NBR Sounds Alarm: Why Using Cash as Party Décor Could Cost Rwanda Millions

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The National Bank of Rwanda (NBR) has issued a stern warning to the public over the misuse of Rwandan Franc banknotes, cautioning that turning currency into decorative or celebratory items undermines its integrity and durability.

In a statement released on Friday, the central bank expressed concern over a growing trend in which banknotes are used during weddings, birthdays, graduation ceremonies and other social events as decorations, gifts, or for symbolic displays.

According to the NBR, such practices expose banknotes to damage, contamination and premature wear, making them unfit for circulation.

The bank noted that currency is a national asset and a legal instrument of exchange that must be handled with care and respect.

When notes are folded excessively, stapled, written on, torn, or sprayed with liquids during celebrations, their lifespan is significantly reduced.

This, the NBR said, leads to increased replacement costs that are ultimately borne by taxpayers.

Banknotes are designed strictly for transactional use. Any form of misuse compromises their quality and increases the cost of maintaining clean and usable currency in circulation,” the central bank said.

The NBR further warned that damaged or defaced banknotes can disrupt daily transactions, as businesses and individuals may reject notes that are excessively worn or altered. This not only inconveniences the public but also affects confidence in the national currency.

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Beyond economic implications, the bank emphasised that the misuse of currency reflects negatively on national values. As a symbol of sovereignty and economic stability, the Rwandan Franc should be treated with dignity, the statement added.

The central bank reminded citizens that existing regulations prohibit the deliberate defacement or destruction of banknotes.

While enforcement has largely focused on education and awareness, the NBR cautioned that persistent misuse could attract penalties as provided for under financial and monetary laws.

To address the issue, the bank called on event organisers, families and community leaders to adopt alternative, creative ways of celebrating achievements and milestones without involving physical cash.

Digital transfers, symbolic tokens or non monetary decorations were suggested as safer and more respectful options.

The NBR concluded by urging the public to play their part in safeguarding the currency, stressing that responsible handling of banknotes supports financial stability, reduces public costs and preserves the integrity of Rwanda’s monetary system.