Spain to Get its Own Banknote Printing Factory

[Bimat]

The original article is in Spanish, so translation in English is always welcome.

http://economia.elpais.com/economia/2014/07/02/actualidad/1404327281_649137.html

This move is basically due to European Central Bank's recommendation for Central Banks to have their own banknote printing facilities. Since 1940, FNMT (Fabrica Nacional de Moneda y Timbre) has produced banknotes for Spain as an independent company.

Aditya

[chrisild]

This move is basically due to European Central Bank's recommendation for Central Banks to have their own banknote printing facilities.

Hmm, there is no such recommendation. As far as I know, the background is a different one: Basically the euro notes commissioned by a national central bank will be printed by the manufacturer/s (in the European Union) that make/s the best offer in a tender. Now if a national government wants to avoid competition, it can have its entire issue volume printed by an in-house printer. For example, the Banque de France has its own printing facility.

In Germany, on the other hand, the Bundesdruckerei is owned by the federal government but not by the Deutsche Bundesbank. And the Bundesbank has so far had "its" notes made by the Bundesdruckerei, by Giesecke & Devrient (DE), Joh. Enschedé (NL), and Oberthur (FR). Seems that Spain plans to follow the French model, and thus needs to restructure the banknote printing business ...

Christian