Bulgarian National Bank adopts ordinances governing euro cash frontloading, bank reporting and exchange of damaged lev

The Bulgarian National Bank’s Governing Council adopted three new ordinances to implement the Law on the Introduction of the Euro in the Republic of Bulgaria, covering (i) the initial supply and subsequent distribution of euro banknotes, euro coins and euro coin starter kits, (ii) information to be provided by credit institutions and the handling of suspect lev cash, and (iii) the exchange of damaged lev banknotes and coins into euro after euro adoption. Ordinance No. 46 sets national rules, aligned with Guidelines 2006/525/EC, for supplying banks with euro cash by the Bulgarian National Bank, and for banks’ onward supply to Bulgarian Posts EAD and merchants, including a simplified procedure for sub-supplying microenterprises. It also defines the content and distribution process for euro coin starter kits, establishes requirements for loading self-service machines (including ATMs) with euro banknotes, and sets reporting and accounting requirements for banks on both initial supply and sub-supply. Ordinance No. 47 specifies banks’ obligations to provide information to the Bulgarian National Bank under Article 26 of the euro introduction law and sets the framework for retaining and conducting expert assessments of lev banknotes and coins suspected of being counterfeit or altered. Ordinance No. 48 establishes procedures for immediate exchange into euro of damaged lev banknotes and coins withdrawn from circulation where the exchange period has not expired, and for deferred exchange into euro of damaged lev banknotes.