 bill (One TT dollar=US$0.16 cents) that the authorities say are aimed at dealing with money laundering and other crimes within the financial sector.
The new bill goes into circulation on Tuesday, and the CBTT has warned that the old bill would no longer be legal tender as of December 31, this year. The new polymer TT$100 bill is being distributed to commercial banks on Monday.
“What we are trying to do is to move towards a more cashless society.”— Hilaire
“About the economic impact, we do think that there will be some short-term disruption. It is necessary because people are not used to it, it is something that is dramatic, it is something that is unfamiliar,” he told a news conference.
“We do believe it will not be permanent. It will dissipate over time, and in fact, things might be actually better over time…to the sense that the national security objects are satisfied,” he said, adding: “Also what we are trying to do is to move towards a more cashless society and perhaps this as people deposit their funds they will be able to move to that scenario.”
Hilaire said the CBTT has been discussing the matter “intimately with the commercial banks” outlining also that other adjustments would be made to other notes in circulation in Trinidad and Tobago.